Investment Rating - The report assigns a "Buy" rating for the company, indicating a potential upside in the stock price [3][7]. Core Insights - The company is entering a rapid growth phase, with expected continuous improvement in performance. The recent launch of the B10 model has generated significant market interest, with over 15,000 orders within the first hour of pre-sale [7]. - The company focuses on high cost-performance products, establishing a competitive advantage in the market. It maintains a self-research approach for over 70% of its core components, supporting rapid product iteration [7]. - The company is projected to achieve profitability in 2025, with net profits expected to reach 1.89 billion RMB, 22.4 billion RMB, and 43.9 billion RMB for the years 2025, 2026, and 2027 respectively [7][9]. Company Overview - The company operates in the automotive industry, with a current stock price of HKD 41.50 as of March 10, 2025. The market capitalization is approximately 34.76 billion RMB [2]. - The company has a total share issuance of 1,336.97 million shares, with 1,116.41 million shares listed as H shares [2]. - Major shareholder includes Chen Ailing, holding 25.09% of the shares [2]. Financial Performance - For the year 2024, the company reported a revenue of 32.16 billion RMB, a year-on-year increase of 92.1%. The net loss was reduced to 2.82 billion RMB, an improvement of 1.39 billion RMB compared to 2023 [7][9]. - The company achieved a gross margin of 8.38% for the year, with a significant increase in quarterly gross margin to 13.3% in Q4 2024 [7]. - Free cash flow turned positive at 6.32 billion RMB, a substantial increase from a negative cash flow of 320 million RMB in the previous year [7]. Sales Projections - The company aims to sell between 500,000 to 600,000 vehicles in 2025, with a projected monthly sales volume of 20,000 to 25,000 units for the B10 model after its official launch [7]. - The sales target reflects a doubling of sales volume compared to the previous year, supported by new model launches and upgrades [7].

2025年3月11日 CMB国际全球市场 | 股票研究 | 公司更新 Leapmotor (9863 HK) 竞争性定价 B10 在2024年第四季度实现强劲的 利润率。 Leapmotor 推出了其 B10 3月10日的EV发布，预售价范围在人民币109,800-1 39,800。具备激光雷达和城市NOA功能型号的价格低至人民币129,800。我们 认为这样的价格具有竞争力。考虑到Leapmotor利用Qualcomm 8650芯片进行 自主研发的自动驾驶，我们认为许多投资者仍然低估了Leapmotor的研发能力 。因此，我们将其在FY25E年的B系列销量上调25,000单位。我们还将其在FY2 5E年的总销量上调30,000单位至0.48mn单位。 在FY25E实现可能的盈亏平衡，得益于规模经济的扩大和强劲的2024年第 四季度利润率。 Leapmotor的2024年第四季度毛利率环比上升5.2个百分点至1 3.3%，符合其盈利预警。其2024年第四季度收入环比增长37%至人民币135亿 元，净利润为人民币8100万元，甚至强于预期。 我们之前的预测 我们预计， 凭借Leap 3.5架构在降低成本方面的帮 ...

11 Mar 2025 CMB International Global Markets | Equity Research | Company Update Leapmotor (9863 HK) Competitive pricing for B10 with strong 4Q24 margins Maintain BUY. Leapmotor's aggressive pre-sale price for its new B10 EV, along with its in-house autonomous driving (AD) and chassis capabilities, gives us more confidence about its sales. We revise up its FY25E sales volume by 7% to 0.48mn units. We also project a minimal net loss in FY25E and a net profit of RMB1.26bn in FY26E with more new A and D series ...

其中，第四季度零跑月均交付超4万台，毛利率达13.3%，创单季度新高；更实现净利润转正，提前一 年达成单季度盈利目标，成为第二家盈利的新势力公司。 人民财讯3月11日电，近日，零跑汽车发布2024年年度财报，期内，公司营业收入为321.6亿元，保持强 劲增长；毛利率达8.4%，创历史新高；全年交付达293724台，超额完成年度目标；经营现金流和自由 现金流双转正，在手资金充裕，达204.2亿元。 ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性 或完整性亦不發表任何聲明，並明確表示概不會就本公告全部或任何部分內容而產生或因倚賴 該等內容而引致的任何損失承擔任何責任。 ZHEJIANG LEAPMOTOR TECHNOLOGY CO., LTD. 浙江零跑科技股份有限公司 （於中華人民共和國註冊成立的股份有限公司） （股份代號：9863） 截至2024年12月31日止年度的 年度業績公告 浙江零跑科技股份有限公司（「公司」、「本公司」、「我們」或「零跑」，連同其附屬 公司統稱「本集團」）董事（「董事」）會（「董事會」）欣然公佈本集團截至2024年12 月31日止年度（「報告期」）的經審計年度合併業績，連同2023年同期比較數字。 該等年度業績已根據國際財務報告準則編製，並經董事會審核委員會（「審核委員 會」）及本集團獨立核數師審閱。 截至2024年12月31日止年度摘要 經營亮點 財務 1 • 2024年第四季度本公司實現了淨利潤轉正，為人民幣0.8億元，提前一年實現 單季度淨利潤轉正的目標，成為造車新勢力中第二家實現盈利的企業； • 2024年第四季度本公司毛利率為1 ...

Group 1 - The core point of the article is that Leap Motor has officially announced its continued sponsorship of Zhejiang FC for the 2025 season, reinforcing its commitment to the partnership [1] - Leap Motor will serve as the exclusive naming partner on the front of the match jerseys for the Zhejiang Green Town team, which competes in the Chinese Super League and the FA Cup [1]

Summary of Leap Motor Conference Call Company Overview - **Company**: Leap Motor - **Industry**: Automotive, specifically electric vehicles (EVs) Key Points and Arguments - **Market Performance**: Leap Motor has shown significant growth since its establishment in 2015, with the T03 model launched in 2020 marking a turning point in sales. The company is now among the top new force brands in terms of sales, with upcoming models CC11, C01, 410, and 416 expected to further enhance its market position [3][4] - **Revenue Growth**: Leap Motor's revenue increased from a few hundred million in 2019 to 16.7 billion in 2023, with a forecast of at least 30.5 billion for 2024. The first three quarters of 2024 saw revenues of 18.7 billion, with Q4 expected to exceed 12 billion due to subsidy policies, marking the first quarter of profitability [4][5] - **Gross Margin Improvement**: The company's gross margin has improved, with an average of 4.87% in the first three quarters of 2024, rising to over 8% in Q3. The overall gross margin for the year is expected to exceed 8% [4][5] - **Sales Model**: Leap Motor primarily uses a dealer model, which allows for rapid expansion of its sales network despite potential management challenges. This model has helped the company quickly capture market share [7][9] - **International Expansion**: The company is actively expanding into international markets, particularly Europe, through a partnership with Stellantis, which provides support in local market adaptation and channel development [6][11] - **Sales Projections**: For 2025, Leap Motor aims for domestic sales of 420,000 units and international sales of 60,000 to 80,000 units, totaling 500,000 units. By 2026, the overall sales target approaches 1 million units [4][25] - **Revenue Forecast**: Expected revenues for 2024, 2025, and 2026 are projected at 31.4 billion, 56.1 billion, and 81.4 billion respectively, with a break-even point anticipated in 2025 and a net profit of 2.4 billion expected in 2026 [4][26] Additional Important Insights - **Product Line and Development**: Leap Motor plans to introduce a series of high-cost performance B-series models to replace some microcar demand, ensuring a robust revenue structure. The company has a production capacity of 800,000 vehicles annually with new factories in Jinhua and Hangzhou [5][8] - **Competitive Landscape**: Leap Motor's competitive edge lies in its strong product capabilities, high cost performance, and advanced technology integration, including electronic architecture and battery integration [10][12] - **Challenges and Opportunities**: While the dealer model presents challenges in profit margins due to dealer incentives, it also allows for a low-cost strategy and effective inventory management. The company is well-positioned to leverage the growing demand for economical vehicles in Europe, especially given the high energy prices [9][19] - **Consumer Preferences**: European consumers show a strong preference for small cars, with a significant market for A-class vehicles. Leap Motor's strategy to offer competitive pricing in this segment could tap into a potential market space of 3 million units annually [15][16] This summary encapsulates the key insights from the conference call regarding Leap Motor's current status, future projections, and strategic initiatives in the automotive industry.

Investment Rating - The report assigns a "Buy" rating for the company, with a target price of 41.14 HKD, indicating a potential upside from the current price of 35.35 HKD [4]. Core Insights - The company is positioned to benefit from a new vehicle cycle and scale effects in the domestic market, with a high self-manufacturing rate of core components at 70%, enhancing cost control and product competitiveness [1][2]. - The partnership with Stellantis is expected to accelerate international expansion, particularly in the European market, where the company aims to offer affordable electric vehicles [2][3]. - Financial forecasts indicate a positive trajectory, with expectations of achieving profitability by Q4 2024 and a gross margin of no less than 8% in 2024 [1][4]. Summary by Sections Domestic Business - The company has a strong self-research advantage, with a self-manufacturing rate of 70% for core technologies, covering various aspects such as vehicle architecture, electronic architecture, batteries, and intelligent driving [1][14]. - The product lineup targets the 50,000 to 200,000 RMB market, with models like C01, C11, T03, C16, and C10, showcasing a rich and expandable matrix [1][18]. - Financial improvements are anticipated, with projections of revenues reaching 316 billion, 550 billion, and 840 billion RMB from 2024 to 2026, respectively [4][23]. International Business - The collaboration with Stellantis, which invested 1.5 billion euros for a 20% stake, aims to establish a joint venture named "Leapmotor International" to handle overseas operations [2][26]. - The partnership is designed to leverage Stellantis's extensive distribution channels in Europe, enhancing the company's market penetration [3][31]. Product Strategy - The company plans to launch new models, including the B series targeting the 100,000 to 150,000 RMB market and the D series for the 200,000 to 300,000 RMB segment, further diversifying its offerings [1][21]. - The C10 and T03 models are set to be launched in Europe in September 2024, with competitive pricing aimed at capturing market share [3][22]. Financial Projections - The report forecasts a steady increase in delivery volumes driven by new models, with expectations of a significant leap from gross margin to net margin [4][23]. - The current market valuation is below the industry average, suggesting substantial room for valuation improvement as the company transitions to a more favorable financial position [4][23].

Investment Rating - The investment rating for the company is "Buy" and is maintained [5] Core Views - The company focuses on self-research to create cost advantages, resulting in an excellent price-performance ratio, with products covering a price range of 50,000 to 200,000 CNY. It is expected that the revenue for 2024 will not be less than 30.5 billion CNY, with an annual gross margin of no less than 8%. The company achieved a positive net profit in Q4 2024, one year ahead of its target for quarterly profitability [1][3][6] Summary by Relevant Sections Event Description - The company announced that it achieved a positive net profit in Q4 2024, one year ahead of its target for quarterly profitability [3] Financial Performance - The company expects to achieve sales of 294,000 units in 2024, a year-on-year increase of 103.8%. Revenue is projected to be no less than 30.5 billion CNY, a year-on-year increase of no less than 80%. The annual gross margin is expected to be no less than 8%, an increase of over 7.5 percentage points year-on-year. In Q4 2024, sales are expected to reach 121,000 units, a year-on-year increase of 118.4% and a quarter-on-quarter increase of 40.3%. Revenue for Q4 is projected to be no less than 11.79 billion CNY, a year-on-year increase of over 123.5% and a quarter-on-quarter increase of over 19.6% [6][7] Growth Drivers - The significant improvement in profitability in Q4 is attributed to three main factors: (1) Average monthly sales exceeded 40,000 units, with a quarter-on-quarter increase of over 40%. (2) The product structure continues to optimize, with high-priced C-series models accounting for over 77% of sales in Q4. (3) The company is continuously improving cost management and operational efficiency [6][7] Future Outlook - The company is expected to enter a strong new car cycle globally, with plans to launch 2-3 new products each year over the next three years. In 2025, three models from the B series are planned for launch, with prices ranging from 100,000 to 150,000 CNY. The company is also expanding its domestic and international sales channels, with a total of 860 stores in China and 339 stores in Europe by the end of October 2024 [6][7]

Investment Rating - The report maintains a "Buy" rating for Leap Motor (9863.HK) with a target price of HKD 40.6, indicating a potential upside of 26% from the current price of HKD 32.20 [3][5][8]. Core Insights - Leap Motor is expected to achieve its first positive net profit in Q4, becoming the second profitable new energy vehicle manufacturer among its peers. The company anticipates a significant increase in sales volume, targeting 500,000 units by 2025, supported by stable domestic subsidy policies [8]. - The report highlights a substantial improvement in gross margin, projecting it to reach around 13% in Q4 2024, driven by increased sales volume and effective cost management [8]. - The financial forecasts for Leap Motor show a revenue increase from RMB 12.4 billion in 2022 to RMB 69.2 billion by 2026, with a projected revenue growth rate of 295% in 2022 and 37% in 2026 [4][10]. Financial Summary - Revenue projections for Leap Motor are as follows: - 2022: RMB 12,385 million - 2023: RMB 16,747 million - 2024E: RMB 30,771 million - 2025E: RMB 50,581 million - 2026E: RMB 69,234 million - The expected gross margin is projected to improve from (15.4%) in 2022 to 15.9% in 2026, with net losses decreasing significantly over the forecast period [4][9]. - The report estimates that Leap Motor will achieve a net profit of RMB 2.85 billion by 2026, transitioning from a net loss of RMB 5.1 billion in 2022 [4][10]. Valuation - The valuation method used is the sum-of-the-parts approach, applying a price-to-sales ratio of 1.0x for both automotive sales and services, leading to a target price of HKD 40.6 [11]. - The current price-to-sales ratio for Leap Motor is noted to be 0.7x, suggesting potential for upward revaluation as profitability improves [8][11].