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BYD (002594): First quarter results increase, new products continue to exert force

BYD (002594): First quarter results increase, new products continue to exert force

Investment Highlights Event: The company announced the first quarter report of 2019, and realized revenue of US $ 30.3 billion in the first quarter of 2019, with a long-term growth of 22.

5%; net profit attributable to mother 7.

50,000 yuan, an increase of 632% in ten years; net profit of non-attributed mothers4.

100 million 无锡夜网 US dollars, one year to achieve a loss; EPS 0.

25 yuan.

The sales of new energy vehicles increased rapidly, and the first-quarter results increased significantly each year.

The company’s auto sales in Q1 2019 were 117,578 units, a year-on-year increase of 5.

2%.

Among them, 73,172 new energy vehicles were sold, an increase of 147% year-on-year, 71,322 new energy passenger vehicles were increased by 150%, and the sales of pure electric passenger vehicles was 45,487, an increase of 755%.

New energy special vehicles increased by 876 over last year.

The company’s gross profit margin in 2019Q1 was 19.

1%, an increase of about 2 units compared to the same period in 2018.

Period expenses cost 15.

0%, a decrease of 0 compared with the same period in 2018.

6 units, of which sales expense ratio, management expense ratio and financial expense ratio are 3 respectively.

5%, 7.

7% and 3.

8%, a change of -1 in ten years.

2%, +0.

1% and -0.

5%.

The company expects to achieve net profit attributable to mothers in the first half of 201914.

5?
16.

500 million, a 203% increase in ten years?
244%.

New products continue to be developed, and the leader is Hengqiang.

In 2018, BYD ushered in a new product cycle. Yuan EV, a new generation of Tang and other heavy products ensure the company’s sales volume in 2018.

In 2019, the company’s new products continue to make efforts, including Tang EV, the new Song, Song Max new energy version of the dynasty series models, the listing of E1 and other models will further expand the company’s product line in the new energy vehicle field.

In 2019, the new energy vehicle subsidy policy was implemented, and it was formally included in the new energy passenger vehicle national subsidy, and the land subsidy was cancelled.

We believe that the transition of new energy vehicles is expected to usher in market rush, and the formal announcement of supplementation and gradual withdrawal and the cancellation of land subsidies will pose a challenge to the profitability of car companies.And cost control capabilities, it is expected that the strong will be 南宁桑拿 Hengqiang.

Earnings forecast and rating: We estimate that the company’s net profit attributable to its parent in 2019-2021 will be 27.

0/25.

4/32.

1 ppm, EPS is 0.

99/0.

93/1.

18 yuan, corresponding to PE is 56/60/47 times, maintaining the “overweight” level.
Risk reminder: The price of raw materials may change continuously, and the production and sales of new energy vehicles are less than expected.