CATL(SZ:300750) 3 6 Ke·2025-05-12 08:37Core Viewpoint - CATL is set to launch its IPO on the Hong Kong Stock Exchange on May 20, 2023, with a maximum issue price of HKD 263 per share, aiming to raise HKD 30.7 billion (approximately USD 4 billion), potentially making it the largest IPO in Hong Kong in nearly three years [1][2]. Group 1: IPO Details - The IPO price reflects CATL's confidence in its stock value, with a discount of less than 2% compared to its A-share closing price of RMB 248.3 on May 9, 2023 [1][2]. - The company completed its listing application in just three months, with a record 25 days for regulatory review, faster than peers like Midea and Kuaishou [1]. Group 2: Financial Performance - In 2024, CATL's revenue is projected to reach RMB 362 billion, despite a 9.7% year-on-year decline due to lithium carbonate price fluctuations; however, net profit is expected to grow by 15% to RMB 50.7 billion [3]. - The company's first-quarter performance in 2023 showed a 6.2% year-on-year revenue increase to RMB 84.7 billion, with net profit growth of 32.9% and operating cash flow of RMB 32.9 billion [3]. Group 3: Global Expansion Strategy - 90% of the funds raised from the IPO will be allocated to the construction of a factory in Debrecen, Hungary, which will become Europe's largest battery production base with a planned capacity of 100 GWh [4]. - CATL is building a global supply chain, including joint ventures in Spain and Indonesia, to enhance its production capabilities [4][5]. Group 4: Market Position and Risks - CATL's battery technology has been certified by Volkswagen, and the company is expected to benefit from economies of scale as its overseas production capacity ramps up [5]. - The geopolitical landscape poses risks, as CATL was listed on the U.S. Department of Defense's "Chinese Military Companies" list, which may affect its relationships with U.S. clients, although the impact on overall sales is limited [6]. Group 5: Industry Context - The capital market is currently optimistic about the renewable energy sector, driven by factors such as continued subsidies for electric vehicles and improved performance from some companies in the sector [2]. - As of the first quarter of 2025, CATL maintained a market share of 38.3% in the global battery market, reinforcing its position as a leader in the industry [6].