BIDU(09888) 市值风云·2024-08-28 11:41Investment Rating - The report indicates that the company is aiming for an IPO with a target valuation of approximately 50.2 billion USD (360 billion RMB) and plans to raise 119.4 million USD [5][8]. Core Insights - The company, WeRide, is recognized as a pioneer in the autonomous driving sector, being the first to launch a Level 4 autonomous taxi service globally [4][10]. - Despite significant investments and a strong operational presence in multiple countries, the company has yet to achieve profitability, with substantial ongoing research and development costs [17][19]. - The company is shifting its business model towards a consumer-oriented ride-hailing service, aiming to compete directly with other players in the market [26]. Summary by Sections Company Overview - WeRide, founded by former Baidu executive Han Xu, has developed an autonomous driving app called "WeRide Go" and operates in cities like Guangzhou and Beijing [3][4]. - The company has received significant backing from various investors, including the Renault-Nissan-Mitsubishi Alliance, which is set to invest 97 million USD post-IPO [6][9]. Financial Performance - The company reported revenues of 4 billion RMB in 2023, a decrease of 24% year-on-year, with a significant drop in product revenue [13][16]. - The revenue structure has shifted from product sales to technology services, with service revenue growing significantly due to contracts with major suppliers like Bosch [12][16]. Business Model - WeRide's revenue generation is based on two main models: selling vehicles and providing technology services [10][11]. - The company employs a "light asset" model, sourcing vehicles from OEMs rather than manufacturing them in-house [11][12]. Market Position and Strategy - The company is positioned as a leader in the autonomous driving space, holding licenses in multiple countries and operating in 30 cities globally [4][10]. - Future plans include a focus on expanding the ride-hailing service, leveraging IPO funds for technology development and fleet commercialization [24][26].