CAERI(SH:601965) NORTHEAST SECURITIES·2025-08-26 01:14Investment Rating - The report assigns a "Buy" rating to the company [4][6]. Core Insights - The company achieved a revenue of 1.911 billion yuan in the first half of 2025, a decrease of 6.36% year-on-year, while the net profit attributable to shareholders increased by 1.77% to 408 million yuan [1][2]. - The automotive technology service business generated 1.716 billion yuan in revenue, reflecting a year-on-year growth of 2.94%, while the revenue from new energy and intelligent connected vehicle development and testing reached 310 million yuan, up 22.85% year-on-year [2]. - The company is expected to see a significant reduction in credit impairment losses, with a reported loss of 4.09 million yuan in Q2 2025, down from 33.92 million yuan in Q1 2025, indicating that the peak of credit impairment has passed [2]. Summary by Sections Revenue and Profitability - The company forecasts revenues of 5.637 billion yuan, 7.328 billion yuan, and 9.161 billion yuan for 2025, 2026, and 2027 respectively, with net profits of 1.138 billion yuan, 1.505 billion yuan, and 1.852 billion yuan for the same years [4][5]. Industry Trends - The implementation of new national standards for automotive information security and software upgrades is expected to drive demand in the automotive testing industry, as intelligent driving technology continues to evolve [3]. - The intelligent driving sector is anticipated to increase both the volume and price of vehicle inspections, leading to a favorable market environment for the automotive testing industry [3]. Strategic Developments - The i-VISTA platform, developed by China Automotive Research, aims to enhance the company's capabilities in intelligent vehicle testing, with significant investments in new testing facilities expected to contribute to revenue growth [3].