External broker reports(aggregated public sources), CMB International

CMB International

Incorporated in Hong Kong, supported by the mainland and targeting in global market, CMB International Capital Corporation Limited (“CMBI”) is an integrated financial institution providing comprehensive and professional services. As a wholly-owned subsidiary of China Merchants Bank ("CMB"), by leveraging on the Group’s synergy and coordination in domestic and overseas markets, as well as CMB’s strong resources and outstanding social reputation, CMBI and its subsidiaries have been actively implementing diversified business strategies and set up an overall layout of main business segments including Corporate Finance, Asset Management, Wealth Management, Global Markets and Structured Finance, etc. Adhering to the philosophy of “being clients oriented and increasing our own values by the way of creating value for clients”, CMBI endeavors to provide quality and integrated financial services to institutional, corporate and individual customers both domestic and overseas including Hong Kong IPO sponsorship and underwriting, share placement and rights issue for listed companies, financial advisors, bonds issuance services, asset management, direct investment, wealth management, equity sales and trading, etc.

External broker reports(aggregated public sources)

Equity Bottom-Up

<ul><li>While Weichai Power (Weichai)’s revenue growth of 6% YoY in 1Q24 is below our expectation, net profit of RMB2.6bn (+40% YoY) accounted for 21.4% of our full-year estimates (run rate in 1Q23: 20.5%), which is still in line with our expectation.</li><li>The earnings growth was driven by margin expansion on both core business and KION Group (KGX GR, NR).</li><li>We maintain Weichai as our sector top pick, given (1) the large gas/diesel price gap will continue to drive natural gas engine demand, where Weichai has &gt;60% market share in; (2) high-speed large-bore engines will serve as a structural growth driver on the back of construction of more data centres. </li></ul><p><em>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.</em></p>

While Weichai Power (Weichai)’s revenue growth of 6% YoY in 1Q24 is below our expectation, net profit of RMB2.6bn (+40% YoY) accounted for 21.4% of our full-year estimates (run rate in 1Q23: 20.5%), which is still in line with our expectation.The earnings growth was driven by margin expansion on both core business and KION Group (KGX GR, NR).We maintain Weichai as our sector top pick, given (1) the large gas/diesel price gap will continue to drive natural gas engine demand, where Weichai has &gt;60% market share in; (2) high-speed large-bore engines will serve as a structural growth driver on the back of construction of more data centres. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Weichai Power (000338 CH) - 1Q24 Net Profit +40% YoY in Line; Solid Growth Outlook