Autowell(SH:688516) SINOLINK SECURITIES·2025-04-22 08:25Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected price increase of over 15% in the next 6-12 months [4]. Core Insights - In 2024, the company achieved a revenue of 9.198 billion RMB, a year-on-year increase of 45.94%, and a net profit attributable to shareholders of 1.273 billion RMB, a slight increase of 1.36% [2]. - The first quarter of 2025 saw a decline in revenue to 1.534 billion RMB, down 21.90% year-on-year, and a net profit of 141 million RMB, down 57.56% year-on-year, slightly below expectations [2]. - The company is facing short-term profit pressure due to an industry-wide supply-demand imbalance, but it is well-prepared to navigate through the cycle with diversified strategies [2]. - As of December 31, 2024, the company had an order backlog of 11.831 billion RMB, a decrease of 10.4% year-on-year, and new orders of 10.149 billion RMB, down 22.5% year-on-year [2]. - The company has increased its R&D expenditure to 430 million RMB in 2024, a 31.5% increase year-on-year, and expanded its R&D personnel to 1,065, a 21.7% increase [2]. - The company is accelerating its international expansion, with overseas customer orders accounting for over 30% of total orders in 2024 [2]. Financial Summary - The company’s revenue is projected to decline to 8.355 billion RMB in 2025, followed by further decreases to 5.041 billion RMB in 2026 and 5.001 billion RMB in 2027 [8]. - The net profit is expected to drop to 788 million RMB in 2025, 691 million RMB in 2026, and slightly recover to 713 million RMB in 2027 [8]. - The diluted earnings per share (EPS) are forecasted to be 2.500 RMB in 2025, 2.192 RMB in 2026, and 2.265 RMB in 2027 [8]. - The current price-to-earnings (P/E) ratios are projected to be 14.5 for 2025, 16.5 for 2026, and 16.0 for 2027 [4].