Jinwu Financial News | According to Haitong Securities Research, Yadi Holdings (01585) is a leading electric two-wheeler company, mainly engaged in R&D, production and sales of electric two-wheelers and related products. The products mainly include electric two-wheelers, electric tricycles, graphene lead-acid batteries, sodium-ion batteries and their components. Revenue in 2023 was 34.763 billion yuan, the average compound growth rate for 2013-2023 was 19.15%; net profit to mother was 2.64 billion yuan, and the average compound growth rate for 2013-2023 was 28.05%.
According to the bank, China's electric two-wheeler industry has reached a mature stage, with over 0.35 billion vehicles in 2024. The “New National Standard” was officially implemented in 2019, and a new version of the draft for comments was issued in September 2024; the mandatory national standard “Safety Technical Specification for Lithium-ion Batteries for Electric Bicycles” is scheduled to be officially implemented on November 1, 2024. By regulating the industry step by step, market concentration is expected to increase further. Overseas “the world is vast”, and the Southeast Asian market is blessed: Southeast Asia has about 0.25 billion motorcycles; the penetration rate of motorcycle households is as high as 75%. The low penetration rate and high market potential of electric motorcycles are the main characteristics of the Southeast Asian electric two-wheeler market.
According to the bank, the company is actively promoting the business layout of the Southeast Asian market. In 2024, Yadi built an overseas production base in Bac Giang, Vietnam, which is scheduled to be put into operation in 2025, with a design capacity of 2 million electric motorcycles per year. At the same time, Yadi's intelligent production and research base in Indonesia will be built in 2026. In 2023, Yadi will form an exclusive strategic cooperation with distributor Indomobil in the Indonesian market. In addition to this, the company is also active in various markets such as Europe, and has actively participated in many international exhibitions.
The bank said that the company's net profit for 24-26 is 2.261, 3.021, and 3.499 billion yuan, respectively, compared to -14.4%, +33.6%, and +15.8%. The current (December 16, 2024) closing price corresponds to 18.9 and 14.1 times PE in 24-25 years. As a leading electric two-wheeler company, the company is rated 15 to 16 times PE in 2025, corresponding to a reasonable value range of 14.56 to 15.53 yuan, corresponding to HK$15.58 to 16.62 (exchange rate of HK$15.58 to 16.62) (exchange rate of HK$15.58 to HK$16.62) : RMB 1 = HK$1.07), maintaining the “superior to the market” rating.
