Core Viewpoint - Daiwa has released a report indicating that NEXTEER (01316) has consistently reduced costs and improved profit margins over the past few years, benefiting from these changes since the second half of last year, with expectations for continued improvement in the company's profitability [1] Group 1: Financial Performance - Daiwa has reiterated a "Outperform" rating for NEXTEER, raising the target price from HKD 6.8 to HKD 7 [1] - The firm has also increased its earnings per share estimates for the years 2026 to 2027 by 7% to 9% to reflect better-than-expected profit margins [1] Group 2: Business Development - The report highlights that NEXTEER has integrated steer-by-wire, rear wheel steer, and related software into vehicle control systems, securing multiple orders in the first half of this year [1] - The company anticipates total orders for this year to reach USD 5 billion, with USD 1.5 billion in orders already secured in the first half and an expectation of an additional USD 3.5 billion in the second half [1]

大和发布研报称，耐世特(01316)在过去数年持续降低成本及改善利润率，相信公司已自去年下半年起 受惠，并料集团未来的盈利能力将持续改善。大和重申对耐世特的"跑赢大市"评级，目标价由6.8港元 上调至7港元。该行又调升集团2026至27年的每股盈测7%至9%，以反映利润率优于预期。 报告提到，耐世特将线控转向(steer-by-wire)、集成式后轮转向(rear wheel steer)及相关软件整合至车辆的 线控系统，已在今年上半年获得多个订单。公司预计，今年的总订单将达到50亿美元，其中今年上半年 已获15亿美元订单，预计下半年将再获35亿美元订单。 ...

Investment Rating - The report maintains a "Buy" rating for the company with a target price raised to HKD 8.0, indicating a potential upside of 33% from the current price of HKD 6.4 [6]. Core Insights - The company achieved a revenue of USD 2.242 billion in the first half of 2025, representing a year-on-year growth of 6.8%, and a net profit of USD 63.48 million, which is a threefold increase [1][2]. - The report projects revenue growth for 2025-2027 to reach USD 4.59 billion, USD 4.98 billion, and USD 5.48 billion, with respective growth rates of 7.3%, 8.6%, and 10.0%. Net profit is expected to increase to USD 120 million, USD 148 million, and USD 182 million, with growth rates of 93.8%, 23.4%, and 23.0% [1][3]. Revenue and Profitability - The company's gross margin improved to 11.5%, up by 1.5 percentage points year-on-year, while the net margin reached 2.8%, an increase of 2.1 percentage points [2]. - Revenue by region for the first half of 2025 was USD 1.14 billion in North America, USD 690 million in Asia-Pacific, and USD 400 million in EMEASA, with growth rates of 1.7%, 15.5%, and 9.4% respectively [2]. Business Development - The company secured new orders totaling USD 1.5 billion, including contracts from Chinese and European automotive manufacturers, and aims to maintain an annual order target of USD 5 billion [3]. - The launch of the Motion IQ software suite is expected to enhance product development speed and reduce costs, aligning with industry trends [3]. Financial Forecast - The financial projections indicate a sales revenue of USD 4.207 billion for FY2023, increasing to USD 5.479 billion by FY2027, with a compound annual growth rate of approximately 10% [4]. - The net profit is forecasted to recover from a decline of 37% in FY2023 to a growth of 68% in FY2024, reaching USD 182 million by FY2027 [4].

大和发表研究报告指，耐世特在过去数年持续降低成本及改善利润率，相信公司已自去年下半年起受 惠，并预计集团未来的盈利能力将持续改善。公司预计今年总订单将达到50亿美元，其中今年上半年已 获15亿美元订单，预计下半年将再获35亿美元订单。 大和重申对耐世特的"跑赢大市"评级，目标价由6.8港元上调至7港元，又调升集团2026至27年的每股盈 测7%至9%，以反映利润率优于预期。 ...

Core Viewpoint - The company reported strong performance in 1H25, with total revenue and net profit significantly exceeding expectations, primarily driven by growth in the Asia-Pacific region [1][2]. Group 1: Financial Performance - Total revenue for 1H25 increased by 6.8% year-on-year to $224 million, accounting for 51% of the original full-year revenue forecast [1]. - Gross margin improved by 1.5 percentage points to 11.5%, while EBITDA rose by 16.8% to $23 million [1]. - Net profit surged by 304.5% year-on-year to $6.3 million, representing 57% of the original full-year net profit forecast [1]. Group 2: Regional Business Growth - Revenue from the Asia-Pacific region grew by 15.5% to $69 million, increasing its total revenue share by 3 percentage points to 31% [2]. - The EMEASA region also saw revenue growth of 9.4% to $40 million, while North America’s revenue share decreased by 2 percentage points to 51% [2]. - EBITDA margin in the Asia-Pacific region decreased by 0.7 percentage points to 16.9%, whereas EMEASA's EBITDA margin increased by 6.8 percentage points to 8.8% [2]. Group 3: New Orders and Future Prospects - In 1H25, new orders totaled $1.5 billion, with contributions from Asia-Pacific (47%), EMEASA (30%), and North America (23%) [2]. - The company anticipates adding $5 billion in new orders for 2025, including projects in North America and Europe, as well as expansion into Indonesia and Brazil [2]. - The company is leveraging its technological advantages to enhance existing products and expand into new areas such as steer-by-wire systems, with significant orders already secured [2]. Group 4: Investment Outlook - The company raised its net profit forecasts for 2025, 2026, and 2027 by 28%, 29%, and 34% to $14 million, $19 million, and $23 million, respectively [2]. - The target price was adjusted to HKD 8.72, corresponding to approximately 20 times the 2025 EPS, while maintaining a "Buy" rating [2].

Core Insights - The company reported a revenue of $2.242 billion for the first half of 2025, representing a year-on-year growth of 6.8% and a net profit of $63 million, which is a significant increase of 293.8% [1] - EBITDA for 1H2025 reached $230 million, showing a year-on-year growth of 16.8% [1] - New business orders totaled $1.5 billion, with strong demand from Chinese OEMs and a significant order for a full-size pickup platform in North America [1] Revenue and Profitability - Revenue distribution for 1H2025: North America accounted for 51%, Asia-Pacific for 31%, and Europe, Middle East, Africa, and South America for 18% [1] - Year-on-year revenue growth rates for these regions were 1.7% for North America, 15.5% for Asia-Pacific, and 9.4% for Europe, Middle East, Africa, and South America [1] - Profit margins for 1H2025 were 7.6% in North America, 16.9% in Asia-Pacific, and 8.8% in Europe, Middle East, Africa, and South America [1] Strategic Developments - The company opened a new factory in Changshu in January 2025, producing products such as REPS, DPEPS, SbW, RWS, and EMB [1] - Plans are in place to relocate the Liuzhou factory to a new site, expected to be operational in the first half of 2026, focusing on BEPS, CEPS, high-output CEPS, and mechanical steering systems, along with advanced laboratories and testing lanes [1] Future Projections - The company is projected to achieve a net profit of $146 million, $192 million, and $244 million for the years 2025, 2026, and 2027 respectively, with corresponding PE ratios of 15.22, 11.60, and 9.12 [2]

机构：中金公司 研究员：邓学/常菁/陈雅婷 1H25 业绩符合我们预期 公司公布1H25 业绩：营业收入22.42 亿美元，同比+6.8%；归母净利润6348 万美元，同比增长3 倍；净 利率2.8%创2023 年以来新高。 发展趋势 +8.6%/+2.9%/+1.7%/+3.8%。 毛利率同环比提升，费率平稳下降。1H25 毛利率11.5%，同比+1.5ppt/环比+0.6ppt，据公司半年报，主 要系收入增长、运营效率提升带动。分地区看，1H25 北美/亚太/EMEASA 地区EBITDA 率分别为 7.6%/16.9%/8.8%，同比-0.2/-0.8/+6.7ppt，环比-0.9/持平/+0.6ppt，北美地区同环比下降主要系关税及供 应链影响，EMEASA 地区同期受巴西洪灾影响因而基数较低。 1H25 公司研发/销售/管理费用分别为7539/1070/8147 万美元，同比-14.9%/-0.8%/+13.8%，对应费率整体 呈平稳下降趋势，其中研发费用同比下降主因与客户项目取消有关的产品开发无形资产减值费用下降。 1H25 有效税率28%，同比-15.6/环比-4ppt。 2H25 订单获取目标 ...

Core Viewpoint - The company reported a strong performance in the first half of 2025, with revenue and net profit significantly increasing, driven by growth in the Asia-Pacific region and successful project launches [1][2][3] Revenue Performance - In H1 2025, the company achieved revenue of $2.242 billion, a year-on-year increase of 6.7%, and a 7.6% increase when excluding foreign exchange and commodity compensation effects [1] - Revenue by region: - North America: $1.14 billion, +1.7% year-on-year, driven by strong market performance of client projects [1] - Asia-Pacific: $690 million, +15.5% year-on-year, mainly due to orders secured in previous years and new project launches, with China contributing a 12.3% growth [1] - Europe, Middle East, Africa, and South America: $401 million, +9.4% year-on-year, supported by project launches in Europe and steady growth in South America, particularly in Brazil [1] Profitability Metrics - The company's gross margin in H1 2025 was 11.5%, an increase of 1.4 percentage points year-on-year, attributed to revenue growth and improved operational performance [2] - EBITDA margin for H1 2025 was 10.3%, up 0.9 percentage points year-on-year, with regional breakdowns showing: - North America: 7.6%, down 0.2 percentage points year-on-year - Asia-Pacific: 16.9%, down 0.8 percentage points year-on-year - Europe, Middle East, Africa, and South America: 8.8%, up 6.7 percentage points year-on-year [2] Net Profit Growth - The company reported a net profit of $6.3 million in H1 2025, a substantial increase of 304.7% year-on-year, primarily driven by increased EBITDA and changes in orders [2] Strategic Positioning - The company is positioned as a leader in steer-by-wire technology, successfully launching 31 new customer projects in H1 2025, with 23 being new or newly acquired businesses and 8 being expansions of existing businesses [3] - The Asia-Pacific region is identified as a key growth engine, contributing to 24 projects, with 21 of these related to electric vehicles, reflecting the company's proactive adaptation to the electrification trend [3] Earnings Forecast - The company maintains revenue forecasts for 2025-2027 at $4.4 billion, $4.5 billion, and $4.7 billion, representing year-on-year growth of 3% each year [3] - The net profit forecasts for 2025-2027 have been revised upward to $14 million, $16 million, and $19 million, with year-on-year growth rates of 123%, 18%, and 16% respectively [3]

Core Viewpoint - The report from CICC maintains the net profit forecast for Denso (01316) for 2025 and 2026, with the current stock price corresponding to 12.6x and 9.9x P/E for 25E and 26E respectively, and raises the target price by 17% to HKD 8.4, indicating a 21% upside potential from the current price [1] Group 1: Financial Performance - In 1H25, the company reported revenue of USD 2.242 billion, a year-on-year increase of 6.8%, and a net profit attributable to shareholders of USD 63.48 million, which represents a threefold increase year-on-year, with a net profit margin of 2.8%, the highest since 2023 [1] - The gross margin in 1H25 was 11.5%, up by 1.5 percentage points year-on-year and 0.6 percentage points quarter-on-quarter, driven by revenue growth and improved operational efficiency [2] - The effective tax rate for 1H25 was 28%, a decrease of 15.6% year-on-year and 4 percentage points quarter-on-quarter [2] Group 2: Regional and Business Performance - Revenue growth outpaced the light vehicle sales growth across various regions, with significant projects launched, including models from Xiaomi, North American EV leaders, XPeng, and BYD [1] - Revenue by region in 1H25 was USD 1.14 billion for North America, USD 690 million for Asia-Pacific, and USD 400 million for EMEASA, with year-on-year growth rates of +1.7%, +15.5%, and +9.4% respectively [1] - Revenue from different business segments in 1H25 was USD 1.53 billion for EPS, USD 230 million for CIS, USD 90 million for HPS, and USD 400 million for DL, with year-on-year growth rates of +8.6%, +2.9%, +1.7%, and +3.8% respectively [1] Group 3: Order Acquisition and Profitability Measures - In 1H25, the company secured new orders worth USD 1.5 billion, including domestic and overseas business from Chinese automakers and orders for dual small gear EPS and rear-wheel steering from European automakers, maintaining an annual order target of USD 5 billion [3] - The company has received project designations for L4 autonomous driving models from global EV leaders and line control projects from leading Chinese new energy OEMs, indicating a potential lead in mass production speed for line control models [3] - The introduction of the new Motion IQ software suite aims to enhance customer efficiency and reduce costs, while the company collaborates with suppliers and customers to manage tariff changes and optimize production capacity [3]

Macro Strategy - The report highlights that government bonds support the improvement of social financing, while an active stock market boosts M2 growth, downplaying the negative growth in monthly loans [1][16] - In July 2025, new social financing reached 1.16 trillion yuan, an increase of 389.3 billion yuan year-on-year, with government bond financing being a major contributor [16][17] - The M2 growth rate increased by 0.5 percentage points to 8.8% in July 2025, driven by an active stock market and improved fiscal spending [16][17] Fixed Income Analysis - The report discusses the comparative value of non-ETF component bonds in the sci-tech bond market, suggesting a shift towards these bonds for better liquidity and potential inclusion in ETF [1][18] - The analysis indicates that the credit spreads of non-ETF component bonds are generally higher than those of ETF component bonds, suggesting a larger selection of bonds with compression potential [1][19] - The report emphasizes the importance of monitoring the performance of sci-tech bonds in the context of market fluctuations and the potential for future inclusion in ETFs [1][19] Industry Insights - The "anti-involution" policy is compared to the supply-side reform, indicating a shift in focus towards new industries such as renewable energy, semiconductors, and high-end equipment [2][22] - The report notes that the current economic environment shows signs of structural and institutional overcapacity, particularly in emerging industries like photovoltaics and lithium batteries [2][22] - The analysis suggests that the "anti-involution" policy aims to enhance quality development rather than merely reducing capacity, with a focus on market-driven measures [2][22] Company Recommendations - Jinlang Technology is projected to benefit from increased demand in Europe and Asia, with a forecasted net profit growth of 68% in 2025 [8] - Upme Holdings is expected to achieve significant profit growth through its multi-brand strategy, with a projected net profit increase of 42.3% in 2025 [9] - Nasda is recognized as a leading domestic printer manufacturer, with a focus on enhancing competitiveness through R&D investments [10]