零跑汽车：More positive on FY25E after 1Q25 beat-20250520

More positive on FY25E after 1Q25 beat Maintain BUY. Leapmotor's 1Q25 net loss of RMB130mn beat our prior forecasts on higher average selling price (ASP) and GPM, as well as unexpected contribution from the strategic cooperation. We believe its cost reduction efforts, driven by its undervalued in-house R&D capabilities, have started to be reflected by its 1Q25 GPM and could be even more apparent after all the models are shifted to the Leap 3.5 architecture in mid-2025. We raise our FY25E sales volume foreca ...