Investment Rating - The investment rating for Longsheng Technology (300680.SZ) is "Buy" (maintained) [2] Core Views - The company achieved a year-on-year increase of 109.83% in net profit attributable to shareholders in Q3 2025, driven by revenue growth and increased investment income [3][5] - The company reported a total revenue of 1.81 billion yuan for the first three quarters of 2025, representing a year-on-year growth of 10.13% [3][5] - The Q3 revenue was 586 million yuan, with a slight year-on-year increase of 0.48%, influenced by sales fluctuations among key customers and product upgrades in the new energy sector [5][6] - The company is actively expanding its humanoid robot business and has successfully engaged with overseas Tier 1 suppliers [6][8] Financial Performance Summary - For Q3 2025, the company reported a net profit of 106 million yuan, a significant increase of 109.83% year-on-year, attributed to revenue growth and investment income [3][5] - The gross profit margin for Q3 2025 decreased by 2.67 percentage points to 15.23%, likely due to increased depreciation from the new energy motor semi-assembly production line [5][6] - The operating cash flow turned positive in Q3 2025, with a net inflow of 118 million yuan compared to a net outflow of 1 million yuan in the same period last year [5][6] Revenue and Profit Forecast - Revenue is projected to grow to 3.35 billion yuan in 2025, with a year-on-year growth rate of 39.7% [7][8] - The net profit attributable to shareholders is expected to reach 327 million yuan in 2025, reflecting a growth rate of 45.8% [7][8] - The company’s price-to-earnings (P/E) ratio is forecasted to be 37.4 in 2025, decreasing to 25.3 by 2027 [7][8]

Core Viewpoint - The news highlights the significant activity and growth in the new energy vehicle (NEV) sector, particularly in the context of rising stock prices for related ETFs and companies, indicating a strong competitive landscape in China's NEV market [1] Group 1: Market Performance - The Sci-Tech Innovation Board New Energy ETF (588960) saw an intraday increase of 3.14%, while the Lithium Battery ETF (5561160) rose by 2.70% [1] - Key component stocks such as Electric Wind Power surged over 16%, and Wanrun New Energy increased by more than 9% [1] Group 2: Industry Data - According to the Passenger Car Association, the retail penetration rate of NEVs in China reached 54.0% in July, up by 2.7 percentage points year-on-year [1] - BYD led the market with a monthly sales figure of 344,000 units, while competitors like Leap Motor, Xpeng, and Hongmeng Zhixing reported record-breaking growth [1] Group 3: Future Outlook - Industry reports suggest an improvement in the passenger car market fundamentals, with expectations for a positive trend as new models are set to launch [1] - Upcoming key models include the all-new Wanjie M7, Geely Galaxy A7, M9, Leap B01, Xiangjie S9T, Tesla Model YL, and Wanjie M8 pure electric vehicles [1] Group 4: ETF Composition - The Sci-Tech Innovation Board New Energy ETF (588960) closely tracks the Shanghai Stock Exchange Sci-Tech Innovation Board New Energy Index (000692.SH), with a daily fluctuation limit of 20% [1] - The index comprises 50 large-cap stocks from the photovoltaic, wind power, and NEV sectors, reflecting the overall performance of representative companies in the new energy industry on the Sci-Tech Innovation Board [1]