YADEA (01585) shares surged 6.84% during intraday trading on Thursday, as investors reacted positively to the company's impressive interim results and optimistic analyst reports. The electric two-wheeler manufacturer reported a significant year-over-year increase in both revenue and profit for the first half of 2025, showcasing its strong market position and growth potential.
According to the company's interim report, YADEA achieved a revenue of RMB19.186 billion, up 33.11% compared to the same period last year. The profit attributable to owners reached RMB1.649 billion, marking a substantial 59.5% year-over-year increase. Bank of America Securities highlighted that the company's sales volume grew by 38% year-over-year, benefiting from trade-in subsidy policies and channel restocking demand. The gross margin also improved, reaching 19.6%, up 1.6 percentage points from the previous year.
Looking ahead, analysts remain bullish on YADEA's prospects. BOCOM International noted that the implementation of new national standards on September 1 would mark the industry's entry into a new cycle, with YADEA well-positioned to benefit from its technological capabilities, channel network, and product strength. The bank raised its target price for YADEA from HK$19.84 to HK$22.63, maintaining a "Buy" rating. Additionally, YADEA's plans for overseas expansion, with expectations of a breakthrough in overseas sales volume by 2027, further contribute to the positive outlook for the company's medium to long-term development.