EVE(SZ:300014) BOCOM International·2025-10-27 13:38Investment Rating - The report assigns a "Buy" rating for the company EVE Energy Co., Ltd. (300014 CH) [2][10] Core Insights - The company has raised its target price to RMB 94.74, reflecting an 18.1% potential upside from the current price of RMB 80.25 [2][10] - The company's revenue for the first three quarters of 2025 reached RMB 45.0 billion, a year-on-year increase of 32.2%, with Q3 revenue at RMB 16.83 billion, up 35.8% year-on-year [2][5] - The company maintains its annual shipment target of 130 GWh for energy storage and power batteries, with expected shipments of approximately 80 GWh and 50 GWh respectively [2][5] Financial Performance - The company reported a net profit of RMB 12.1 billion in Q3, a 15.1% increase year-on-year, with a net profit margin of 7.2% [5][11] - The gross margin for power batteries was maintained at 17%-18% after excluding the impact of customer rebate policies, while the gross margin for energy storage batteries improved to 12% [5][11] - The company has adjusted its 2025 net profit forecast down by 4% to RMB 4.2 billion, while increasing the 2026 and 2027 net profit forecasts by 11% and 15% to RMB 7.06 billion and RMB 8.95 billion respectively [5][6] Market Demand and Outlook - The energy storage industry is experiencing strong demand, with a 104% year-on-year increase in new bidding scale in China from January to August 2025 [2][5] - The report highlights the profitability turning point for new energy commercial vehicles as a new growth driver for the company [2][5] - The company is accelerating overseas capacity construction to mitigate tariff impacts, with a new battery factory in Malaysia expected to start production in Q1 2025 [5][6]