The sales volume of electric vehicles is difficult to solve the loss!Will high costs overwhelm Wama Holdings?

Wima Holdings has a sum of the three -year new car delivery, which is not as good as the annual delivery level of the first echelon of the new forces of the car. In addition, the company's high -cost investment model has caused its losses for years, and the problem of quality control has brought a good risk of reputation to the company.

"Investment Times" researcher Li Lu

As smart cars can improve vehicle safety, alleviate traffic congestion, and realize more in -vehicle entertainment functions, people's demand for smart cars is getting greater. In 2021, China's smart vehicle sales reached 35.5%of the total passenger vehicle sales throughout the year, and the electric vehicle market gradually entered the smart car stage. According to estimates, by 2026, China's smart car sales are expected to account for 80.5%of China's total passenger car sales.

Weima Holdings Co., Ltd. (hereinafter referred to as Weimar Holdings) is the first pure electric vehicle manufacturer to establish its own production facilities from the beginning, and it is also one of the pioneers to introduce innovative intelligent electric vehicle technology into the mainstream market in China. Generally speaking, China's mainstream electric vehicle market refers to the product recommendation retail price between 150,000 and 300,000 yuan, and it is also the largest and fastest growing market segment of China's electric vehicle industry. According to the data of Burning Consultation, Weima Holdings ranked first among all pure electric vehicle manufacturers in China's mainstream market in 2021. In 2021, electric vehicle sales and smart electric vehicle sales were all local car manufacturers in China's mainstream markets. Ranked third.

On the first day of an orderly resumption of work in Shanghai, Weima Holdings, headquartered in Shanghai, submitted a prospectus to the Hong Kong Stock Exchange. If the listing is successful, Weima Holdings will be the three top three of Weilai Automobile (Nio.us; 9866.HK), Xiaopeng Automobile (XPEV.US; 9868.HK) and the ideal car (li.us; li.us; 2015.HK) Gathering Hong Kong stocks.

In fact, this is not the first time Wima Holdings appeared in the capital market. The company had impacted the IPO in the science and technology board in early 2021 and successfully passed the listing counseling, but moved to Hong Kong stocks after no post.

According to the prospectus, this IPO company intends to use the raised funds for the development of automotive development platforms and next generation of smart electric vehicles, expand sales and service networks, and for brand promotion activities, related manufacturing inputs, repay the CCI loan, and supplementary operating funds etc.

"Investment Times" researchers have seen that in recent years, Weimar Holdings has increased in sales and sales revenue, but from the perspective of total sales, the company has fallen into the second echelon of new vehicles. In addition, the company's high -cost investment model has led to its losses in succession. The product control problem has brought a lot of reputation risks to the company.

The sales volume doubles but lost money for many years

According to the prospectus, from 2019 to 2021 (hereinafter referred to as the reporting period), Weima Holdings operating income increased at a high speed of 1.762 billion yuan, 2.672 billion yuan and 4.743 billion yuan, respectively. The total revenue of three years reached 9.177 billion yuan. The year -on -year growth rates in 2021 were 51.6%and 77.5%, respectively.

The rapid growth of electric vehicle sales in the past three years is the driving force for the company's income to increase significantly. According to the prospectus, since the first model was launched in September 2018, Wima Holdings has sold a total of 83,495 electric vehicles. During the reporting period, the company's electric vehicle sales were 12,799, 21937 and 44,152, respectively, which turned more than 2021 compared with 2020.

However, the growth rate of sales does not mean that the market is high. In the vertical comparison, there is a lot of gap between the sales volume of Wima Holding electric vehicles from the first echelon of the "new forces of car manufacturing".

"Investment Times" Researchers saw from public information that in 2021, the annual delivery volume of the ideal car owned by the ideal car was 90,491 units, an increase of 177.4%year -on -year; Weilai Automobile's annual delivery volume was 9,1429 units, an increase of 109.1%year -on -year; The delivery volume was 98,155 units, 3.6 times in 2020. It can be seen that the participants of the first echelon not only have a high growth rate of sales, but also have a higher annual sales than Weimar Holdings. They directly force the 100,000 mark, exceeding the sum of Weimar Holdings for many years.

Not only that, the high -speed growth of Weimar Holdings has not changed its situation of losses in succession. During the reporting period, the company's losses reached 4.1045 billion yuan, 5.084 billion yuan, and 8.206 billion yuan, respectively, with a cumulative loss of more than 17.4 billion yuan. After the adjustment, the net loss was 4.044 billion yuan, 4.225 billion yuan, and 5.363 billion yuan, respectively, with a total of 13.632 billion yuan in three years. In contrast, the net losses of Weilai Automobile, Xiaopeng Automobile, and the ideal car were 4.016 billion yuan, 4.863 billion yuan and 322 million yuan in 2021. Although they were also losing money, the scale of losses was significantly less than Weimar Holdings.

Losses will inevitably affect the liquidity level of Weimar Holdings and make it face greater funding pressure. The prospectus data shows that the company has cumulative loans in the past three years, and the company has mortgaged some properties in Huanggang and Wenzhou manufacturing plants to obtain guarantee borrowings. If there is a problem with the future capital chain, or affect the company's normal production and operation.

High cost

So, where did Weima Holdings go? "Investment Times" researcher saw that high raw material costs and personnel expenses are the main area of ​​capital consumption.

During the reporting period, the company's sales costs were 2.789 billion yuan, 3.835 billion yuan, and 6.69 billion yuan, mainly including raw materials and consumables, the finished products used in the manufacturing process and depreciation and amortization of products, production facilities and equipment related to products, production facilities and equipment. , Warranty expenditure, employee salary, etc. Among them, raw materials and consumables accounted for 67.4%, 79.3%, and 79.2%of sales costs, which are the main part. Taking 2021 as an example, the company's raw materials and consumables were 5.298 billion yuan, which was higher than the sales revenue of the same year, which means that the company's car selling cars did not even recover raw materials and consumables.

In terms of personnel expenditure, the company's administrative expenses during the reporting period were 839 million yuan, 1.75 billion yuan, and 2.705 billion yuan, of which employee's salary accounted for 47.4%, 69%, and 77.9%, respectively, and increased by 74.3%year -on -year from 2020. In this regard, the prospectus explained that one of the main reasons for the significant increase in the indicator in 2021 was that Weimar Shanghai awarded shares awarding shares to several management members in 2021, and the share -based payment expenditure based on shares increased significantly.

In addition, the researcher of the "Investment Times" also saw that during the reporting period, the company's salary paid to the directors (including robes, salary, bonuses, employees restricted shares or equity purchase expenses, pension planning planning, housing and other allowances) and physical objects) The total benefits were about 7.7 million yuan, 20.5 million yuan and 1.746 billion yuan, respectively. During the same period, the total salary and physical benefits paid by the five highest -paid individual employees were about 9 million yuan, 251 million yuan, and 1.746 billion yuan, respectively. Both of them increased significantly in 2021. It can be seen that in order to retain high -quality talents, Wima Holdings can be described as "blood".

However, as a company that relies on technology, Wima Holdings's investment level in R & D is not high. During the reporting period, the company's R & D expenditure was 893 million yuan, 992 million yuan, and 981 million yuan, respectively, accounting for 51%, 37%and 21%of the total revenue of the same period. Although the R & D expense ratio seemed not low, the R & D expenses of Weilai Automobile, Xiaopeng Automobile and ideal cars in 2021 were 4.6 billion yuan, 4.114 billion yuan, and 3.286 billion yuan, respectively, far exceeding Weima Holdings in terms of magnitude.

Weimar Holdings sales cost composition

Data source: company prospectus instructions

Question control problem

With the increase of sales, the quality control problem of Weimar Holdings has also appeared. According to the prospectus, from October 2020 to January 2021, due to the quality problem of the cells provided by third -party suppliers, the company recalled almost all 1282 electric vehicles to replace the battery. Such a large -scale recall behavior is still rare in the new circle of vehicles.

"Investment Times" researcher believes that such a cautious recall is affected by the "spontaneous combustion event" involved in Wima Holdings in recent years. According to public reports, in October 2020, there were three Waima EX5 spontaneous combustion; in December 2021, there were 3 Wima EX5 spontaneously ignited within 4 days; Self -combustion incident. From this point of view, the quality and safety of Wama Holdings may cause consumers to question.

At the 315 party of Guangdong Province this year, the "electricity lock" problem of Weimar Holdings's car was also exposed. After the maintenance and upgrading of Wima Motors, the owners accused themselves purchased. According to reports, the essence of "locking electricity" is to change the maximum charging voltage of the battery, which can effectively reduce most of the spontaneous combustion caused by charging. This phenomenon can't help but doubt whether "lock -up" is a means to reduce the spontaneous combustion incident? Faced with the majority of car owners, Wima Holdings has always denied the "lock -up" behavior.

In addition, Geely Group's prosecution of Weimar Holdings was another sword hanging on the company's reputation. Public information shows that in 2019, Geely Group brought Weima Holdings to court on the grounds of infringing its business secrets, and Geely Group claimed to Weimar Holdings 2.1 billion yuan and related litigation costs. The first trial of the above lawsuit has ended and is expected to make a judgment at the end of 2022. In addition, Wima Holdings also has 27 registered patents and 2 patent applications for intellectual property disputes with Geely Group.

According to the prospectus, in order to cope with the amount of claims, Weima Holdings has made about 60 million yuan in preparation, and has completed the relevant technical plan or patent involved in the replacement of business secret disputes and intellectual property disputes, or the replacement or elimination plan has been formulated or eliminated. Essence This behavior is a shadow of the truth, and it may further affect Weima Holdings' own competitiveness, which will lead to the decline in the company's valuation; if the high compensation amount of 2.1 billion is pronounced There is no small negative impact.

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