LEAPMOTOR(HK:09863) GUOTAI HAITONG SECURITIES·2026-03-29 06:46Investment Rating - The report maintains a "Buy" rating for Leapmotor [5][9] Core Views - Leapmotor has launched its new A-class SUV model A10, priced between 65,800 to 86,800 RMB, which is expected to drive sales momentum throughout the year due to its competitive pricing and features [2][9] - The company is projected to achieve significant revenue growth, with total revenue expected to reach 109.8 billion RMB in 2026, representing a 70% increase from the previous year [4][10] - Leapmotor's net profit is forecasted to turn positive in 2025, reaching 4.84 billion RMB, and further increasing to 9.52 billion RMB by 2028 [4][10] Financial Summary - Total revenue projections (in million RMB): - 2024: 32,164 - 2025: 64,732 (+101%) - 2026: 109,824 (+70%) - 2027: 154,512 (+41%) - 2028: 185,358 (+20%) [4] - Net profit projections (in million RMB): - 2024: -2,821 - 2025: 538 - 2026: 4,839 (+799%) - 2027: 7,739 (+60%) - 2028: 9,523 (+23%) [4] - Key financial ratios: - PE ratio in 2026 is projected at 12.70, decreasing to 6.45 by 2028 [4][10] - PB ratio in 2026 is projected at 2.94, decreasing to 1.46 by 2028 [4][10] Market Position and Strategy - Leapmotor's A10 model is expected to outperform competitors in terms of price-performance ratio, with features that include advanced intelligent driving capabilities and a competitive range [9] - The company has accelerated its international expansion, achieving profitability in its international operations and entering 40 countries with over 900 sales and service outlets by the end of 2025 [9][10] - Leapmotor's collaboration with Stellantis is expected to enhance its strategic positioning in the market [9]