Beijing Jingwei Hirain Technologies (SH:688326) 汽车琰究·2025-08-31 15:05Event Overview - The company released its 2025 semi-annual report, showing a revenue of 2.908 billion yuan for H1 2025, a year-on-year increase of 43.48%. The net profit attributable to shareholders was -87 million yuan, and the net profit excluding non-recurring items was -115 million yuan. In Q2 2025, revenue reached 1.580 billion yuan, up 38.90% year-on-year and 18.98% quarter-on-quarter, with a net profit of 33 million yuan, marking a return to profitability [2][3]. Revenue Growth Driven by Electronic Products - In Q2 2025, revenue of 1.580 billion yuan represented a year-on-year increase of 38.90% and a quarter-on-quarter increase of 18.98%. The growth was primarily driven by the rapid expansion of the electronic products business, particularly the domain controller products [3]. - The gross profit margin in Q2 2025 reached 24.64%, an increase of 3.73 percentage points year-on-year and 3.25 percentage points quarter-on-quarter. The net profit margin attributable to shareholders was 2.09%, up 14.54 percentage points year-on-year and 11.12 percentage points quarter-on-quarter [3]. - Cost reduction and efficiency improvements contributed to the reversal of profitability, alongside effective conversion of prior R&D investments into revenue growth [3]. Continuous Breakthroughs in Domain Fusion Technology - The company achieved significant milestones in domain fusion products, including the rollout of 1 million physical area controllers and strategic partnerships for mass production of intelligent driving domain controllers by year-end [4]. - New product developments in various domains, including chassis and cabin control, have received recognition from clients, with multiple new products set for mass production in the second half of the year [4]. International Strategy Progressing - The company is rapidly expanding its international market presence, securing multiple OEM/Tier 1 product contracts with notable companies such as Stellantis and Scania [5]. - Four production bases have been established in Tianjin, Nantong, Nanchang, and Malaysia, along with a comprehensive integrated supply chain system and R&D/service centers in China, the US, the EU, and ASEAN regions [5]. Financial Projections - Revenue projections for 2025-2027 are estimated at 7.324 billion yuan, 9.043 billion yuan, and 10.748 billion yuan, respectively, with net profits of 88 million yuan, 370 million yuan, and 928 million yuan [6][8]. - The expected earnings per share (EPS) for the same period are 0.73 yuan, 3.08 yuan, and 7.74 yuan, with corresponding price-to-earnings (PE) ratios of 160, 38, and 15 [6][8].