Investment Rating - The investment rating for Geely Automobile is "Buy" [1] Core Views - The report expresses an optimistic outlook for Geely Automobile's performance in Q1 2025, driven by the launch of several key models, which supports a positive sales and operational performance forecast for the entire year [2] - The company's brand structure is considered reasonable and clear, with expectations for continued revenue and net profit growth as the "Smart Geely 2025" strategy is gradually implemented [7] - The report anticipates Geely's net profit for 2025-2027 to be 16.3 billion RMB, 18.2 billion RMB, and 23.7 billion RMB respectively, with corresponding EPS of 1.62 RMB, 1.81 RMB, and 2.35 RMB [7] Financial Summary - In Q1 2025, Geely's sales reached 704,000 units, a year-on-year increase of 48%, with revenue of 72.5 billion RMB, up 25% year-on-year, and a net profit of 5.67 billion RMB, reflecting a 264% increase year-on-year [7] - The company plans to launch 10 new energy models in 2025, with a sales target of 2.71 million units, including 1.5 million units from new energy vehicles [7] - The financial projections indicate a significant increase in revenue from 240.2 billion RMB in 2024 to 321.8 billion RMB in 2025, representing a growth rate of 34% [9]

Group 1 - The core viewpoint of the article emphasizes that fuel vehicles remain a significant part of the market, with fuel vehicles accounting for approximately 45% of the total, while new energy vehicles have surpassed 50% market share [1][2] - Geely plans to continue investing in hybrid power and focus on five core fuel vehicle products: Xingyue L, Xingrui, Bo series, Bin series, and Emgrand series, aiming for a future distribution of 60% new energy vehicles and 40% fuel vehicles [2][3] - The company’s "Intelligent Geely 2025" strategy aligns with its commitment to energy diversification, with projected total sales of 2.177 million vehicles in 2024, a 32% year-on-year increase, where new energy vehicle sales will account for 40.8% [2][3] Group 2 - Geely's international strategy includes developing products that meet standards in 89 countries, achieving breakthroughs in markets like Malaysia, where the Galaxy E5 recorded 580 units sold in a month [3] - The dual strategy of "fuel vehicles + new energy" reflects Geely's understanding of market demand, as fuel vehicles still hold nearly half of the market despite the over 50% penetration of new energy vehicles in China [3] - In 2024, Geely's total revenue is expected to exceed 240 billion yuan, a 34% year-on-year increase, with a net profit of 16.6 billion yuan, representing a 213% increase, attributed to economies of scale [3]