Changjiang Securities·2025-10-29 23:33Investment Rating - The investment rating for the company is "Buy" and is maintained [4][8]. Core Views - In Q3 2025, the company achieved revenue of 61.25 billion yuan, a year-on-year increase of 20.5%, while net profit attributable to shareholders was 2.3 billion yuan, down 31.2% year-on-year [2][4]. - The company is accelerating its global expansion and is committed to transitioning to new energy vehicles, with a continuous new car cycle expected to drive sales and performance improvement [2][8]. - The company's four strategic expansion initiatives are expected to open up long-term growth opportunities for sales, while the shift towards smart technology is anticipated to enhance profitability across the entire industry chain [8]. Summary by Sections Financial Performance - In Q3 2025, the company sold 354,000 vehicles, representing a year-on-year increase of 20.2% and a quarter-on-quarter increase of 13.0% [8]. - New energy vehicle sales reached 118,000 units, up 49.2% year-on-year and 20.6% quarter-on-quarter, with new energy vehicles accounting for 37.6% of total sales, an increase of 6.5 percentage points year-on-year [8]. - Overseas sales also grew, reaching 137,000 units in Q3, up 11.2% year-on-year and 27.9% quarter-on-quarter, with overseas sales accounting for 38.6% of total sales [8]. - The company's gross margin in Q3 2025 was 18.4%, down 1.6 percentage points year-on-year and 0.4 percentage points quarter-on-quarter, primarily due to a decrease in the proportion of higher-margin models [8]. Strategic Initiatives - Domestically, the company is making adjustments across product, channel, and supply chain dimensions, focusing on the plug-in hybrid segment and accelerating the launch of smart new energy products [8]. - The "ONE GWM" strategy is facilitating the company's overseas expansion, with sales channels established in over 1,400 locations across more than 170 countries and regions [8]. - The company is investing in smart technology, enhancing its capabilities in data, algorithms, and computing power, which are expected to strengthen its competitive position in the smart vehicle market [8]. Future Outlook - The company is projected to achieve net profits of 12.07 billion yuan, 16.30 billion yuan, and 20.17 billion yuan for the years 2025, 2026, and 2027, respectively, with corresponding A-share price-to-earnings ratios of 16.4X, 12.2X, and 9.8X [8].