EVE's ESS cells shipments target for 2024 is above 50GWh

EVE recently released an investor activity research report, mentioning that the company's planned target for energy storage shipments in 2024 is over 50GWh. The company hopes that the proportion of energy storage system shipments in 2024 will exceed 15% of energy storage batteries. The company pays close attention to the demand situation in the overseas energy storage market. According to market data, overseas demand for energy storage accounts for approximately 60-70% of the total, and the company is currently expanding its overseas business.

Regarding the production and shipment volume of the large cylindrical power batteries,EVE stated that the first phase of the company's large cylindrical battery factory with an annual capacity of 20GWh has been put into operation in Jingmen. By the end of December 2023, the company had produced over 4.25 million 46-series large cylindrical batteries, achieving commercial delivery and application. The two production lines of the second phase project will be put into operation and mass production in the second half of this year.

Regarding the prospects of large cylindrical battery mass production, EVE expressed continuous optimism about the mass production and market application of large cylindrical batteries, especially in overseas markets. Standardized product platforms are the prerequisite for large-scale commercialization, and large cylindrical batteries have tremendous commercial potential. They believe that large cylindrical batteries are innovative products based on new technologies. From the proposal of technological concepts to the large-scale market application, maturity of not only the product dimension but also the industrial chain is required. The current challenges mostly arise from the industry's immaturity, leading to higher product costs, especially in the recycling value chain. Considering the product recycling value chain comprehensively, ternary batteries, especially large cylindrical products dominated by high nickel, will further enhance market competitiveness and are very valuable.

Looking back at the first quarter of 2024, the company achieved operating income of 9.317 billion yuan, net profit attributable to the parent company of 1.066 billion yuan, and non-recurring net profit attributable to the parent company of 701 million yuan. Benefiting from the continuous improvement in the cost-effectiveness of lithium batteries and further release of downstream demand, the company's shipments of power and energy storage batteries continue to maintain rapid growth. In terms of energy storage batteries, the shipment volume was 7.02GWh, a year-on-year increase of 113.11%.