Guosheng Securities published a report stating that Zero Sports Auto continues to reduce costs and increase efficiency, and profits are gradually improving. It recorded sales of 55,328 vehicles in the fourth quarter of last year, up 135% year-on-year; sales surpassed 140,000 units last year, up 30% year-on-year, mainly due to the implementation of the company's pure electric+extended-range dual-power strategy.
Looking ahead to the first quarter of this year, the company achieved sales volume of 33,410 vehicles, an increase of 218% year-on-year, and revenue is also expected to increase significantly. According to Guosheng Securities, considering the rapid growth in sales, which reflect economies of scale, and high-margin models are the main sales force, the company is expected to sell about 270,000, 490,000 and 550,000 vehicles respectively from 2024 to 2026, with total revenue of 30 billion, 57.6 billion and 68.8 billion yuan respectively during the same period. Based on the forecast market sales rate of 1.5 times this year, the target price is HK$43, maintaining the “buy” rating.