YADEA(HK:01585) Xinda Securities·2025-08-27 08:27Investment Rating - The investment rating for Yadea Holdings (1585.HK) is not explicitly stated in the provided documents, but the report indicates a positive outlook based on performance metrics and growth projections [1]. Core Insights - Yadea Holdings reported a strong performance for the first half of 2025, achieving revenue of 19.186 billion yuan, a year-on-year increase of 33.1%, and a net profit of 1.649 billion yuan, up 59.5% [1][2]. - The company's electric two-wheeler segment saw significant growth, with electric bicycles achieving sales of 6.6655 million units, a 48.7% increase year-on-year, and an average selling price (ASP) of approximately 1,395 yuan [2]. - The overall gross margin improved to 19.6%, up 1.6 percentage points from the previous year, indicating enhanced profitability driven by product mix optimization and scale effects [3]. Financial Performance Summary - For the first half of 2025, Yadea Holdings' revenue from electric bicycles, electric scooters, batteries and chargers, and components was 9.298 billion, 3.809 billion, 5.712 billion, and 367 million yuan respectively, reflecting year-on-year growth rates of 49.0%, 7.4%, 40.5%, and a decline of 34.8% [2]. - The company’s net profit margin increased to 8.6%, up 1.4 percentage points, with operational cash flow reaching 4.727 billion yuan [3]. - The forecast for net profit for 2025-2027 is projected at 3.01 billion, 3.47 billion, and 3.94 billion yuan, with corresponding price-to-earnings (PE) ratios of 12.1X, 10.5X, and 9.3X [3]. Operational Efficiency - Inventory turnover days decreased to approximately 15 days, down 5 days year-on-year, indicating improved operational efficiency [3]. - The company is actively enhancing its brand image through product innovation and marketing strategies, including the introduction of flagship series targeting younger consumers [3]. Financial Projections - The projected revenue for 2025 is 37.278 billion yuan, representing a 32% increase from 2024, with net profit expected to rise by 136% to 3.009 billion yuan [5][7]. - The earnings per share (EPS) is forecasted to increase from 0.42 yuan in 2024 to 0.97 yuan in 2025, reflecting strong growth potential [5][7].