Deye - A: Takes from our fireside chat: Resilient demand outlook

Research evidence excerpt

Deye - A: Takes from our fireside chat: Resilient demand outlook

J P M O R G A N Asia Pacific Equity Research

20 July 2026

This material is neither intended to be distributed to Mainland China investors nor to provide securities investment consultancy services within the territory

of Mainland China. This material or any portion hereof may not be reprinted, sold or redistributed without the written consent of J.P. Morgan.

Deye - A Overweight

605117.SS, 605117 CH

Takes from our fireside chat: Resilient demand outlook Price (20 Jul 26):Rmb79.40

Price Target (Jun-27):Rmb154.00

We hosted a fireside chat with Deye’s board secretary. Management shared that APAC Utilities & Renewables |

strong 1H26 results were driven by a pickup in residential and C&I ESS demand, Sustainable Investing

due in part to energy supply disruptions, with 1H revenue already at ~50% of its Alan Hon AC

Rmb20bn full-year target. We see potential for management to lift its target during (852) 2800-8573

the 2Q briefing. Growth was driven by emerging markets, including Eastern alan.hon@jpmorgan.com

Europe, Southeast Asia, the Middle East, India, Pakistan and Africa. Management Daqi Jiao

aims to maintain a stable margin outlook despite battery cell and power electronics (852) 2800-8595

cost pressure, supported by new product launches in 2H, aiming to reduce costs. daqi.jiao@jpmorgan.com

J.P. Morgan Securities (Asia Pacific) Limited/ J.P.

Channel inventories appear healthy. Deye’s Hong Kong IPO is pending regulatory Morgan Broking (Hong Kong) Limited

filing approval; proceeds would fund China/Malaysia capacity expansion, R&D

and brand/channel buildout. We maintain an OW rating on Deye, as we expect it

to ride the DG ESS growth potential on the back of rising adoption of solar+storage

in EM.