Group 1: Report Overview - The report is about a research on Huaru Technology in the software development industry on November 5, 2025 [1][2] Group 2: Research Basic Information - Research object: Huaru Technology [17] - Industry: Software development [17] - Reception time: 2025 - 11 - 05 [17] - Reception personnel: Board Secretary Wu Yaguang [17] Group 3: Detailed Research Institutions - Northeast Securities (Securities Company, representative: Huang Ze) [18] - China Foreign Trade Trust (Other, representative: Xia Xingyu) [18] - Yizhi Investment (Investment Company, representative: Deng Xiangwei) [18] Group 4: Proportion of Research Institutions - Securities companies: 33% [21] - Others: 33% [21] - Investment companies: 33% [21] Group 5: Company Information and Key Technologies - The company upgrades its core brand XSim from "military simulation" to "military intelligence" with the "1?5?5?N" new - generation XSim military intelligence system, responding to the future of national defense intelligence [25] - XSimVerse military large - model is a special large - model for the military field, with military cognition and decision - making abilities, supporting five application areas [25] Group 6: Five Application Areas of Military Intelligence Business - Intelligent decision - making: Build an intelligent OODA decision - making system to improve the efficiency of the auxiliary decision - making process [25] - Virtual training: Construct a closed - loop training system to offer a near - real - combat training experience [27] - Digital and intelligent testing: Integrate the digital parallel test field with the military large - model to form an intelligent application product system for weapon equipment testing [28] - Simulation training equipment: Build a combat - realistic confrontation training equipment system to enhance trainees' combat capabilities [29] - Intelligent equipment: Build an unmanned cloud brain and unmanned equipment system to improve equipment's autonomous and collaborative combat capabilities [30] Group 7: Company's Business Performance - In the first three quarters of 2025, the company's operating income was 157 million yuan, a 2.55% increase year - on - year; the net profit after deducting non - recurring gains and losses was - 146 million yuan, a 46.84% increase year - on - year [30] - In the first three quarters of 2025, the company's operating cost was 143 million yuan, a 40.02% decrease year - on - year, mainly due to the cost transfer of terminated projects last year [30] Group 8: Company's Game Business - The armored TPS online game "Armored Red Edge" developed by Beijing Xiaoru Culture and Technology Co., Ltd. (a wholly - owned subsidiary of Huaru Technology) was launched on October 31, 2025, expanding the company's strategic depth in the serious game e - sports field [30][31]

Core Insights - The company is transitioning from "military simulation" to "military intelligence" through the development of the new XSim[®] military intelligence system, which integrates "simulation + AI" technology to enhance China's defense capabilities [1][7] - The company has introduced the XSimVerse[®] military large model, designed as a specialized model for military applications, supporting five key areas: military decision-making, virtual training, digital testing, training equipment, and intelligent equipment [2][3] Business Development - The five application areas for the military intelligence solutions include: - Intelligent Decision-Making: Utilizing military large models and AI tools to enhance decision-making processes [3] - Virtual Training: Combining military large models and simulation technology for comprehensive training systems [3] - Digital Testing: Integrating digital parallel testing environments with military large models for weapon testing [3] - Training Equipment: Providing realistic training gear using AI and XR technologies [3] - Intelligent Equipment: Developing a collaborative architecture for unmanned systems to enhance battlefield decision-making [3] Financial Performance - For the first three quarters of 2025, the company reported revenue of 157 million yuan, a year-on-year increase of 2.55%, while operating costs decreased by 40.02% to 143 million yuan [4] - The significant reduction in costs is attributed to the absence of project cost transfers that affected the previous year's figures [4] Diversification Efforts - The company has launched a new online game, "Armored Red Storm," which integrates military simulation technology, aiming to expand its presence in the serious gaming and esports market [6][7] - This move is expected to enhance the company's market influence in tactical competitive gaming and strengthen its technological capabilities [6][7]

Company Overview - Beijing Huaru Technology Co., Ltd. is focused on military simulation and AI integration, transitioning from "military simulation" to "military intelligence" with its core brand XSim® [2][3] Military Intelligence System - The new generation XSim® military intelligence system is based on over ten years of product accumulation in the military simulation industry, aiming to support China's defense technology in entering the "intelligent victory era" [3] Key Applications of XSimVerse® Military Model - **Intelligent Decision-Making**: Utilizes military models and AI tools to enhance decision-making processes across various military applications [5] - **Virtual Training**: Combines military models and simulation technology to create a closed-loop training system that simulates real combat experiences [6] - **Digital Testing**: Integrates digital parallel testing environments with military models to enhance the authenticity and complexity of weapon testing [7] - **Training Equipment**: Develops realistic combat training equipment using AI, simulation, and other technologies to improve training effectiveness [7] - **Intelligent Equipment**: Constructs a collaborative architecture for unmanned systems to optimize battlefield decision-making and enhance autonomous combat capabilities [7] Financial Performance - For the first three quarters of 2025, the company reported revenue of CNY 157 million, a 2.55% increase compared to the same period last year [8] - The net profit attributable to shareholders, excluding non-recurring gains and losses, was CNY -146 million, reflecting a 46.84% improvement year-on-year [8] Cost Management - The company's operating costs for the first three quarters of 2025 were CNY 143 million, a significant decrease of 40.02% compared to the previous year, primarily due to the absence of costs related to terminated projects [8] Gaming Business Development - The company’s wholly-owned subsidiary, Beijing Xiaoru Cultural Technology Co., Ltd., launched the online game "Armored Red Blade," which officially went live on October 31, 2025, enhancing the company's presence in the serious gaming and esports sectors [8]

Core Viewpoint - The company, Huaru Technology, will focus on military intelligence-related product development and applications starting in 2025, aiming to create a new paradigm for national defense [1] Group 1: Company Strategy - The company plans to develop the XSim military intelligence system, utilizing a military large model as its foundation [1] - Huaru Technology will leverage its self-developed intelligent simulation platform, digital battlefield, intelligent agents, digital forces, and a series of tools for digital-physical interconnection [1] Group 2: Application Areas - The company aims to provide a range of products and solutions in five key application areas: intelligent decision-making, virtual training, digital intelligence testing, training equipment, and intelligent equipment [1]

Group 1: Company Overview - Beijing Huaru Technology Co., Ltd. was established in 2011, initially focusing on military simulation as its main business [3] - The company aims to create a self-owned brand in military simulation, providing high-quality professional simulation products and technical development services [3] - From 2025 onwards, the company will concentrate on the research and application of military intelligence-related products [3] Group 2: AI and Military Intelligence - The company is developing the XSim® military intelligence system, utilizing self-developed intelligent simulation platforms and digital battlefield tools [3] - The focus areas include intelligent decision-making, virtual training, digital testing, training equipment, and intelligent equipment [3] Group 3: Cultural and Gaming Initiatives - The company is nurturing the "Xiaoru Culture" sub-brand, focusing on digital cultural innovation and online game development [3] - The game "Armored Red Storm," developed by the wholly-owned subsidiary Beijing Xiaoru Culture Technology Co., Ltd., has received approval and is currently in the testing phase [3]

Core Insights - Beijing Huaru Technology Co., Ltd. reported a revenue of 103 million yuan for the first half of 2025, representing a year-on-year growth of 3.85% [1] Group 1: Company Overview - The company was established in 2011, initially focusing on military simulation and aiming to create a domestic brand in military simulation [1] - Huaru Technology provides high-quality professional simulation products and technical development services in areas such as combat experiments, simulation training, equipment verification, testing, and comprehensive support [1] Group 2: Strategic Focus - Starting from 2025, the company is concentrating on the research and application of military intelligence-related products [1] - The company aims to develop a new paradigm for national defense, centered around the XSim® military intelligence system, utilizing self-developed intelligent simulation platforms and tools [1] Group 3: Product and Service Offerings - Huaru Technology's offerings include intelligent decision-making, virtual training, digital testing, training equipment, and intelligent equipment across five major application areas [1] - The company is also nurturing the "Xiaoru Culture" sub-brand, focusing on the digital cultural creation sector, which includes online game development and operation, offline digital space creation, and IP derivative product development [1]

Group 1: Company Overview - Beijing Huaru Technology Co., Ltd. is transitioning from "military simulation" to "military intelligence" with its core brand XSim® [2][3] - The company leverages over ten years of product accumulation and industry cases in the military simulation sector to enhance its military intelligence capabilities [8] Group 2: XSim® Military Intelligence System - The XSim® military intelligence system is based on a new generation of military simulation and AI technologies, aiming to support China's defense technology in entering the "intelligent victory era" [3] - The system includes the XSimVerse® military large model, which integrates military-specific knowledge and simulation technology for military decision-making and training [3][4] Group 3: Five Application Areas - The military intelligence business covers five key application areas: 1. **Intelligent Decision-Making**: Enhances decision-making processes through an AI-driven OODA (Observe-Orient-Decide-Act) system [4] 2. **Virtual Training**: Provides realistic training experiences through a closed-loop training system combining military models and simulation technology [4] 3. **Digital Testing**: Integrates digital parallel testing environments with military models to enhance the authenticity and complexity of weapon testing [4] 4. **Training Equipment**: Develops advanced training equipment using AI and simulation technologies to create realistic battlefield environments [4] 5. **Intelligent Equipment**: Constructs a collaborative system for unmanned equipment using military models to optimize battlefield decision-making [5] Group 4: Product Innovations - The XSimStudio V7 product offers a fully intelligent modeling and simulation process, including capabilities for intelligent code generation and real-time situation analysis [5] - The XSimWorld® digital battlefield platform aims to create a high-fidelity digital battlefield environment, enhancing military intelligence applications [6] Group 5: Competitive Landscape - Key international competitors in military intelligence include: 1. **Palantir Technologies**: Provides detailed battlefield information and optimizes decision-making processes for military operations [9] 2. **Anduril Industries**: Develops AI-driven systems that integrate data from various sensors to enhance situational awareness and decision-making [10]

Group 1: Company Overview - Beijing Huaru Technology Co., Ltd. focuses on military simulation and AI integration, evolving its core brand XSim® from military simulation to military intelligence [2][3] - The company aims to support China's defense technology advancement into the "Intelligent Victory Era" through its new generation military intelligence system [3] Group 2: XSim® Military Intelligence System - The XSimVerse® military model integrates military domain knowledge with general models, supporting military decision-making, virtual training, digital experiments, training equipment, and intelligent equipment [5][6] - The military intelligence business covers five application areas: intelligent decision-making, virtual training, digital experiments, training equipment, and intelligent equipment [6][7] Group 3: Application Areas - **Intelligent Decision-Making**: Enhances decision-making processes for equipment validation, task planning, and operational support using AI tools [6] - **Virtual Training**: Provides realistic training experiences through a closed-loop training system that combines military models and simulation technology [6] - **Digital Experiments**: Merges digital testing environments with military models to improve the authenticity and complexity of weapon testing [6] - **Training Equipment**: Develops advanced training equipment that simulates real combat environments to enhance trainees' capabilities [7] - **Intelligent Equipment**: Constructs a collaborative system for unmanned equipment, optimizing battlefield awareness and operational efficiency [7] Group 4: AI Toolset - The AI toolset includes five products: XSimStudio® for intelligent simulation, XSimWorld® for digital battlefield creation, XSimAgent© for model training, XSimForce for digital troop modeling, and XSimLink® for real-time mapping [8] Group 5: Drone Simulation Training System - The drone simulation training system utilizes distributed simulation technology, offering realistic environments and diverse training modes, including single and multi-operator training [8] Group 6: Cloud Brain for Unmanned Systems - The "Cloud Brain" system addresses challenges in unmanned systems' intelligence levels and coordination, utilizing edge computing and AI technologies for enhanced operational capabilities [9] Group 7: Market Demand and Brand Development - The integration of military models and AI tools has increased potential customer demand through product upgrades [9] - The company is nurturing its subsidiary "Xiaoru Culture" to innovate in the digital cultural sector, focusing on online game development and IP derivative products [9]

Group 1: Shijia Photon - The company reported that changes in international trade policies have limited impact, as it is addressing tariff policies through overseas capacity layout and diversification strategies [1] - In Q1, the gross margin significantly increased due to product structure upgrades, process optimization, yield improvements, and customer structure optimization [1] - The company is making progress in data centers, access networks, and laser radar and sensing markets, with plans to deepen process advantages and accelerate product industrialization [1] - Global capacity layout for MPO products and stable supply ensured for MT connectors through investments and long-term agreements [1] - The existing production line for WG products meets order demands, with future capacity adjustments based on market conditions [1] - Revenue and profit are expected to continue growing in Q1 2025, driven by rapid growth in computing power demand and the data communication market [1] - The construction of the Thailand production base is progressing steadily, with core team formation and skills training meeting expectations [1] - The company maintains a cautiously optimistic outlook for the market and operational conditions in 2025 [1] Group 2: Canrui Technology - The company expects a 24.36% year-on-year increase in revenue for 2024, but net profit is projected to turn negative due to intense market competition, high R&D expenses, impairment losses, and losses in the testing business [2] - Revenue from smart sensor chips is expected to grow by 32.61%, while power management chip growth is only 5.04% [2] - The total cost of equity incentives for 2024 is projected to be 20.68 million yuan, amortized over three years [2] - In Q1 2025, revenue is expected to reach 125 million yuan, an 8.86% year-on-year increase, with gross margin rising to 28.12% [2] - The company is enhancing profit margins through internal growth and external expansion in the competitive analog chip industry [2] - A new share buyback program has accumulated the purchase of 1,155,191 shares, costing 31,898,161.44 yuan [2] Group 3: Huaru Technology - The company highlighted the characteristics of leading foreign military intelligence enterprises and introduced the XSimVerse military model with five application areas: intelligent decision-making, virtual training, digital testing, training equipment, and intelligent equipment [3] - The company emphasized the upgrade advantages from military simulation to military intelligence, forming a closed-loop system through simulation systems and corpus resources [3] - Despite facing procurement restrictions from military networks, the company can still secure orders through alternative channels and increase potential customer demand through product iterations [3] - As of December 31, 2024, the company has signed new contracts worth 376 million yuan [3] Group 4: Changsheng Fund - As of now, Changsheng Fund has an asset management scale of 86.128 billion yuan, ranking 64th out of 210 [3] - The asset management scale for non-monetary public funds is 55.698 billion yuan, ranking 67th out of 210 [3] - The fund manages 136 public funds, ranking 54th out of 210, with 22 public fund managers, ranking 63rd out of 210 [3] - The best-performing public fund product in the past year is Changsheng Urbanization Theme Mixed A, with a latest net value of 1.62 and a growth of 53.12% over the past year [3]

Group 1: Company Overview - Beijing Huaru Technology Co., Ltd. is transitioning from "military simulation" to "military intelligence" with its core brand XSim® [2][3] - The new generation XSim® military intelligence system is based on over a decade of product accumulation in the military simulation industry [2][3] Group 2: Military Intelligence System - XSimVerse® military model integrates military vertical knowledge and simulation technology, supporting five application areas: military decision-making, virtual training, digital testing, training equipment, and intelligent equipment [3][4][5][6][7][9] - The military intelligence business aims to create a full-chain solution for military applications [4][5][6][7][9] Group 3: Application Areas - **Intelligent Decision-Making**: Enhances decision-making efficiency through an AI-driven OODA (Observe-Orient-Decide-Act) system [4] - **Virtual Training**: Provides realistic training experiences through a closed-loop training system combining military models and simulation technology [5] - **Digital Testing**: Integrates digital parallel testing with military models to enhance the authenticity and complexity of weapon testing [6] - **Training Equipment**: Develops realistic combat training equipment using AI and simulation technologies [7][8] - **Intelligent Equipment**: Constructs a collaborative architecture for unmanned systems to optimize battlefield decision-making [9] Group 4: Market and Orders - The company’s primary clients are military and defense industry enterprises, with a new contract order of 376 million yuan signed by December 31, 2024 [9][10] - The company can obtain orders through channels other than the military procurement network during procurement restrictions [9] Group 5: Competitive Landscape - Leading foreign companies in military intelligence include Palantir, which provides detailed battlefield information and optimizes decision-making processes, and Anduril, which integrates data from various sensors for enhanced situational awareness [13]