Investment Rating - The report maintains a "Buy" rating for the company [1][3] Core Views - The company reported a revenue of 1.74 billion RMB for the first half of 2024, representing a year-on-year growth of 21.4% [1] - The net loss for the same period was 2.48 billion RMB, which is a 21.2% reduction compared to the previous year [1] - The adjusted EBITDA loss was 1.89 billion RMB, narrowing by 6.7% year-on-year [1] - The company’s cash flow from operating activities showed a net outflow of 3.52 billion RMB, widening the gap by 1.72 billion RMB compared to the same period last year [1] Business Analysis - Revenue from generative AI reached 1.05 billion RMB, growing by 100% year-on-year [2] - Traditional AI revenue fell by 50.6% to 520 million RMB, primarily due to a significant decline in smart city business [2] - Smart vehicle revenue doubled to 170 million RMB, with 705,000 units delivered, marking an 80% increase [2] - The total number of GPUs deployed by the company reached 54,000, with total computing power exceeding 2.0 PFLOPS [2] - The total workforce decreased by 6.9% to 4,672 employees by the end of June 2024 [2] - The company’s financial income increased by 180 million RMB year-on-year, while tax credits decreased by 120 million RMB [2] Profit Forecast, Valuation, and Rating - Projected revenues for 2024, 2025, and 2026 are estimated at 4.24 billion RMB, 5.49 billion RMB, and 6.89 billion RMB, respectively, with growth rates of 24.6%, 29.3%, and 25.5% [3] - Expected net losses for the same years are projected at 4.69 billion RMB, 4.07 billion RMB, and 3.53 billion RMB, with year-on-year reductions of 27.1%, 13.4%, and 13.2% [3] - The company is valued at 9.8x, 7.6x, and 6.0x price-to-sales ratios for the years 2024, 2025, and 2026, respectively [3]
商汤-W：生成式AI快速增长，亏损同比缩窄