Hesai(US:HSAI) Soochow Securities·2025-08-18 14:51Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company reported better-than-expected net profit, driven by growth in intelligent driving and robotics [2][7] - The company is positioned to benefit from the penetration of L4 commercial applications in intelligent driving and robotics [7] Financial Performance Summary - For Q2 2025, the company achieved total revenue of $71 million, a year-on-year increase of 53.9% and a quarter-on-quarter increase of 34.5% [7] - The net profit attributable to the parent company was $4.4 million, representing a year-on-year increase of 161.2% and a quarter-on-quarter increase of 351.2% [7] - The gross margin for Q2 2025 was 42.5%, slightly down from 45.1% in the same period last year but up 0.8 percentage points from the previous quarter [7] Market Position and Growth Drivers - The company maintained the top market share in ADAS (Advanced Driver Assistance Systems) with total deliveries of 352,000 units in the first half of 2025, a year-on-year increase of 275.8% [7] - The company has secured new contracts with nine major automotive manufacturers for 20 models, with plans for delivery between 2025 and 2026 [7] - In the robotics sector, product deliveries reached 48,500 units in Q2 2025, a year-on-year increase of 743.6%, marking a significant growth engine for the company [7] Profit Forecast and Valuation - The profit forecasts for 2025, 2026, and 2027 have been adjusted to $36 million, $79 million, and $130 million respectively [7] - The corresponding P/E ratios based on the closing price on August 15, 2025, are projected to be 94, 43, and 26 times for 2025, 2026, and 2027 respectively [7]