BYD(SZ:002594) Zhong Jin Zai Xian·2025-04-22 10:57Core Viewpoint - BYD announced a significant capital restructuring plan, including a stock dividend of 8 shares for every 10 shares held and a capital reserve conversion of 12 shares for every 10 shares, aimed at enhancing shareholder returns and optimizing its capital structure [1] Group 1: Financial Performance - For 2024, BYD expects to achieve a revenue of 777.1 billion yuan, representing a year-on-year growth of 29% [1] - The net profit is projected to be 40.25 billion yuan, reflecting a year-on-year increase of 34% [1] - The company plans to distribute a cash dividend of 39.74 yuan per 10 shares (before tax), totaling approximately 12.077 billion yuan, marking a historical high [1] Group 2: Capital Structure and Liquidity - Following the implementation of the stock dividend and capital reserve conversion, BYD's total share capital will increase from 3.039 billion shares to 9.117 billion shares [1] - Since its A-share listing in 2011, BYD's share capital has grown at a compound annual growth rate (CAGR) of about 2%, which is lower than the CAGR of its net profit attributable to shareholders at approximately 29.6% during the same period [1] - Compared to similar-sized companies, BYD's total share capital is relatively small, leading to higher purchase costs per lot and limiting stock liquidity [1] Group 3: Market Context - Analysts note that leading global tech stocks, like NVIDIA, have successfully implemented stock splits to lower investment thresholds and enhance liquidity, allowing more retail investors to participate [2] - BYD's rapid growth in performance has led to an increase in stock prices, raising the investment threshold; the new capital restructuring aims to lower this barrier and improve liquidity [2] - BYD's first-quarter net profit is expected to be between 8 billion and 10 billion yuan, representing a year-on-year increase of 86.04% to 118.88%, indicating continued strong growth momentum [2]