LEAPMOTOR(09863) CAITONG SECURITIES·2024-11-14 10:28Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company reported a total revenue of 9.86 billion yuan for Q3 2024, with a quarter-on-quarter growth of 89.3% and a year-on-year growth of 74.3%, despite a net loss attributable to shareholders of 690 million yuan [2] - The gross margin improved to 8.1% in Q3 2024, an increase of 5.3 percentage points year-on-year, attributed to changes in product sales structure, ongoing cost management, and economies of scale from increased sales [2] - The C-series products are performing well, with over 40,000 new orders in October 2024, and the company expects to exceed its annual sales target of 250,000 vehicles [3] - The company plans to unveil a new model, the B10, at the Guangzhou Auto Show on November 15, 2024, featuring advanced technology for high-level assisted driving [3] Financial Performance Summary - The company is projected to achieve net profits of -3.703 billion yuan in 2024, -1.080 billion yuan in 2025, and 854 million yuan in 2026, with a corresponding PE ratio of 46.37 in 2026 [5] - Revenue is expected to grow significantly from 16.747 billion yuan in 2023 to 79.932 billion yuan in 2026, reflecting a growth rate of 295.41% in 2023 and 78.58% in 2024 [4][6] - The gross margin is forecasted to improve from 0.48% in 2023 to 14.00% in 2026, while the net profit margin is expected to turn positive by 2026 [7]