Zheng Quan Zhi Xing·2025-08-19 06:55Core Viewpoint - The research report on Weilan Lithium Chip (002245) highlights strong performance in three main business areas and promising progress in new directions, leading to an upgraded target price of 26.0 yuan and a "buy" rating [1] Financial Performance - The company's H1 2025 revenue reached 3.7 billion yuan, a 22% year-on-year increase, with net profit attributable to shareholders at 330 million yuan, up 99%, and net profit excluding non-recurring items at 360 million yuan, up 187% [2] - In Q2 2025, revenue was 2 billion yuan, with a quarter-on-quarter increase of 22% and a year-on-year increase of 16%. The net profit attributable to shareholders was 190 million yuan, with a quarter-on-quarter increase of 98% and a year-on-year increase of 35% [2] - The gross profit margin for Q2 was 21.1%, reflecting a quarter-on-quarter increase of 5.5 percentage points and a year-on-year increase of 0.7 percentage points [2] Product and Market Developments - The company shipped nearly 180 million units in Q2, a 30% quarter-on-quarter increase, with profit per unit rising to 0.6 yuan [2] - In the traditional lithium battery sector, H1 2025 revenue was 1.6 billion yuan, a 44% year-on-year increase, with over 200 million units shipped, a 20% increase [2] - The company launched a new semi-solid cylindrical product in July 2025, with an energy density of 350 Wh/kg and a cycle life exceeding 8000 times, with mass production expected by the end of the year [3] Business Segments Performance - The LED business reported H1 2025 revenue of 860 million yuan, a 15% year-on-year increase, with a gross profit margin of 25.6%, up 9.8 percentage points, contributing approximately 100 million yuan in profit, a 214% increase [3] - The metal logistics segment achieved H1 2025 revenue of 1.19 billion yuan, a 3% year-on-year increase, with a gross profit margin of 17.3%, up 2.8 percentage points [3] Operational Efficiency - The expense ratio in Q2 2025 decreased to 7.4%, down 1.5 and 2.5 percentage points quarter-on-quarter [4] - Operating cash flow turned positive year-on-year at 410 million yuan, with a quarter-on-quarter increase of 23% [4] - As of the end of H1 2025, inventory stood at 1.74 billion yuan, a 15% increase from the beginning of the year [4] Profit Forecast and Investment Rating - The company maintains net profit forecasts of 750 million yuan, 1 billion yuan, and 1.31 billion yuan for 2025, 2026, and 2027, respectively, representing year-on-year growth of 55%, 33%, and 31% [4] - The target price for 2026 is set at 26 yuan, with a price-to-earnings ratio of 30x [4]