GEELY AUTO(00175) 东方证券·2025-03-30 08:23Investment Rating - The report maintains a "Buy" rating for the company [5] Core Views - The company is expected to see steady improvement in gross margin and has fully integrated intelligent driving technology into its vehicles [1] - The revenue and profit forecasts have been adjusted, with EPS estimates for 2025-2027 set at 1.27, 1.50, and 1.84 RMB respectively, maintaining a target price of 19.05 RMB or 20.65 HKD [2] Financial Performance Summary - For 2023, the company reported revenue of 179,204 million RMB, with a year-on-year growth of 21.1% - The operating profit for 2023 was 3,806 million RMB, reflecting a growth of 4.3% - The net profit attributable to the parent company was 5,308 million RMB, with a slight increase of 0.9% - The gross margin for 2023 was 15.3%, with a net margin of 3.0% and a return on equity (ROE) of 6.6% [4][10][11] Sales and Growth Projections - The company aims for a total sales target of 271,000 vehicles in 2025, representing a year-on-year growth of 24.5% - The sales targets for the brands are set at 200,000 for Geely, 32,000 for Zeekr, and 39,000 for Lynk & Co, with respective growth rates of 19.8%, 44.1%, and 36.6% [9][10] Brand and Product Development - The company plans to launch five new energy models under the Galaxy brand in 2025, alongside several updated models, all equipped with advanced intelligent driving systems [9][10] - The sales of new energy vehicles reached 88.82 million units in 2024, marking a 91.9% increase, with new energy vehicles accounting for 40.8% of total sales [9] Market Position and Valuation - The company is positioned within the automotive and components industry in China, with a market capitalization of 168,281 million HKD [5] - The price-to-earnings (P/E) ratio is projected to decrease from 27.5 in 2023 to 7.9 by 2027, indicating an attractive valuation [4][11]