BOCOM International·2025-05-30 05:58Investment Rating - The investment rating for the company is Neutral [4][10]. Core Insights - The first quarter performance met expectations, while the guidance for the second quarter is slightly below expectations. The company reported a total revenue increase of 1.1% quarter-on-quarter and a decrease of 41.4% year-on-year, with a gross margin of 19.8%, which is better than market expectations [2][3]. - The company expects second-quarter revenue to be between 32.5 billion and 33.8 billion RMB, representing a quarter-on-quarter increase of 25.5% to 30.5%, with vehicle sales projected at 123,000 to 128,000 units, a quarter-on-quarter increase of 32.4% to 37.8% [3][9]. - The average selling price per vehicle is expected to decline by 13,000 RMB quarter-on-quarter, indicating pricing pressure in the upcoming quarter due to the transition between old and new models and increased inventory reduction efforts [3][9]. Financial Overview - Revenue projections for the company are as follows: 123.85 billion RMB in 2023, 144.46 billion RMB in 2024, and 157.98 billion RMB in 2025, with year-on-year growth rates of 173.5%, 16.6%, and 9.4% respectively [8][14]. - Net profit is expected to be 11.70 billion RMB in 2023, decreasing to 8.03 billion RMB in 2024, and then slightly increasing to 8.56 billion RMB in 2025 [8][14]. - The company’s earnings per share (EPS) are projected to be 5.95 RMB in 2023, 4.03 RMB in 2024, and 4.29 RMB in 2025, reflecting a significant decline in 2023 followed by a modest recovery [8][14]. Market Performance - The company's stock has a 52-week high of 128.70 HKD and a low of 69.15 HKD, with a market capitalization of approximately 363.50 billion HKD [6][10]. - The average daily trading volume is 16.84 million shares, and the year-to-date change in stock price is 15.17% [6][10].