CATL(SZ:300750) Shanxi Securities·2024-08-01 05:00Investment Rating - The report maintains a "Buy-A" rating for the company, indicating an expected price increase of over 15% relative to the benchmark index within the next 6-12 months [3][6]. Core Views - The company has demonstrated stable profitability with a slight increase in gross margins, despite a year-on-year revenue decline in the first half of 2024 due to reduced battery prices from raw material cost decreases [1][4]. - The company is experiencing significant growth in its energy storage segment, with a notable increase in shipments of its new battery products, which are expected to continue gaining market share [1][2]. Financial Performance Summary - For H1 2024, the company reported total revenue of 166.77 billion yuan, a decrease of 11.9% year-on-year, while net profit attributable to shareholders was 22.86 billion yuan, an increase of 10.4% [4]. - The company achieved a Q2 revenue of 87 billion yuan, down 13.2% year-on-year, with a net profit of 12.36 billion yuan, up 13.4% [4]. - The company’s earnings per share (EPS) for 2024 is projected to be 10.88 yuan, with net profits expected to reach 47.84 billion yuan [6][7]. Market Position and Product Development - The company leads the global market in both power and energy storage battery shipments, with a market share of 37.5% in the power battery segment for the first five months of 2024, an increase of 2.3 percentage points year-on-year [1][2]. - New product launches include the Shenxing Plus battery, which features a 1,000 km range and rapid charging capabilities, and the Kirin battery, which has a discharge power exceeding 1,300 kW [2]. Capacity and Production - The company currently has a production capacity of approximately 650 GWh, with an additional 153 GWh under construction, including a significant facility in Hungary [1][2]. - Total battery shipments for H1 2024 reached 205 GWh, a year-on-year increase of 13%, with a full-year shipment forecast of 480 GWh, representing a 23% increase [1].