Huaan Securities·2025-08-13 08:47Investment Rating - The investment rating for BYD is "Buy" (maintained) [1] Core Views - In July, BYD achieved total sales of 344,000 new energy vehicles, a slight year-on-year increase of 1% but a month-on-month decrease of 10%. Cumulative sales from January to July reached 2.49 million units, representing a year-on-year growth of 27%. The decline in July sales is attributed to seasonal factors, including reduced terminal demand due to high temperatures and the end of discounts [4] - BYD's overseas expansion is accelerating, with July exports reaching 81,000 units, a significant year-on-year increase of 169%. Cumulative exports from January to July totaled 545,000 units, up 133% year-on-year. The slight month-on-month decline is due to increased tariffs in Brazil affecting short-term logistics adjustments [5] - The DM-i 5.0 technology has been updated, significantly reducing fuel consumption by 10% to 2.6L per 100 kilometers. This upgrade will be available to all existing and new owners of DM technology vehicles through free OTA updates [6] - The company is expected to benefit from an increase in high-end product sales and accelerated overseas exports, with projected sales of 4.99 million, 5.72 million, and 6.58 million units from 2025 to 2027, and net profit attributable to the parent company expected to reach 50.9 billion, 62.6 billion, and 74.4 billion yuan respectively [7] Financial Summary - For the fiscal year 2024, BYD's revenue is projected to be 777.1 billion yuan, with a year-on-year growth of 29%. The net profit attributable to the parent company is expected to be 40.3 billion yuan, reflecting a year-on-year increase of 34% [10] - The gross profit margin is expected to be 19.4% in 2024, slightly decreasing to 19.3% in 2025 but improving to 20.1% by 2027 [10] - The return on equity (ROE) is projected to be 21.7% in 2024, gradually decreasing to 17.9% by 2027 [10]