Chinese electric vehicle (EV) manufacturer BYD is facing challenges as it navigates a price war in China's EV market. Despite getting ahead of competitors in the latest pricing battles, BYD's aggressive price cuts have led to a miss in first-quarter revenue estimates and weaker earnings. The company reported earnings per share (EPS) of 0.2167 against forecasts of -0.4611 and revenue of 17.24 billion, surpassing the expected 13.56 billion for BYD Co Ltd-H, with a market cap of 80.38 billion. BYD ADR posted an EPS of 0.4333 against a forecast of -0.9222, with a market cap of 88.71 billion. However, this aggressive pricing strategy has impacted its profit margins. Additionally, while the automotive sector generally saw a downturn, BYD's net profit growth was double its revenue growth, and its R&D spending increased by 70%, indicating a strong focus on innovation despite financial pressures.