Group 1 - The China International Commercial Vehicle Exhibition, the only national-level commercial vehicle exhibition in China and the largest professional platform in Asia, commenced on November 10 in Wuhan, focusing on "high-end, intelligent, and green" themes [1] - XWANDA Power showcased its comprehensive electric commercial vehicle ecosystem solutions, highlighting its core technologies and complete product layout in electric heavy trucks, light trucks, construction machinery, and ships [1] - The exhibition featured XWANDA's systematic advantages and continuous innovation capabilities in commercial vehicle electrification solutions through a matrix of battery systems and ultra-fast charging technologies [1] Group 2 - XWANDA Power presented three core segments of commercial vehicle solutions: a complete battery product matrix from 3.5C ultra-fast charging to 1C standard charging, key electronic components including platform-based PDU products and self-developed BMS systems, and digital innovations such as battery passports for lifecycle management [1] - For heavy trucks, XWANDA introduced solutions covering seven standard box types with various layout options, providing three system solutions (vehicle-pile-battery collaboration) and featuring four large-capacity battery cells [3] - The light truck solutions emphasized lightweight design, fast charging, and optimized structure, catering to diverse scenarios such as urban delivery and logistics, with four standard box types covering a battery range of 102 to 140 kWh [3] Group 3 - XWANDA Power has established a nationwide service network for commercial vehicles, adhering to the principle of being close to customers and markets, and actively expanding certified service centers [5] - The company commits to a 12/48 principle for rapid response to customer needs, aiming to continuously optimize and upgrade service capabilities [5] - XWANDA Power aims to provide safer, more durable commercial vehicle solutions, supporting the transition of China's commercial vehicle industry towards green, efficient, and intelligent development [5]

Investment Rating - The report maintains a "Buy" rating for the company [4] Core Views - The company's revenue and net profit have shown a decline in the first three quarters of 2025, with revenue down by 3.22% to 12.198 billion RMB and net profit down by 8.72% to 2.979 billion RMB [1] - The external operating environment has put short-term pressure on revenue, but there are positive expectations for overseas market expansion [2] - The gross margin has been under pressure, with a decrease of 1.0 percentage points year-on-year to 42.1% for the first three quarters of 2025 [3] - The company is expected to gradually recover its performance through new growth drivers, including the expansion of its renewable energy business and international market penetration [3] Summary by Sections Performance Review - For Q1-Q3 2025, the company achieved revenue of 12.198 billion RMB, a decrease of 3.22%, and a net profit of 2.979 billion RMB, down 8.72% [1] - In Q3 2025 alone, revenue was 4.030 billion RMB, with a net profit of 919 million RMB, reflecting declines of 4.44% and 10.29% respectively [1] Operational Analysis - The company's traditional business is facing growth challenges due to external pressures, while the renewable energy sector is showing promising growth [2] - The domestic market is undergoing adjustments, but new business developments are helping to mitigate external impacts [2] - The overseas market is expected to provide significant opportunities, particularly for products like power strips and charging stations [2] Margin and Cost Management - The gross margin for Q1-Q3 2025 decreased to 42.1%, with Q3 margin at 41.7%, attributed to changes in product mix [3] - Sales expenses have been effectively controlled, with a reduction in marketing and advertising costs contributing to a lower sales expense ratio [3] Profit Forecast and Valuation - EPS forecasts for 2025-2027 are 2.18, 2.32, and 2.48 RMB respectively, with corresponding PE ratios of 20.08, 18.83, and 17.65 [4]