EVE(SZ:300014) Dongguan Securities·2025-08-22 09:02Investment Rating - The report maintains a "Buy" rating for the company, indicating an expectation that the stock will outperform the market index by more than 15% in the next six months [8]. Core Insights - The company has experienced rapid growth in energy storage battery shipments, with a significant recovery in performance anticipated. The report highlights a 30.06% year-on-year increase in revenue for the first half of 2025, reaching 281.70 billion yuan, despite a 24.90% decline in net profit attributable to shareholders [5][6]. - The company has successfully launched mass production of large cylindrical batteries, becoming a primary battery supplier for a leading international automaker's next-generation electric vehicle model. It is projected that shipments of large cylindrical batteries will reach 20 GWh by 2026 [5][6]. - The energy storage battery segment also showed strong growth, with shipments increasing by 37.02% year-on-year, contributing to a revenue of 102.98 billion yuan, which is a 32.47% increase [5][6]. Summary by Relevant Sections Financial Performance - In H1 2025, the company achieved a revenue of 281.70 billion yuan, a 30.06% increase year-on-year. The net profit attributable to shareholders was 16.05 billion yuan, down 24.90% year-on-year. Excluding stock incentive expenses and specific bad debt provisions, the net profit would have been 22.18 billion yuan, reflecting a 3.78% increase [5][6]. - The gross margin for H1 2025 was 17.33%, up 0.88 percentage points year-on-year, while the net margin was 6.19%, down 3.73 percentage points year-on-year [5][6]. Product and Market Development - The company’s power battery shipments reached 21.48 GWh in H1 2025, marking a 58.58% increase year-on-year. The power battery business generated 127.48 billion yuan in revenue, a 41.75% increase, with a gross margin of 17.60%, up 6.92 percentage points [5][6]. - The energy storage battery segment saw shipments of 28.71 GWh, a 37.02% increase year-on-year, with revenue of 102.98 billion yuan, representing a 32.47% increase [5][6]. Future Outlook - The report projects earnings per share (EPS) of 2.05 yuan and 3.37 yuan for 2025 and 2026, respectively, with corresponding price-to-earnings (PE) ratios of 23 times and 14 times [5][6]. - The company is positioned as a platform enterprise in power, energy storage, and consumer lithium batteries, with expectations for improved profitability due to product and customer structure optimization and capacity release [5][6].