Bestechnic (Shanghai) (SH:688608) Xin Lang Cai Jing·2025-09-01 06:44Core Viewpoint - The company reported significant growth in revenue and net profit for the first half of 2025, driven by new product launches and market expansion in wearable technology [1][2]. Financial Performance - The company achieved a revenue of 1.938 billion yuan in H1 2025, a year-on-year increase of 26.58% - The net profit attributable to shareholders reached 305 million yuan, up 106.45% year-on-year - The non-recurring net profit was 284 million yuan, reflecting a 153.37% increase year-on-year - In Q2 2025, revenue was 944 million yuan, showing a year-on-year growth of 7.48% but a quarter-on-quarter decline of 5.09% - The net profit for Q2 was 114 million yuan, down 4.79% year-on-year and 40.02% quarter-on-quarter [1]. Gross Margin and Incentives - The gross margin improved in Q2, reaching 40.12%, an increase of 1.67 percentage points from the previous quarter - The revenue growth was attributed to new customer acquisitions in the smartwatch market, the introduction of new products like BES2800, and expansion into new markets such as wireless microphones and AI glasses - The company announced a restricted stock incentive plan for 2025, proposing to grant up to 230,800 shares to 112 employees, primarily targeting technical and business personnel [2]. Product Development and Market Expansion - The BES2800 chip, utilizing 6nm technology, has been widely adopted in TWS headphones, smartwatches, and smart glasses - The company successfully onboarded new clients in the smartwatch sector, including Xiaotianzi and Songtuo, and has commenced mass production - The new 6000 series is expected to be sampled in the first half of 2026, indicating a proactive approach to market demands [3]. Investment Outlook - The company maintains an "outperform" rating, with expectations for significant profit growth driven by the expansion into new applications and the mass production of the BES2800 platform - Projected net profits for 2025-2027 are estimated at 794 million, 1.097 billion, and 1.503 billion yuan, representing year-on-year growth rates of 72.4%, 38.2%, and 37.0% respectively - The current market PE ratios are projected to be 67.1, 48.6, and 35.4 times for the years 2025-2027 [4].