Hesai(US:HSAI) Huaxin Securities·2025-11-23 13:35Investment Rating - The report maintains a "Recommended" investment rating for the industry [12] Core Insights - The report highlights significant growth in revenue and profitability for the company, with Q3 net income reaching $111.7 million, a year-on-year increase of 47.5% [5] - The company achieved a record net profit of $36 million in Q3, marking a substantial turnaround from previous losses, and has raised its full-year GAAP net profit forecast to between $49 million and $63 million [5] - The company has solidified its leading position in the long-range vehicle lidar market, maintaining a market share of 46% as of August, which is 1.5 times and 2.4 times that of its second and third competitors, respectively [6] Revenue and Profitability Performance - Q3 net revenue reached $111.7 million, up 47.5% year-on-year, with product revenue increasing by 57% due to a significant rise in ADAS shipments and sales of robotic lidar products [5] - The total lidar shipment for the quarter was 441,400 units, with ADAS lidar shipments reaching 380,800 units, a year-on-year increase of 193.1% [5] - The gross margin remained healthy at 42%, while operating expenses decreased by 23% year-on-year, showcasing effective cost management [5] Market Position and Customer Structure - The company has secured key orders in the global market, achieving 100% lidar design wins for two major ADAS customers' entire 2026 model lineup [6] - The company has established new supply agreements with leading autonomous taxi and truck companies, covering major markets in North America, Asia, and Europe [7] Product and Technology Layout - The company continues to drive product upgrades through technological leadership, with its high-end ETX lidar gaining recognition and securing design orders from top domestic new energy vehicle manufacturers [7] - The transition to L3 multi-lidar solutions is accelerating, with expectations that each L3 autonomous vehicle will require 3-6 lidar units, increasing the per-vehicle value to between $500 and $1,000 [7] Operational Efficiency and Capacity Building - The company has enhanced operational efficiency through AI-driven improvements in cost, cycle time, and quality, becoming the first lidar manufacturer to exceed an annual production of one million units [8] Investment Recommendations - The report suggests that the company is entering a positive cycle of scaling, profitability enhancement, and technological iteration, with a focus on high-end customer acquisition and global order fulfillment [9]