Citi reported that Contemporary Amperex Technology Co. Limited (CATL) witnessed a 49% year-on-year surge in its net profit during the first quarter. This performance not only met the bank's expectations but also marginally exceeded market forecasts, potentially prompting an upward adjustment in the market consensus forecast. The robust sales of electric vehicle batteries were primarily propelled by factors such as the expansion of its market share. It is projected that sales of electric vehicle batteries and energy storage batteries in the first quarter attained 151.5 gigawatt-hours and 50.5 gigawatt-hours, respectively. Due to the escalation of raw material prices and shifts in the product mix, the gross profit margin in the first quarter experienced a 3.2 percentage point decline on a quarter-on-quarter basis. Nevertheless, the net profit per unit remained steady. Citi continues to regard CATL as its top choice, setting a target price of RMB 576 for its A shares.