恒玄科技(688608) - 2025 Q2 - 季度财报

Definitions This section defines common terms, company names, industry jargon, technical concepts, and abbreviations to enhance report comprehension - Defines the company name "Bestechnic/Company/the Company" as Bestechnic (Shanghai) Co., Ltd[10] - Explains the Fabless model, where the company focuses on IC R&D and sales, outsourcing manufacturing, packaging, and testing to specialized vendors[10] - Lists various technical terms such as AI, AIoT, Wi-Fi, Bluetooth, SoC, NPU, TWS, and ANC, which are closely related to the company's main business[10][11][12] Company Profile and Key Financial Indicators This section outlines Bestechnic's basic information, contact details, disclosure channels, and stock overview, presenting key accounting data and financial indicators for H1 2025, demonstrating significant revenue and net profit growth Company Overview Bestechnic (Shanghai) Co., Ltd., established in 2015, specializes in R&D, design, and sales of low-power wireless computing SoC chips, registered in Shanghai's Lingang Special Area - Company's Chinese name: Bestechnic (Shanghai) Co., Ltd., abbreviated as Bestechnic[14] - Legal Representative: Zhao Guoguang[14] - Registered Address: Room 904, No. 800, Huanhu West 2nd Road, Lingang Special Area, China (Shanghai) Pilot Free Trade Zone[14] Contact Persons and Information This section discloses contact details for the company's Board Secretary Li Guangping and Securities Affairs Representative Ling Lin, facilitating investor communication - Board Secretary: Li Guangping, Contact Address: Room 201, Building B, Changtai Plaza, No. 2889 Jinke Road, Pudong New Area, Shanghai[15] - Email: ir@bestechnic.com[15] Information Disclosure and Document Availability Changes The company designates four newspapers for information disclosure and publishes its semi-annual report on www.sse.com.cn, with documents available at the Board of Directors' Office - Names of selected information disclosure newspapers: "China Securities Journal", "Shanghai Securities News", "Securities Times", "Securities Daily"[16] - Website address for semi-annual report publication: www.sse.com.cn[16](index=16&type=chunk) Company Stock/Depositary Receipts Overview The company's A-shares are listed on the Shanghai Stock Exchange STAR Market, with stock ticker "Bestechnic" and code "688608" - Stock Type: A-shares[17] - Stock Exchange and Board of Listing: Shanghai Stock Exchange STAR Market[17] - Stock Abbreviation: Bestechnic, Stock Code: 688608[17] Key Accounting Data and Financial Indicators In H1 2025, operating revenue grew 26.58% to CNY 1.938 billion, net profit attributable to shareholders increased 106.45% to CNY 305 million, and non-recurring net profit rose 153.37% to CNY 284 million, driven by market share gains and improved gross margin Key Accounting Data for H1 2025 | Metric | Current Period (Jan-Jun) (CNY) | Prior Period (CNY) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 1,938,410,350.71 | 1,531,397,900.65 | 26.58 | | Total Profit | 325,369,639.38 | 148,212,509.15 | 119.53 | | Net Profit Attributable to Shareholders | 304,803,399.18 | 147,640,191.41 | 106.45 | | Net Profit Attributable to Shareholders (Excl. Non-recurring Items) | 284,037,265.10 | 112,102,143.03 | 153.37 | | Net Cash Flow from Operating Activities | 111,115,256.22 | 114,926,134.80 | -3.32 | | Net Assets Attributable to Shareholders (End of Period) | 6,689,077,433.02 | 6,504,521,780.38 | 2.84 | | Total Assets (End of Period) | 7,193,078,661.26 | 7,054,799,432.43 | 1.96 | Key Financial Indicators for H1 2025 | Metric | Current Period (Jan-Jun) | Prior Period | YoY Change | | :--- | :--- | :--- | :--- | | Basic EPS (CNY/share) | 1.8150 | 0.8792 | 106.44% | | Diluted EPS (CNY/share) | 1.7890 | 0.8706 | 105.49% | | Basic EPS (Excl. Non-recurring Items) (CNY/share) | 1.6913 | 0.6675 | 153.38% | | Weighted Average ROE (%) | 4.62 | 2.40 | Increased by 2.22 percentage points | | Weighted Average ROE (Excl. Non-recurring Items) (%) | 4.31 | 1.82 | Increased by 2.49 percentage points | | R&D Investment as % of Operating Revenue (%) | 20.37 | 21.01 | Decreased by 0.64 percentage points | - The company focuses on low-power wireless computing SoC chip design and R&D, with continuous market share growth driving operating revenue up 26.58%[20] - Rapid net profit growth resulted from strong operating revenue increase and a 6.1 percentage point rise in overall gross margin to 39.3%[20] Non-recurring Gains and Losses Items and Amounts During the reporting period, total non-recurring gains and losses amounted to CNY 20,766,134.08, primarily from gains or losses on entrusted investments or asset management Non-recurring Gains and Losses for H1 2025 | Non-recurring Item | Amount (CNY) | | :--- | :--- | | Gains/Losses on Disposal of Non-current Assets | 200,165.02 | | Government Grants Recognized in Current P/L | 1,262,530.18 | | Gains/Losses from Fair Value Changes and Disposal of Financial Assets | 199,517.32 | | Gains/Losses from Entrusted Investments or Asset Management | 22,007,498.35 | | Other Non-operating Income and Expenses | 28,090.18 | | Less: Income Tax Impact | 2,931,666.97 | | Total | 20,766,134.08 | Companies with Equity Incentive or Employee Stock Ownership Plans May Disclose Net Profit After Deducting Share-based Payment Impact After deducting the impact of share-based payments, the company's net profit for H1 2025 was CNY 324,224,950.76, a year-over-year increase of 81.43% Net Profit After Deducting Share-based Payment Impact | Key Accounting Data | Current Period (Jan-Jun) (CNY) | Prior Period (CNY) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Net Profit After Deducting Share-based Payment Impact | 324,224,950.76 | 178,707,135.47 | 81.43 | Management Discussion and Analysis This section discusses the company's business model, industry position, and technological advantages in low-power wireless computing SoC chips, noting significant revenue and net profit growth from new chip adoption, market share gains, and R&D, while also identifying risks including technology, operations, finance, and macro environment Description of Industry and Main Business During the Reporting Period The company specializes in R&D, design, and sales of low-power wireless computing SoC chips using a Fabless model, serving smart wearables and smart home markets with strong brand partnerships, maintaining a leading technological position and growing market share in the high-barrier IC design industry - The company's main business is R&D, design, and sales of low-power wireless computing SoC chips, including wireless audio, smart wearable, smart home, and wireless connectivity chips[25] - Chip products are widely used in smart terminals such as TWS earphones, smartwatches/bands, smart speakers, and smart home appliances[25] - Downstream customers include mainstream Android phone brands like Samsung, OPPO, Xiaomi, Honor, vivo, professional audio manufacturers like Harman, Anker Innovations, internet companies like Alibaba, Baidu, Google, and home appliance manufacturers like Haier, Hisense[25] - The company adopts the industry-standard Fabless model, focusing on IC design, R&D, and sales, with wafer manufacturing, testing, and packaging outsourced to specialized vendors[26] - Sales models include direct sales (to terminal manufacturers, solution providers, module factories) and distribution (through electronic component distributors)[26] - The company operates in the "Computer, Communication and Other Electronic Equipment Manufacturing" sector of "Manufacturing" and "Integrated Circuit Design" within "Software and Information Technology Services"[27] - In Q1 2025, global TWS earphone shipments grew 18%, and wrist-worn device shipments increased 10.5%, with the Chinese market growing 37.6%[28] - The IC design industry is technology-intensive, characterized by rapid product iteration, with key entry barriers being accumulated technology, experience, and continuous innovation capabilities[29] - SoC master control chips are complex, requiring high R&D design, manufacturing process, and software-hardware co-development, necessitating process advancements to balance high performance and low power consumption[29] - The company is a leading supplier of master control chips for smart wearables and smart home products, establishing a strong brand influence in the industry[30] - The company possesses leading comprehensive R&D capabilities in RF/analog/power management, wireless communication, acoustic/audio, image/vision, NPU technology, low-power high-performance SoC, and complete software architecture[30] Discussion and Analysis of Operations During the reporting period, operating revenue grew 26.58% to CNY 1.938 billion, and net profit attributable to shareholders increased 106.45% to CNY 305 million, driven by rapid adoption of the new BES2800 chip, expansion into new markets like smartwatches, and sustained high R&D investment - In H1 2025, the company's operating revenue was CNY 1.938 billion, a 26.58% YoY increase; net profit attributable to shareholders was CNY 305 million, a 106.45% YoY increase; and non-recurring net profit was CNY 284 million, a 153.38% YoY increase[31] - The new generation BES2800 smart wearable chip (using 6nm FinFET process) achieved rapid volume adoption in TWS earphones, smartwatches, and smart glasses, solidifying the company's technological leadership[32] - Successfully onboarded new smartwatch clients like Xiaotiancai and Suunto, leading to rapid growth in smartwatch chip shipments and expanding application scenarios to smart glasses and wireless microphones[33][34] - In H1 2025, R&D expenses were CNY 395 million, a 22.77% YoY increase; total R&D personnel reached 621, accounting for 86.25% of employees[35] - During the reporting period, 59 new invention patent applications were filed, with 25 granted; cumulative invention patent applications reached 655, with 255 granted[35] Analysis of Core Competitiveness During the Reporting Period Bestechnic's core competitiveness stems from its forward-looking technology planning, leading technical advantages in multi-core heterogeneous SoC, dual-band low-power Wi-Fi, Bluetooth, advanced acoustic systems, smartwatch platforms, health monitoring, fully integrated RF, and high-speed audio/video storage interfaces, coupled with high R&D investment creating IP barriers and deep brand customer relationships - In the TWS earphone and smartwatch sectors, the company, through proactive product definition and rapid response, pioneered leading products supporting dual-ear calls, active noise cancellation, and single-chip master control for sports watches, utilizing 12nm and 6nm advanced processes[36] - The new generation smart wearable master control chip integrates multi-core CPU, audio DSP, 2.5D GPU, NPU, and low-power display system controller, significantly enhancing digital signal processing and machine learning capabilities[38] - Wi-Fi 6 connectivity chips are in mass production, integrating RF high-power amplifiers, low-noise amplifiers, and transceiver switches, offering advantages in low power consumption and low latency[38] - The new generation smart wearable chip fully supports BT/BLE dual-mode 6.1 protocol and developed a new generation IBRT solution supporting one-to-two and multi-point connections[38] - Industry-leading adaptive ANC, call noise reduction, and keyword recognition technologies are complemented by R&D into PSAP assisted acoustic enhancement, dynamic bass, virtual bass, and spatial audio solutions[38] - A complete smartwatch software solution has been developed, including Bluetooth music/voice calls, smooth dial display, and sensor data interaction[39] - TWS earphone master control chips integrate high-precision capacitive sensors and wear detection, with independently developed optical heart rate, blood oxygen, and other health monitoring front-ends[39] - SoC chips integrate RF, audio, power management, and other analog circuits, along with multi-core processors, Bluetooth baseband, and rich interfaces into a single chip, further reducing power consumption[39] - Wi-Fi SoC chips integrate DSI display interface, CSI camera interface, high-speed parallel interface DDR controller, and PHY technology, being among the first to support the HarmonyOS series operating systems[39] - As of the end of the reporting period, the company held 297 patents (255 invention patents), with 621 R&D personnel accounting for 86.25% of the total workforce[40] - Covering global mainstream Android phone brands, professional audio manufacturers, internet companies, and home appliance manufacturers, deep cooperation with brand customers creates strong stickiness[41][42] Core Technologies and R&D Progress The company made continuous progress in core technologies including ultra-low power computing SoC, dual-band low-power Wi-Fi, Bluetooth and SparkLink, smartwatch platforms, advanced acoustic and audio systems, wearable platform smart detection and health monitoring, fully integrated RF in advanced processes, and fully integrated audio/video high-speed storage interfaces, with R&D investment of CNY 395 million, a 22.77% YoY increase, and 59 new invention patent applications during the period - The developed wearable master control chip integrates multi-core CPU, DSP, NPU, 2.5D GPU, and low-power display system controller, with independently developed BECO embedded AI co-processor to enhance AI algorithm processing capabilities and reduce power consumption[43] - Developed low-power Wi-Fi 6 chips integrating RF high-power amplifiers, low-noise amplifiers, and transceiver switches to reduce costs[43] - Wearable SoC chips support BT/BLE dual-mode 6.1 protocol, with an upgraded IBRT solution supporting multi-point connections, and new generation chips supporting the SparkLink Alliance protocol for microsecond-level ultra-low latency and higher transmission rates[44] - Developed a complete smartwatch software solution supporting multi-format local music codec, various call modes, independent Modem cellular communication, and multi-sensor transmission protocols[45] - New generation adaptive ANC algorithms, adaptive equalization technology, 3-Mic neural network call noise reduction algorithms, and PSAP assisted acoustic enhancement, dynamic bass, virtual bass, and spatial audio solutions[45] - TWS earphone master control chips integrate high-precision capacitive sensors and wear detection, with independently developed optical heart rate, blood oxygen, and other health monitoring front-ends, and gradual development of PPG heart rate detection technology based on BECO[46] - SoC chips integrate RF, audio, power management, and other analog circuits, along with multi-core processors, Bluetooth baseband, and rich interfaces into a single chip, further reducing power consumption[46] - Wi-Fi SoC chips integrate DSI display interface, CSI camera interface, high-speed parallel interface DDR controller, and PHY technology, being among the first to support the HarmonyOS series operating systems[46] - As of the end of the reporting period, the company had cumulatively obtained 297 patents, including 255 invention patents, 33 utility model patents, 1 design patent, and 2 software copyrights[47] Intellectual Property Acquired During the Reporting Period | IP Type | New Applications (Current Period) | New Grants (Current Period) | Cumulative Applications | Cumulative Grants | | :--- | :--- | :--- | :--- | :--- | | Invention Patents | 59 | 25 | 655 | 255 | | Utility Model Patents | 2 | 4 | 37 | 33 | | Design Patents | 0 | 0 | 1 | 1 | | Software Copyrights | 0 | 0 | 2 | 2 | | Other | 0 | 0 | 6 | 6 | | Total | 61 | 29 | 701 | 297 | R&D Investment Overview | Metric | Current Period Amount (CNY) | Prior Period Amount (CNY) | Change (%) | | :--- | :--- | :--- | :--- | | Expensed R&D Investment | 394,945,368.22 | 321,689,206.93 | 22.77 | | Total R&D Investment | 394,945,368.22 | 321,689,206.93 | 22.77 | | Total R&D Investment as % of Operating Revenue (%) | 20.37 | 21.01 | Decreased by 0.64 percentage points | - Total R&D expenses increased by 22.77% YoY, primarily due to increased R&D personnel compensation, share-based payment expenses, and R&D engineering fees[51] R&D Project Status (CNY 10,000) | No. | Project Name | Estimated Total Investment | Current Period Investment | Cumulative Investment | Progress/Milestones | Target Objectives | Technology Level | Application Prospects | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | 1 | Bluetooth Audio Chip Process Upgrade Project for Smart Earphones | 60,000.00 | 14,851.10 | 49,820.52 | R&D Testing Phase | Introduce more advanced processes, support stronger edge computing capabilities, further increase single-chip integration, and reduce product power consumption | Internationally Leading | Applied in low-power smart audio terminals like smart Bluetooth earphones and smart speakers | | 2 | WiFi/Bluetooth Dual-Mode Audio Chip Process Upgrade for Smart Home | 40,000.00 | 8,597.62 | 37,742.89 | R&D Testing Phase | Single-chip integration of WiFi/BT, far-field noise reduction processing, voice wake-up and voice recognition, multi-core CPU system, etc., to meet future smart home requirements for low-power SoC chips | Internationally Leading | Applied in IoT fields such as smart home | | 3 | Smart Glasses SoC Chip Project | 15,000.00 | 5,558.86 | 10,918.87 | R&D Phase | Single-chip integration of low-power display technology, image sensing technology, and orientation/acceleration sensor technology, while upgrading multi-protocol and multi-standard wireless transmission technology | Internationally Leading | Applied in smart glasses | | 4 | Smartwatch SoC Chip Project | 23,000.00 | 5,325.34 | 18,534.70 | R&D Testing Phase | Single-chip integration of low-power display technology, image sensing technology, and support for wearable platform smart detection and health monitoring technology | Internationally Leading | Applied in smartwatches, smart bands | | 5 | Low-Power Smart Audio/Video Platform for Smart Home | 25,000.00 | 5,161.61 | 21,842.38 | R&D Phase | Single-chip integration of image sensing, smart video, and other functions to achieve multi-faceted applications such as facial recognition, gesture recognition, and image display | Internationally Leading | Applied in IoT fields such as smart home | | Total | / | 163,000.00 | 39,494.54 | 138,859.36 | / | / | / | / | R&D Personnel Profile (CNY 10,000) | Metric | Current Period | Prior Period | | :--- | :--- | :--- | | Number of R&D Personnel | 621 | 571 | | R&D Personnel as % of Total Employees | 86.25 | 85.74 | | Total R&D Personnel Compensation | 19,437.81 | 17,508.44 | | Average R&D Personnel Compensation | 31.25 | 30.11 | - R&D personnel education composition: 61.84% hold master's degrees, 34.94% hold bachelor's degrees[56] - R&D personnel age structure: 49.91% are under 30, 33.66% are between 30 and 40[56] Risk Factors The company faces diverse risks, including core competitiveness (tech iteration, R&D failure, talent loss), operational (product concentration, supplier reliance), financial (receivables, inventory, FX, tax, gross margin), industry competition, and macro/legal (economic, trade, IP, licensing) factors - The integrated circuit design industry is characterized by rapid product iteration; failure to maintain a fast technological update cycle will impact revenue growth[57] - New product R&D involves significant investment; incorrect R&D direction, failure to achieve key technological breakthroughs, or products not meeting market demand pose R&D failure risks[58][59] - Core technology is crucial for competitive advantage, and its leakage would adversely affect the company's competitiveness[60] - Intense talent competition in the industry means insufficient incentives or recruitment could lead to talent loss, impacting R&D capabilities[61] - Chips are primarily used in smart wearables and smart home devices; if non-wearable market expansion falls short or the wearable market fluctuates, performance will be affected[62] - Under the Fabless model, wafer manufacturing, packaging, and testing are outsourced, leading to high supplier concentration; quality issues, supply shortages, or insufficient capacity from suppliers would impact production and delivery[63][64] - Expanding operations may increase accounts receivable; failure to collect them promptly would affect capital utilization efficiency and performance[65] - Inventory scale increases with business expansion; changes in market demand, intensified competition, or poor inventory management could lead to inventory impairment[66] - Overseas sales and purchases expose the company to exchange rate fluctuations, which could significantly impact performance[67] - Changes in high-tech enterprise tax preferential policies or the company losing its qualification would reduce future profitability[68] - Intense market competition and rapid product technological iteration mean intensified competition or insufficient product updates could lead to a decline in gross margin, significantly impacting performance[69] - The low-power wireless computing SoC chip market faces intensified competition from international major players, posing a risk of market share erosion[70][71] - Influences from domestic and international macroeconomic conditions, industry regulations, and trade policies, such as global economic downturns or escalating China-US tech trade friction, could affect semiconductor material supply and downstream demand[72] - The chip design industry involves numerous intellectual properties, with potential risks of malicious lawsuits from competitors or IP disputes with third parties[73] - High concentration of EDA tool and IP suppliers means inability to obtain technology authorizations would adversely affect operations[74] Key Operating Performance During the Reporting Period Analysis of key financial statement items shows YoY increases in revenue, cost, selling, and R&D expenses, with finance expenses rising from exchange losses, investing cash flow decreasing due to structured deposits, and financing cash flow declining from higher dividends, while cash management boosted current profit Changes in Key Financial Statement Items for H1 2025 | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 1,938,410,350.71 | 1,531,397,900.65 | 26.58 | | Operating Cost | 1,177,155,816.73 | 1,023,077,672.48 | 15.06 | | Selling Expenses | 19,253,117.51 | 15,060,146.63 | 27.84 | | Administrative Expenses | 58,606,291.09 | 58,550,505.02 | 0.10 | | Finance Expenses | -27,436,761.23 | -31,982,796.36 | N/A | | R&D Expenses | 394,945,368.22 | 321,689,206.93 | 22.77 | | Net Cash Flow from Operating Activities | 111,115,256.22 | 114,926,134.80 | -3.32 | | Net Cash Flow from Investing Activities | -441,402,709.40 | 334,291,019.05 | -232.04 | | Net Cash Flow from Financing Activities | -136,110,473.06 | -35,056,925.23 | N/A | - Operating revenue growth is primarily due to sustained growth in the downstream smart wearable market and the company's increased market share[76] - The change in finance expenses is mainly due to a year-over-year increase in exchange losses[77] - The change in net cash flow from investing activities is primarily due to an increase in net purchases of structured deposits[77] - The change in net cash flow from financing activities is mainly due to an increase in cash dividends distributed[77] - During the reporting period, the company increased current period profit by CNY 22,189,933.32 through cash management[78] Analysis of Assets and Liabilities At period-end, accounts receivable, construction in progress, and other non-current assets significantly increased due to revenue growth, project investments, and large CD purchases, while short-term borrowings, contract liabilities, and employee compensation decreased, and taxes payable and other payables increased Changes in Assets and Liabilities for H1 2025 | Item | Current Period End Amount (CNY) | % of Total Assets (End of Period) | Prior Year End Amount (CNY) | % of Total Assets (Prior Year End) | YoY Change (%) | Explanation | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Accounts Receivable | 612,831,185.60 | 8.52 | 374,730,364.72 | 5.31 | 63.54 | Due