According to a recent research report, GEELY AUTO (00175) shows upward momentum in new energy brand strength with accelerating profitability. The company is projected to achieve revenues of 404.78/489.69/572.83 billion yuan for 2025-2027, with net profit attributable to shareholders of 16.21/22.09/25.97 billion yuan (excluding potential ZEEKR privatization), and EPS of 1.61/2.19/2.58 yuan (excluding buyback impact). Based on the October 6 closing price of HK$19.03, the corresponding P/E ratios are 11/8/7 times, maintaining a "Recommend" rating.
The company announced September sales figures showing total wholesale sales of 273,000 units, up 35.2% year-on-year and 9.2% month-on-month. For the first nine months, total wholesale sales reached 2.17 million units, representing a 45.7% year-on-year increase.
**Strong New Energy Sales Growth in First Nine Months, Targeting 3 Million Units Annually**
September wholesale sales totaled 273,000 units, up 35.2% year-on-year and 9.2% month-on-month. Export performance was particularly strong with 41,000 units sold in September, up 12.7% month-on-month.
The Galaxy flagship SUV model M9 launched in September with limited-time replacement subsidies priced at 173,800-238,800 yuan. The vehicle measures 5,205/1,999/1,800mm in length/width/height with a 3,030mm wheelbase, offering superior space. Equipped with roof-mounted LiDAR and the Qianli Haohan H5 intelligent safety assistance driving system, the M9 received over 23,000 orders within 24 hours of launch. This anti-involution strategy is expected to drive sales realization while scale effects boost main brand profitability.
**ZEEKR 9X Launch Accelerates High-End Market Push**
ZEEKR and Lynk & Co recorded September sales of 18,257 and 32,902 units respectively, with cumulative Jan-Sep sales of 144,000 and 241,000 units, representing year-on-year changes of +0.5% and +23.5%.
On September 29, ZEEKR's global ultra-luxury SUV flagship, the ZEEKR 9X, officially launched with limited-time replacement subsidies priced at 455,900-589,900 yuan. Built on the luxury electric-hybrid dedicated Haohan-S architecture, the vehicle comes standard with closed dual-chamber air suspension and dual-valve CCD electromagnetic shock absorbers. It features dual 8295 cabin chips supporting Super Desktop 2.0, with two intelligent driving solutions available: the Qianli Haohan H7 solution matches NVIDIA Thor-U chips, while the Qianli Haohan H9 solution features dual Thor-U chips supporting L3-level autonomous driving assistance. The 9X achieved over 10,000 firm orders within 13 minutes of launch, expected to accelerate high-end market share capture. High-end vehicle profitability is anticipated to gradually materialize in the second half, enhancing company financials.
**Share Buyback Plan Announced, Demonstrating Development Confidence**
On October 6, the company announced plans to implement a share buyback program worth up to HK$2.3 billion. Upon Hong Kong Stock Exchange approval, the plan will execute batch repurchases in the open market through automated mechanisms, funded by existing capital and cash reserves. This demonstrates firm confidence in long-term development prospects and will optimize capital structure, enhance earnings per share, and help reasonably reflect company valuation.
Recently, ZEEKR Technology and GEELY AUTO submitted CB forms to the U.S. Securities and Exchange Commission, with the "grand merger" completion expected by year-end. This advancement of the "One Geely" strategy is expected to promote operational efficiency improvements and cost reduction benefits.