Core Viewpoint - The article discusses the rapid progress of Seres in its Hong Kong IPO process, highlighting its potential to become the first "A+H" listed new energy vehicle company, driven primarily by its AITO brand, which has become a significant revenue contributor [4][5][8]. Group 1: IPO and Market Position - Seres has accelerated its Hong Kong listing process, with the board approving the global offering shortly after passing the Hong Kong Stock Exchange hearing [4]. - If successful, Seres is expected to surpass Chery Automobile, which currently holds a market capitalization of HKD 176.2 billion, making it the largest car IPO in Hong Kong this year [5]. - As of October 17, 2023, Seres has a market capitalization exceeding RMB 250 billion in the A-share market [5]. Group 2: AITO Brand Performance - The AITO brand has become the main performance driver for Seres, with sales projected to grow from 78,000 units in 2022 to 389,000 units by 2024 [8]. - In the first half of 2023, AITO's sales reached 152,000 units, solidifying its market presence [8]. - AITO has successfully covered the SUV market from RMB 200,000 to RMB 600,000, with four models launched: M5, M7, M8, and M9 [9]. Group 3: Revenue Structure - AITO's revenue contribution is expected to rise dramatically, with projections indicating it will account for over 90% of Seres' total revenue by 2024, up from 60% in 2022 [10][12]. - Other brands under Seres are being strategically reduced, with the Blue Electric brand showing weak sales of only 11,000 units in the first half of 2023 [11]. Group 4: Strategic Partnerships and Risks - Seres has a deep partnership with Huawei, which has significantly influenced its product development and market positioning [16][17]. - The company's reliance on Huawei is substantial, with procurement payments to Huawei expected to reach RMB 42 billion in 2024, constituting about 30% of total revenue [21][22]. - This dependency poses risks, as any disruption in the relationship could adversely affect Seres' business and financial performance [18][22]. Group 5: Future Growth and Diversification - Seres is diversifying its business model beyond vehicle sales, including a recent acquisition of Longsheng New Energy for RMB 8.164 billion to enhance its production capabilities [25]. - The company is also expanding its charging network, with over 12,000 charging stations established nationwide, contributing to a second growth curve [25]. - A partnership with ByteDance's Volcano Engine aims to integrate AI technologies into its offerings, enhancing its market differentiation [26]. Group 6: Valuation and Market Outlook - Analysts suggest that Seres' valuation could reach a PE ratio of 31 times by 2025, significantly higher than traditional automotive parts companies [26]. - The company's ability to maintain its sales momentum for the AITO brand will be crucial for its overall valuation and growth prospects [27].