CATL(SZ:300750) SINOLINK SECURITIES·2025-03-15 10:23Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company's performance in 2024 met expectations, with revenue of 362 billion RMB, a decrease of 10% year-on-year, and a net profit of 50.7 billion RMB, an increase of 15% year-on-year [1] - The company continues to experience high demand and resilient profitability, with Q4 2024 revenue at 103 billion RMB, a decrease of 3% year-on-year, and a net profit of 14.7 billion RMB, an increase of 14% year-on-year [2] - The company is expected to benefit from the current industry replenishment cycle and overseas capital expansion, with projected revenues of 700 billion RMB and 840 billion RMB for 2025 and 2026, respectively [4] Summary by Sections Performance Analysis - In Q4 2024, the company shipped 474 GWh of batteries, a year-on-year increase of 22%, and 144 GWh of energy storage, a year-on-year increase of 23% [2] - Battery prices remained stable at 0.60-0.65 RMB/Wh in Q4, with a year-on-year decrease of nearly 17% due to lower prices of key materials like lithium carbonate [2] - The gross margin for Q4 was impacted by a 11.5 percentage point effect from warranty costs, resulting in a gross margin of 15% [2] Research and Development - The company maintains high R&D investment, significantly exceeding industry levels, with new products like the Shenxing supercharging battery and Tianxing heavy-duty commercial vehicle battery being introduced [3] - The company is also focusing on smart manufacturing technologies to enhance production efficiency [3] Financial Projections - The company is projected to achieve revenues of 458 billion RMB in 2025, with a growth rate of 26.55% [7] - The diluted earnings per share are expected to reach 15.903 RMB in 2025, with a net profit growth rate of 38% [7] - The company’s return on equity (ROE) is projected to be 24.11% in 2025 [7]