2024-05-29 03:31Investment Rating - The investment rating for the company is "Accumulate" (maintained) [2] Core Views - The company experienced a decline in growth in Q1 2024, with sales of approximately 80,400 units, a year-on-year increase of 52.9%, and total revenue reaching 24.3 billion RMB, a year-on-year increase of 32.3%, but a quarter-on-quarter decrease of 39.9% [2] - The company has postponed the launch of its pure electric products and is focusing on increasing the volume of range-extended products [2] - The company aims to expand its sales service and charging network, with 481 retail centers and 361 after-sales service centers operational as of April 30, 2024 [2] Summary by Sections Sales and Financial Performance - In Q1 2024, the company reported a gross margin of 19.3%, a net profit of 591.1 million RMB, and a non-GAAP net profit of 1.3 billion RMB [2] - The guidance for Q2 2024 indicates expected sales of 105,000 to 110,000 units, a year-on-year increase of 21.3% to 27.1%, with anticipated revenue of 29.9 billion to 31.4 billion RMB, a year-on-year increase of 4.2% to 9.4% [2] Product Strategy - The company will hold a spring conference on March 1, 2024, to launch the Ideal MEGA and the 2024 models of Ideal L9/L8/L7, but the focus has shifted to range-extended products due to insufficient promotion of the 2024 models [2] - The launch of subsequent pure electric products has been rescheduled for the second half of 2024, with expectations to start releasing them by mid-2025 [2] Network Expansion - As of April 30, 2024, the company has established 386 Ideal Supercharging stations equipped with 1,678 charging piles and plans to upgrade and expand its retail centers and charging infrastructure [2] Financial Projections - Revenue projections for 2024-2026 are 143.6 billion, 205.9 billion, and 300.2 billion RMB, with year-on-year growth rates of 15.9%, 43.3%, and 45.8% respectively [2] - The projected net profit for the same period is 7.19 billion, 9.86 billion, and 17.65 billion RMB, with year-on-year growth rates of -38.6%, 37.1%, and 79.1% respectively [4]