List from Jixing Automobile, watch Geely Group's "ambition"

Author | Salad sauce

Edit | Tang Fei

At the end of June, Jixing Motors landed on Nasdaq, and another domestic new energy vehicle successfully went to the United States.

On the day of listing, the stock price of Jixing rose by 15.76%, with a market value of about 26.6 billion US dollars (about 178.2 billion yuan). However, the good times did not last. The stock price of Jixing Automobile rose to a high point of $ 13.36/share.

Data show that Jixing Automobile is a new forces hatched by Geely. In addition to Jixing Automobile, Geely has also deployed new energy vehicle industry chain companies including new energy lithium batteries and industrial robots. This year, through the shareholding company Hubei Xingji Times Technology Co., Ltd. %Holdings.

From the manufacture of the vehicle to the software development, where is Geely's "ambition"?

The more the more stars who sell the more you sell

From the perspective of revenue data, Jixing Automobile has "exposed" two weaknesses -weak revenue growth and insufficient profitability.

According to the prospectus submitted to the US Securities and Exchange Commission (SEC), from 2019 to 2021, Jixing Automobile's revenue was US $ 92 million, US $ 610 million, and US $ 1.337 billion, respectively. Essence

Although Jixing Automobile still maintains revenue, the increase has been significantly reduced compared with the previous year. The reason behind this may be related to the "high -end" positioning that Jixing wants to build.

In 2017, Jixing Automobile launched the Gexing 1 series at the beginning of its establishment, selling for 1.45 million yuan, and 500 sales were limited to each year.

"Pricing such a price is to enter the market of high -end new energy vehicles through this car. At that time, domestic new energy vehicles were still in the early stage of competition, and the market hierarchy has not yet been settled. Therefore, Jixing Automobile wants to take the lead in occupying high -end energy vehicles. The "pit position". "Said Xiaoyu, a new energy vehicle observer.

However, the new energy vehicle market with more than 1 million yuan is still limited in China.

Wima announced the relationship between Chinese electric vehicles and prices in its prospectus. Among them, market segments priced at 150,000 yuan to 300,000 yuan have grown the most. The compound annual growth rate in 2021 has reached 27.7%. In contrast, the growth rate of new energy vehicles with a price of more than 300,000 yuan in 2021 was 24.3%.

Picture source: Weimar Prospectus

The weak growth of high -priced energy vehicles can also be reflected in the penetration rate of energy vehicles in different price.

According to data compiled by the Huazi Research Institute, from 2018 to 2021, the market penetration rate of energy vehicles selling for 300,000 yuan in domestic market increased by 20%. However, the penetration rate of 400,000 yuan in price and above increased from 5%to 12%at the same time period.

Picture source: Huazi Research Institute

"Energy vehicles are still in the development stage, a bit like a smartphone that has just been popular," said the energy car owner Hua Wu said. "So I will pick a car with better performance in the 200-3 million yuan range. Better, not to choose a million -level energy vehicle when you come up. "Hua Wu's idea may represent many new energy owners.

Perhaps it is aware that the ultra-high-end new energy vehicle is limited in the domestic market. Gexing launched Polestar2 priced at RMB 257,800 to 3.38 million in 2020, which directly marked the Model 3 of Tesla.

Picture source: car home

But even so, the sales of polar stars are not ideal. According to the sales data announced, the annual polar car and sales were 29,000 in 2021, while the sales volume of "Wei Xiaoli" in the same period has exceeded 90,000 units.

At the same time as the sales volume is not ideal, the gross profit margin of Jixing Automobile is also declining.

From 2019 to 2021, the gross profit margin of Jixing Automobile was 56.94%, 9.26%, and 0.06%, respectively. From 2020, the decrease from the previous year was 83.78%and 99.31%, respectively. It can be noted that the gross profit margin growth rate of polar stars in 2021 has doubled compared with the previous year.

From the point of view of its rapid decline in its gross profit margin, it is reorganized with the launch of the Polestar2 series of time points. Therefore, Xiaoyu inferred that "the launch of low -cost cars is the main reason for the decline in the overall gross profit margin of the enterprise."

Xiaoyu further explained that the cost of vehicle production will form a curve with the rise of vehicle production capacity. After the mass production of vehicles reaches a certain scale, the cost can be optimized more reasonably. However, due to the slow growth rate of sales, the scale of the production of polar vehicles may be difficult to expand, so costs are more difficult to control. When POLESTAR1 was launched, they could increase the gross profit margin by the ultra -high price. However, with the launch of more affordable products, the problem of cost control gradually "exposed".

At the same time as the gross profit margin declined, the marketing costs of Jixing Automobile continued to increase.

From 2019 to 2021, the marketing costs of Jixing Automobile were US $ 211 million, US $ 315 million, and US $ 714 million, respectively, from 2020 to 49.29%and 126.67%from the previous year. And it can be seen that the growth of marketing costs in 2021 has exceeded the growth rate of revenue. In short, the advertisement of Jixing Automobile has not leveraged effective users.

When cost and marketing costs are difficult to control, Jixing Automobile can only control its R & D expenses. Compared with the crazy growth of marketing costs, the R & D expenses of Jixing Automobile increased by only 26.62%compared with the previous year. In this regard, Jesse, an analyst at Waihai Investment, said that it is understandable to control the cost of reducing the final losses. However, on the other hand, it is constantly investing in advertising to attract consumers, but on the other hand, it will control the most important R & D expenses for car companies. In the long run, this may not be wise.

Geely Automobile's "one game"

Although the performance is "worrying", it still knocked on the bell in the U.S. stocks, which is indispensable for two important factors.

First, the ability to go to the sea. Public data shows that 93%of the sales of Jixing Automobile in 2021 are sold overseas, and according to its "China Times", Jixing is still accelerating the global market expansion process -it has been listed in 23 markets around the world, and it will still be recently listed, and it will still be recently listed. Expand to Spain, Portugal, Thailand and Malaysia. It is expected that by the end of 2023, Gexing will expand global business to at least 30 markets.

Second, many analysts in the industry analyzed that the successful listing of Jixing Motors may not be indispensable for the "gold master" behind it.

Polar Star Motors is actually a high -end energy vehicle brand of Geely Motors, which has inextricable connections with Geely.

In addition to Jixing Automobile, Geely also deployed collecting cars. As a car brand jointly created by Geely Automobile and Baidu, Jiji Automobile has launched the first concept car ROBO-01 in June this year. Traditional car manufacturing plus high-tech Internet high-tech is a "strong union".

However, the two new car manufacturers of Geely Motors seem to have not handled satisfactory answers.

Product manager Wei Wei'an said, "Product positioning may be an important reason why these two cars have not yet‘ killed the siege ’.”

Wei Wei'an further explained that, first of all, from the model, the domestic driver's currently preferred model is SUV, so Weilai, ideal, and Xiaopeng of the new vehicle manufacturing forces have launched the SUV series. Including Wima, which is also invested by Baidu, also focuses on SUVs. "Even if Tesla comes to China to do a local market, it will launch SUVs."

At present, no matter whether it is the ultra -high -end pole car or the "car robot" collection car, None has launched SUV series products.

"The positioning of the two cars of the polar star and the collective car is a bit 'ambiguous'." Wei Wei'an added, "Let's take the polar star car first, domestic consumers' awareness of new energy vehicles is still popular, one hundred Why don't you come to buy a tradition of Audi, a car that has a face with face, but to buy a tram? "

"And the concept of the so -called 'robot' of integrated cars is now more concepts greater than the substance. Moreover, the problems of latitude, driving, battery life and stability of new energy vehicles are not yet perfect. It is too early to discuss the "intelligence" of the car. What's more, the essence of the intelligent car is also a car. It needs to meet the competitiveness of the car first, and then talk about the "icing on the cake" that intelligence does, instead of the other way. "

In addition to the two new forces of vehicles, Geely Group also moves on the "supply chain". According to IT orange data, Geely Group participated in the strategic investment of Wei Lan New Energy, which focuses on the development and production of hybrid solid -liquid electrolyte lithium -ion batteries and full -solid lithium batteries. In the same month, Geely Group also participated in the strategic investment of the Kockee robotics of industrial robots.

In this regard, Vivian said that from research and development to production is a link. Geely Group's layout of the field of traditional car companies in the field of battery production, smart robot production may be to increase the synergy effect between enterprises, and From the perspective of the two car companies currently deployed by Geely Group, they want to find other growth spaces in addition to the new energy models that are already competitive.

Summarize

In early July, the news of Geely Automobile officially held Meizu, and Geely's Hubei Xingji Times Technology Co., Ltd. held 79.09%of Meizu Technology and obtained separate control of Meizu Technology.

Combining the layout of new energy vehicles such as Huawei, Apple, Xiaomi and other smartphone companies, Geely's waves of "reverse operation" for smartphone acquisitions seemed to be more meaningful.

Interactive designer Liuli said that the core logic of the software interaction design of the car is very similar to the interactive design of the mobile phone, but it shows that the hardware is different. Therefore, many analysts who do interactive design on the Internet have received the post of the new energy vehicle company designer offer. Essence

In addition to interactive design, smartphones and energy vehicles also have similar logic in chips and software design. Therefore, Geely is also further increasing the synergy effect of future energy vehicles.

The layout of Geely Automobile from "hard" to "soft" is called "all -around talent". However, the listing of Gexing Motors first let us see the disadvantages of Geely's "high -end".

Reference materials:

[1] "Weilai Xiaopeng ideal -who can laugh at the last best? "Hua Zi Research Institute

[2] "The successful listing of the United States, how do POLESTAR stars support the $ 20 billion valuation" Huaxia Daily

*This article is based on public information, which is only used as information exchange, and does not constitute any investment suggestions

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