CATL(SZ:300750) Xin Jing Bao·2025-05-20 04:02Core Viewpoint - The recent IPO of CATL in Hong Kong marks a significant step in the company's global strategy, but underlying performance issues raise concerns about its future growth potential [1][2]. Group 1: IPO Details - CATL began trading on May 20 at a price of 263 HKD per share, with the stock rising to 292.4 HKD, an increase of 11.18% shortly after trading commenced [1]. - The IPO process was notably efficient, taking only 98 days from application to listing, setting a record for Chinese companies in Hong Kong [2]. - The market response was enthusiastic, with retail subscriptions exceeding 120 times and institutional funds frozen at over 28 billion HKD, marking the third-largest subscription record for Hong Kong IPOs this year [2]. Group 2: Financial Performance - CATL's 2024 annual report indicates a revenue decline of 9.7% year-on-year, totaling 362.01 billion CNY, marking the first annual revenue drop since its A-share listing in 2018 [2][3]. - The decline in revenue is attributed to falling prices of lithium carbonate and increased competition from domestic battery manufacturers, impacting CATL's market share [2][4]. Group 3: Market Competition - CATL's market share in domestic battery installations fell to 39.44% in April 2024, a decrease of 2.94% from the previous month, while competitors like BYD increased their market share to 26.35% [4]. - The company faces intensified competition as rivals establish stable partnerships with major automotive manufacturers, further eroding CATL's dominance [4][5]. - CATL's global market share for energy storage battery shipments decreased from 40% to 36.5% in 2024, reflecting the growing challenge from emerging domestic brands [6]. Group 4: Strategic Initiatives - The funds raised from the Hong Kong IPO will primarily be allocated to projects in Hungary to enhance local supply capabilities [6]. - CATL's revenue from overseas markets accounted for 30.48% in 2024, but this segment also saw a decline of 15.77% year-on-year [6]. - Competitors like Guoxuan High-Tech are also expanding their international presence, with overseas revenue reaching 11 billion CNY in 2024, a year-on-year increase of 71.21% [6].