Investment Rating - The report recommends a "Buy" rating for the industry, predicting that the industry index will outperform the Shanghai Composite Index by 10% or more in the upcoming period [4]. Core Insights - In Q3 2025, the company reported a revenue of 5.7 trillion KRW, a quarter-on-quarter increase of 2.4%, but a year-on-year decrease of 17.1%. The slight growth compared to the previous quarter is attributed to increased production of energy storage system batteries at the Michigan plant and new product launches for electric vehicles and IT clients [1][2]. - The operating profit for Q3 2025 reached 601.3 billion KRW, reflecting a quarter-on-quarter increase of 22.2% and a year-on-year increase of 34.2%, with an operating profit margin of 10.5% [1]. - The net profit for Q3 2025 was 536 billion KRW, showing a significant quarter-on-quarter increase of 489.0%, but a year-on-year decrease of 4.5% [2]. Financial Performance Summary - The company’s Q3 2025 financial performance indicates a gross profit of 1.447 trillion KRW, with a gross profit margin of 25.4% [7]. - The operating profit excluding production incentives was 236 billion KRW, with a margin of 4.1% [7]. - The company held cash and cash equivalents of 5.324 trillion KRW at the end of Q3 2025, a slight decrease from 5.44 trillion KRW at the end of the previous quarter [2][10]. Market Outlook and Strategic Response - The company anticipates a short-term slowdown in electric vehicle demand in the U.S. due to the expiration of EV subsidies, but expects a long-term increase in demand driven by advancements in artificial intelligence and autonomous driving services [3][5]. - The company plans to continue investing in diverse product forms and chemical compositions to meet specific market needs, focusing on high-nickel NCMA soft-pack batteries and 46-series cylindrical batteries for high-performance segments [6][5]. - The report highlights that the U.S. energy storage system market is expected to grow robustly, supported by the elimination of regulatory uncertainties and strong electricity demand from AI data centers [5].

Core Insights - Tesla is rapidly expanding its Robotaxi service area in Austin, nearly doubling the geofence to approximately 80 square miles, which includes suburban areas like Barton Creek [1][3][5] - The initial geofence was about 20 square miles, and after the first expansion on July 14, it increased to 42 square miles, now approaching Waymo's 90 square miles service area in Austin [3][5] - The expansion indicates Tesla's capability to extend its service in any direction, enhancing the experience for residents, particularly for nighttime activities [5] Expansion Details - Tesla launched the Robotaxi platform in Austin on June 22 and expanded the service area within a month, surpassing Waymo's service area shortly after [3] - The recent expansion follows CEO Elon Musk's announcement about increasing the geofence, demonstrating the company's commitment to this plan [3] - Ongoing vehicle testing in areas like Marble Falls suggests potential future expansions to hundreds of square miles [5]