CHANGAN AUTOMOBILE-B(000625) 中国银河·2024-09-02 12:10Investment Rating - The report maintains a "Buy" rating for the company [3]. Core Views - The company reported a revenue of 76.723 billion yuan for the first half of 2024, an increase of 17.15% year-on-year, while the net profit attributable to shareholders decreased by 63.00% to 2.832 billion yuan [1]. - The company’s self-owned brand vehicles saw an increase in both volume and price in domestic and international markets, with exports reaching 203,200 units, up 74.85% year-on-year [1]. - The gross margin for the automotive sales business decreased by 2.90 percentage points to 13.47%, primarily due to intensified market competition and the initial weak profitability of new energy models [1]. - The company effectively managed its expense ratios, with R&D expenses decreasing by 0.73 percentage points to 3.80% and management expenses down by 0.31 percentage points to 3.16% [2]. - The partnership with Huawei through the acquisition of a 10% stake in Avita Technology is expected to enhance collaboration and accelerate the company's transition to new energy vehicles [2]. Financial Performance Summary - For the second quarter of 2024, the company achieved a revenue of 39.699 billion yuan, a year-on-year increase of 28.33%, and a net profit of 1.674 billion yuan, up 145.13% year-on-year [1]. - The company forecasts revenues of 173.347 billion yuan, 199.321 billion yuan, and 219.383 billion yuan for 2024, 2025, and 2026 respectively, with corresponding net profits of 7.204 billion yuan, 9.808 billion yuan, and 11.407 billion yuan [6]. - The diluted EPS is projected to be 0.73 yuan, 0.99 yuan, and 1.15 yuan for the years 2024, 2025, and 2026, with P/E ratios of 16.64, 12.22, and 10.51 respectively [6].