Bin Wang's questions to Zeekr Intelligent Technology Holding Ltd (ZK) leadership • Q4 2024
Question
Bin Wang from Deutsche Bank sought clarification on the Q1 2025 15% gross margin target, asking if it was for vehicles or overall, and requested details on the one-off positive synergies. He also asked for an explanation for the sharp decline in battery and component sales in Q4 2024.
Answer
Executive Jing Yuan confirmed the 15% target is for vehicle gross margin on a consolidated level for Q4 2025, representing a roughly 3% improvement from the full-year 2024 pro forma margin of 12%. He attributed the potential one-off synergies to supply chain optimizations and manufacturing efficiencies at Lynk & Co. Regarding battery sales, he explained the decline was related to business on the Nimble brand, as not all Geely Group NEVs are supplied by it, but noted Nimble continues to supply battery packs for Volvo's EX-30, which contributed to margin.