Delivery Results - ZEEKR delivered 11,942 vehicles in January 2025, bringing cumulative deliveries to 430,698 by the end of the month [1] Strategic Advancements - At CES 2025, ZEEKR announced a collaboration with Qualcomm Technologies to enhance intelligent cockpit development, highlighting its commitment to innovative driving experiences [2] - The company introduced the world's first OEM-produced, self-developed intelligent driving domain controller based on NVIDIA DRIVE AGX Thor, emphasizing its focus on autonomous driving technology [2] - ZEEKR unveiled plans for an overseas 800V ultra-fast charging network through ZEEKR Energy, reinforcing its position in EV charging infrastructure [2] - The announcement of ZEEKR RT, the first mass-produced purpose-built vehicle for autonomous mobility, with deliveries expected to start in 2025, generated excitement for future mobility [2] Company Overview - ZEEKR, a global premium electric mobility technology brand under Geely Holding Group, aims to create a fully integrated user ecosystem with a focus on innovation [3] - The company utilizes Sustainable Experience Architecture (SEA) and develops its own battery technologies, battery management systems, and electric vehicle supply chains [3] - ZEEKR's values include equality, diversity, and sustainability, with ambitions to become a comprehensive mobility solution provider [3] Product Portfolio - Since its vehicle deliveries began in October 2021, ZEEKR has developed a diverse product lineup, including models such as ZEEKR 001, ZEEKR 009, and ZEEKR X, among others [4] - The company has plans to expand its vehicle sales into global markets and has an ambitious rollout plan over the next five years to meet the growing global EV demand [4]

Core Insights - ZEEKR reported a significant increase in vehicle deliveries, with 27,011 vehicles delivered in November 2024, marking a 106% year-over-year growth [2] - Year-to-date deliveries for 2024 reached 194,933 vehicles, representing an 85% increase compared to the same period last year [2] - Cumulative deliveries as of the end of November 2024 totaled 391,566 vehicles [2] Company Overview - ZEEKR is a global premium electric mobility technology brand under Geely Holding Group, focusing on creating a fully integrated user ecosystem [3] - The company employs Sustainable Experience Architecture (SEA) and develops its own battery technologies, battery management systems, and electric motor technologies [3] - ZEEKR's mission emphasizes equality, diversity, and sustainability, aiming to become a comprehensive mobility solution provider [3] Product Portfolio - ZEEKR has developed a diversified product lineup since its launch in October 2021, including models such as the ZEEKR 001, ZEEKR 009, and ZEEKR X [4] - The product range includes luxury vehicles like the ZEEKR 001 FR and the ZEEKR 009 Grand, as well as compact and premium SUVs [4] - The company has plans for global market expansion and a five-year rollout strategy to meet the growing demand for electric vehicles [4]

Group 1 - ZEEKR Intelligent Technology Holding Limited (NYSE: ZK) reported lower-than-expected revenue and earnings, missing consensus estimates [1] - The disappointing performance is attributed to ongoing price competition among Chinese electric vehicle (EV) makers [1] Group 2 - Astrada Advisors specializes in investment research across technology, media, internet, and consumer sectors in North America and Asia [1] - The firm focuses on identifying high-potential investments and navigating complex industries, leveraging extensive local and global experience [1] - Astrada Advisors integrates rigorous fundamental analysis with data-driven insights to provide a nuanced understanding of key trends and competitive landscapes [1]

Financial Data and Key Metrics - Q3 2024 vehicle sales revenue exceeded RMB14.4 billion, setting a new record [8] - Vehicle margin reached 15.7% in Q3 2024, reflecting continuous profitability improvement [8] - Cumulative deliveries for 2024 reached nearly 170,000 units, with a new monthly record of over 25,000 units in October [5] - ZEEKR 7X deliveries exceeded 20,000 units within 50 days of launch, breaking the delivery record for luxury pure electric vehicles [6] - ZEEKR-009 achieved 1,500 deliveries within 159 days of launch, surpassing combined sales of the 2nd to 10th highest-selling premium four-seaters [7] Business Line Data and Key Metrics - ZEEKR 7X became the second model with monthly deliveries exceeding 10,000 units, marking a strong presence in the mainstream SUV market [6] - ZEEKR-001 and ZEEKR-009 continued to lead in their respective premium segments [7] - ZEEKR-009's strong market performance positively contributed to the company's gross margin [7] - ZEEKR's domestic one-stop channel expansion accelerated, with 100 ZEEKR houses launched in September, bringing the total to over 110 nationwide [8] Market Data and Key Metrics - Domestic market penetration rate for new energy vehicles surpassed 50% for three consecutive months [5] - ZEEKR has entered over 40 countries and regions, covering Europe, Asia, Oceania, Southeast Asia, and Latin America [8] - In Europe, Lynk & Co is cooperating with Volvo, opening over 30 new dealerships and planning to expand to over 100 [31] Company Strategy and Industry Competition - ZEEKR aims to achieve annual sales of 230,000 units in 2024, targeting monthly deliveries of over 30,000 units in the next two months [6] - The company is focusing on intelligent functions, with SEA Autonomous Driving 2.0 achieving nationwide rollout ahead of schedule [9] - ZEEKR plans to integrate with Lynk & Co to expand market segments, covering 60% of the Chinese domestic passenger car market [15] - The integration aims to reduce competition between ZEEKR and Lynk & Co, with combined sales expected to exceed 500,000 units in 2024 [17] Management Commentary on Operating Environment and Future Outlook - Management is confident in achieving the annual sales target of 230,000 units, driven by strong order trends and year-end market demand [6] - The company expects to achieve a new monthly delivery record of over 30,000 units in the next two months [6] - ZEEKR's global strategy is advancing steadily, with plans to expand further into international markets [8] - The integration with Lynk & Co is expected to bring significant synergies, including cost savings and improved operational efficiency [19][25] Other Important Information - Geely Holding transferred 11.3% of its shares in ZEEKR to Geely Automobile, increasing Geely Automobile's shareholding in ZEEKR to approximately 62.8% [11] - ZEEKR will hold 51% of Lynk & Co's shares, with the remaining 49% held by Geely Automobile's wholly-owned subsidiaries [12] - The company plans to roll out map-free urban NZP for all 2025 model years of ZEEKR-001, ZEEKR-007, ZEEKR-7X, and ZEEKR mix by the end of 2024 [9] Q&A Session Summary Question: Impact of ZEEKR's M&A with Lynk & Co - The integration aims to deeply integrate business operations, optimize management, and create better synergies for shareholders [14] - The combined company will cover 60% of the Chinese domestic passenger car market, significantly boosting growth potential [15] - The integration will reduce competition between the two brands and aim for annual sales of 1 million units [17] Question: Overseas Market Challenges and Integration Benefits - ZEEKR and Lynk & Co will leverage each other's existing infrastructure for international market expansion [28] - In regions like Israel and Saudi Arabia, ZEEKR will utilize Lynk & Co's sales channels, while in Mexico, ZEEKR will introduce BEV models and Lynk & Co will introduce PHEV models [29] - Lynk & Co's cooperation with Volvo in Europe will benefit ZEEKR's expansion in the region [31] Question: Technology Integration Post-Merger - ZEEKR and Lynk & Co will unify their architectures, powertrains, and ADAS systems to achieve significant synergies [24][39] - The company expects to reduce R&D expenses by 10%-20% and achieve 5%-8% BOM cost reduction post-integration [40] Question: Gross Margin Guidance for Q4 2024 - Q4 gross margins are expected to improve, driven by strong demand for high-margin models like ZEEKR-009 [55] - The integration with Lynk & Co and the rollout of large-size luxurious PHEV vehicles will further contribute to gross margin improvement [56] Question: Sales Distribution Integration Post-Merger - ZEEKR will continue its direct-to-customer sales model, while Lynk & Co will maintain its dealer-based approach [59] - ZEEKR plans to expand its sales reach in lower-tier cities by leveraging Lynk & Co's existing infrastructure [60] Question: Combined Sales Target for New ZEEKR - The company aims to achieve 1 million annual sales as soon as possible, with detailed breakdowns to be provided in future reports [61] Question: Optimal Number of Models Post-Integration - The company plans to reduce the number of models to focus on high-volume, benchmark products [63] - ZEEKR will roll out four new models in 2025, positioned in different market segments [64] Question: Business Model Shift Post-Lynk & Co Acquisition - The integration will bring three manufacturing facilities from Lynk & Co, but ZEEKR will continue to optimize its asset-light model [67] - No further plans for acquiring additional manufacturing facilities are currently in place [68]

盈利能力进一步改善，实现香港财务报告准则下单季度盈亏平衡。 2024年前三季度，极氪累计交付新车近14.3万台，其中三季度交付突破5.5万台，同比增长51%， 创单季新高。刚刚过去的十月，极氪交付突破2.5万台，创单月历史新高，同比增长92%，环比增长 17%，稳居月销2万+俱乐部，1-10月交付近17万台，问鼎中国高端纯电销冠。 目前，极氪共6款在售车型，随着极氪7X和极氪MIX的上市，产品矩阵进一步丰富，——极氪001车 型2024年累计销量稳居25万以上纯电销冠；极氪009连续4个月蝉联40万以上纯电销冠；极氪7X上 市50天交付突破2万台，成为20万以上中国纯电动SUV销量冠军；极氪MIX上市即交付，并荣膺哈 尔滨2025年亚冬会火种采集车、火炬传递指挥车。 此外，极氪坚持核心技术全栈自研，2024年研发投入持续增加，前三季度投入超65亿元，同比增长 超25%，累计研发投入近235亿元，实现了第二代金砖电池、浩瀚智驾2.0、AI大模型智能座舱等多 项核心技术突破。 补能服务方面，作为超快充全球引领者，极氪开创性地布局了行业唯一"三个 800"超快充服务生 态，并专注于推进"千站万桩"和"1515便利电 ...

Core Viewpoint - ZEEKR Intelligent Technology Holding Limited has announced strategic integration transactions with various Geely entities, which include equity transfers and capital injections aimed at strengthening its position in the electric vehicle market [1][2][4]. Group 1: Strategic Integration Transactions - ZEEKR will acquire a 20% interest in LYNK & CO from Geely Holding for RMB3.6 billion and a 30% interest from VCI for RMB5.4 billion, with accrued interests from September 30, 2024 [2]. - The acquisition is subject to approval from independent shareholders of Geely Auto and Volvo [3]. - ZEEKR plans to fund the acquisition using its cash reserves and external financing [3]. Group 2: Capital Injection - ZEEKR will subscribe for increased registered capital in LYNK & CO at a price of RMB367,346,940, resulting in ZEEKR owning 51% of LYNK & CO post-transaction [4]. - Completion of the capital injection is also contingent on shareholder approvals and the completion of the equity transfer [5]. Group 3: Financial Consolidation - Upon completion of the transactions, LYNK & CO will become an indirect non-wholly-owned subsidiary of ZEEKR, and its financial results will be consolidated into ZEEKR's financial statements [6]. Group 4: Board and Advisory - ZEEKR's board formed a committee of independent directors to evaluate the transactions, which received a fairness opinion from its financial advisor, confirming the financial fairness of the transactions [7]. Group 5: Shareholding Changes - Geely International will sell approximately 11.3% of ZEEKR's issued share capital for US$806.1 million (approximately RMB5.84 billion), increasing Geely Auto's shareholding in ZEEKR to approximately 62.8% [9].

Core Insights - ZEEKR Intelligent Technology Holding Limited reported a strong performance in Q3 2024, with total vehicle deliveries reaching 55,003 units, a 51% year-over-year increase [2][10] - The company achieved vehicle sales of RMB 14,401.3 million (US$ 2,052.2 million) in Q3 2024, marking a 42% increase from Q3 2023 and a 7.2% increase from Q2 2024 [12][10] - Despite the growth in deliveries and sales, the vehicle margin decreased to 15.7% from 18.1% in Q3 2023, attributed to a lower average selling price due to product mix changes [3][18] Operating Highlights - Total vehicle deliveries for Q3 2024 were 55,003 units, compared to 36,395 units in Q3 2023, reflecting a significant increase [2] - Monthly deliveries in October 2024 reached 25,049 units, a 92% increase from October 2023 [9] Financial Highlights - Total revenues for Q3 2024 were RMB 18,358.0 million (US$ 2,616.0 million), a 30.7% increase from RMB 14,044.6 million in Q3 2023, but an 8.4% decrease from Q2 2024 [3][11] - Gross profit for Q3 2024 was RMB 2,941.8 million (US$ 419.2 million), up 28.5% from RMB 2,289.4 million in Q3 2023, but down 14.7% from Q2 2024 [4][16] - The net loss for Q3 2024 was RMB 1,139.1 million (US$ 162.3 million), a decrease of 21.7% from RMB 1,455.7 million in Q3 2023 and a decrease of 37.0% from Q2 2024 [6][22] Cost and Margin Analysis - Cost of revenues for Q3 2024 was RMB 15,416.2 million (US$ 2,196.8 million), a 31.1% increase from RMB 11,755.2 million in Q3 2023 [15] - Gross margin for Q3 2024 was 16.0%, slightly down from 16.3% in Q3 2023 and 17.2% in Q2 2024 [4][17] - Vehicle margin decreased to 15.7% in Q3 2024 from 18.1% in Q3 2023, primarily due to lower average selling prices [18] Research and Development - Research and development expenses for Q3 2024 were RMB 1,966.2 million (US$ 280.2 million), a decrease of 2.6% from RMB 2,018.1 million in Q3 2023 [19] - The decrease in R&D expenses was attributed to a one-off large quantity of share-based compensation expenses in the previous quarter [19] Recent Developments - ZEEKR launched the ZEEKR MIX on October 23, 2024, a family-oriented vehicle designed for everyday use, featuring innovative space utilization and flexible seating arrangements [9][10] - The company continues to focus on expanding its product lineup and enhancing its market position [10]

Core Viewpoint - Zeekr Intelligent Technology (ZK) shows potential for upside based on analysts' price targets and earnings estimate revisions, with a mean price target of $31.73 indicating a 27.8% upside from the current price of $24.83 [1] Price Targets - The average price target consists of six estimates ranging from a low of $24 to a high of $37, with a standard deviation of $4.42, indicating variability among analysts [2] - The lowest estimate suggests a decline of 3.3%, while the highest indicates a potential upside of 49% [2] - A low standard deviation signifies a higher agreement among analysts regarding price movement [7] Analysts' Insights - Analysts are optimistic about ZK's earnings prospects, as indicated by upward revisions in earnings estimates, which historically correlate with stock price movements [9] - Over the past 30 days, the Zacks Consensus Estimate for the current year has increased by 5%, with no negative revisions [10] - ZK holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate factors, suggesting strong potential for upside [11]

Group 1 - Zeekr's deliveries surged by 92% in October, reaching a record of 25,049 vehicles, surpassing the previous record of 21,333 in September [1] - Zeekr's total deliveries for the year have approached 168,000 vehicles [1] - The company aims to deliver 230,000 cars in 2024, requiring over 31,000 deliveries in both November and December [2] Group 2 - Xpeng delivered 23,917 vehicles in October, marking its second consecutive month of record deliveries [2] - Li Auto delivered 51,443 cars in October, slightly below its record month in September [2] - Xiaomi delivered over 20,000 electric vehicles in October, with a total of more than 75,000 cars delivered since launching its first model in late March [3]

Core Insights - ZEEKR reported a significant increase in vehicle deliveries, with 25,049 vehicles delivered in October 2024, marking a 92% year-over-year growth [2] - Year-to-date deliveries reached 167,922 vehicles, representing an 82% increase compared to the same period last year [2] - Cumulative deliveries as of October 2024 totaled 364,555 vehicles [2] Product Launch - On October 23, 2024, ZEEKR launched the ZEEKR MIX, a family-oriented vehicle designed for everyday use [3] - The ZEEKR MIX features innovative design elements, including a 93% in-cabin space utilization and industry-first double sliding doors for enhanced accessibility [3] - The vehicle includes versatile seating arrangements and safety features, such as ultra-high-strength steel pillars embedded within the doors [3] Company Overview - ZEEKR is a premium electric mobility technology brand under Geely Holding Group, focusing on creating a fully integrated user ecosystem [4] - The company operates R&D centers and design studios in multiple locations, including Ningbo, Hangzhou, Gothenburg, and Shanghai [5] - ZEEKR has developed a diverse product portfolio, including models like the ZEEKR 001, ZEEKR 009, and ZEEKR X, with plans for global market expansion over the next five years [5]