Investment Rating - The report maintains a "Strong Buy" rating for the company, with a target price of 33.7 CNY for A-shares and 27.6 HKD for H-shares [2][8]. Core Views - The company's 2Q performance met expectations, with a revenue of 523 billion CNY, reflecting a year-on-year increase of 1% and a quarter-on-quarter increase of 31%. The wholesale vehicle sales reached 313,000 units, marking a 10% increase year-on-year and 22% quarter-on-quarter [2][8]. - The report highlights the strong performance of new vehicle models, particularly in the WEY and Tank brands, which are expected to drive sales growth in the upcoming quarters [8]. - The company has shown resilience in maintaining performance amid a prolonged price war in the automotive sector, with adjusted net profit forecasts for 2025-2027 reflecting growth rates of 14%, 15%, and 11% respectively [8]. Financial Summary - For the first half of 2025, the company reported total revenue of 923 billion CNY, a year-on-year increase of 1%, and a net profit attributable to shareholders of 6.337 billion CNY, a decrease of 10% year-on-year. The non-recurring net profit was 3.58 billion CNY, down 37% year-on-year [2][4]. - Key financial metrics for 2025E include total revenue of 220,753 million CNY, net profit of 14,413 million CNY, and earnings per share of 1.68 CNY [4][9]. - The company’s gross margin for 2Q25 was reported at 18.8%, with a net profit margin of 8.8%, indicating a strong operational efficiency despite fluctuations in sales mix [8].

Core Viewpoint - Great Wall Motors is focusing on high-end new energy vehicles through its WEY brand, emphasizing a long-term development strategy and showcasing its commitment to the high-end market in the annual shareholder meeting [1][6]. Group 1: Strategic Development - The chairman emphasized a "full-scenario, full-power product matrix" strategy, which is reflected in WEY's product line, covering both MPV and SUV segments [3]. - The introduction of the new high-end models, "Gao Shan" and "Lan Shan," has shown initial success in the high-end new energy market, indicating the effectiveness of Great Wall's high-end strategy [3][6]. Group 2: Technological Advancements - WEY serves as a key platform for Great Wall's technological advancements, particularly in intelligent driving and smart cockpit systems, enhancing the user experience [5]. - The company has established a leading position in intelligent driving technology, with the new models featuring advanced systems like L2+ level autonomous driving [5]. Group 3: Global Expansion - Great Wall is pursuing a global strategy, with WEY collaborating with other brands like Haval and Tank to enhance international market presence, supported by an overseas sales network exceeding 1,400 locations [5]. - The upcoming production of the Brazilian factory in 2025 is expected to facilitate WEY's entry into emerging markets for high-end new energy vehicles [5]. Group 4: Supply Chain Optimization - The optimization of the supply chain is crucial for ensuring the quality of WEY products, with a focus on stable supply and excellence in core components [5]. - Collaborative relationships with supply chain partners are established to support the high-end positioning of WEY products, covering essential systems from battery to intelligent driving hardware [5].