BYD(002594) Shengang Securities·2024-11-06 10:30Investment Rating - The report maintains a "Buy" rating for the company [4][6]. Core Views - The company has solidified its leading position in the market, with a significant increase in overseas sales of new energy vehicles, achieving 298,000 units sold, a year-on-year growth of 105% [3]. - The gross margin has shown resilience, with a quarterly increase of 3.2 percentage points in Q3 2024, despite challenges from subsidy withdrawals and price wars [3]. - The company is steadily enhancing its brand strength and is expected to see growth in high-end vehicle sales, contributing to overall performance improvements [3]. Summary by Sections Financial Performance - For the first three quarters of 2024, the company reported revenue of 502.3 billion yuan, a year-on-year increase of 18.9%, and a net profit attributable to shareholders of 25.2 billion yuan, up 18.1% [2]. - In Q3 2024 alone, revenue reached 201.1 billion yuan, reflecting a 24.0% year-on-year growth and a 14.2% quarter-on-quarter increase [2]. Sales and Market Expansion - The company sold 2.75 million new energy vehicles in the first three quarters of 2024, marking a 32.1% increase year-on-year, with expectations to exceed 4 million units for the full year [3]. - The company is actively expanding into international markets, with a focus on Europe, Asia-Pacific, the Americas, and the Middle East [3]. Profitability and Margins - The gross margin for the first three quarters of 2024 was 20.77%, an increase of 0.98 percentage points year-on-year, while Q3 2024 saw a gross margin of 21.89% [3]. - The company is expected to continue improving its profitability due to significant reductions in upstream battery material costs [3]. Future Projections - Revenue projections for 2024-2026 are 729.7 billion yuan, 907.8 billion yuan, and 1,066.4 billion yuan, with year-on-year growth rates of 21.1%, 24.4%, and 17.5% respectively [4]. - Net profit projections for the same period are 39.3 billion yuan, 49.2 billion yuan, and 61.1 billion yuan, with growth rates of 30.9%, 25%, and 24.4% respectively [4].