Core Viewpoint - In 2024, the Chinese automotive industry is rapidly transitioning towards intelligence and new energy, with Great Wall Motors maintaining a "long-termism" approach amidst market volatility and price wars, resulting in impressive annual performance. Financial Performance - Great Wall Motors achieved revenue of 202.195 billion yuan in 2024, a year-on-year increase of 16.73% [2] - Gross profit reached 39.449 billion yuan, up 25.47% year-on-year, with a gross margin of 19.51%, an increase of 1.36 percentage points [2] - Net profit surged to 12.692 billion yuan, marking a significant year-on-year growth of 80.73% [2] - Sales of new energy vehicles reached 322,200 units, a 25.65% increase year-on-year, while overseas sales hit 454,100 units, up 44.61% [2] Product Strategy - The proportion of high-priced models increased, with the Tank brand selling 232,195 units at an average price above 200,000 yuan, a 42.57% year-on-year increase, accounting for 18.8% of total sales [3] - The WEY brand, with a starting price above 220,000 yuan, sold 55,539 units, a 56.60% increase year-on-year [3] - The average revenue per vehicle reached 163,800 yuan, an increase of 23,000 yuan year-on-year [3] Research and Development - Great Wall Motors employs 23,000 R&D personnel, with R&D investment exceeding 10 billion yuan for three consecutive years [3] - The company reported a 56.49% year-on-year increase in operating cash flow, reaching 27.783 billion yuan, demonstrating strong profitability [3] Technological Innovation - The company actively advanced its smart vehicle transformation, launching the Coffee Pilot Ultra and Coffee OS 3 systems, and successfully developing the RISC-V automotive-grade MCU chip [4] - Great Wall Motors established an end-to-end intelligent driving model SEE and a new AI data intelligence system, with a 96% user adoption rate for intelligent driving in 2024 [4] Global Expansion - Great Wall Motors implemented an "ecological overseas" strategy, achieving a comprehensive layout in overseas markets [5] - The company expanded high-value model sales overseas, with the WEY brand entering Europe and the Middle East, and the Tank series launching in multiple countries [5] - The sales network now covers over 170 countries and regions, with more than 1,400 overseas sales channels [5]

Core Viewpoint - Horizon Robotics (9660.HK) stands out in the increasingly competitive smart automotive technology sector in China, boasting a nearly 80% gross margin and launching its latest generation products into mass production [1][3]. Financial Performance - The company reported a revenue increase from 1.55 billion to 2.38 billion yuan, a growth of 53.6%, driven by a strong project pipeline and demand for advanced driver-assistance systems (ADAS) and autonomous driving (AD) solutions [3][4]. - Gross margin improved by nearly 7 percentage points to 77.3%, compared to 70.5% in 2023, reflecting a favorable shift in sales structure [4][6]. Product Development and Market Position - Horizon Robotics launched its Horizon SuperDrive (HSD) and Journey 6 series processing hardware, which are expected to be key growth drivers, with anticipated shipments exceeding 10 million units this year [6][7]. - The company secured over 100 new model designations last year, bringing the total to 310 across more than 40 automotive brands, indicating strong market acceptance [3][5]. Revenue Composition - The share of revenue from licensing and services increased from 62% in 2023 to nearly 70%, highlighting the higher profit margins associated with these segments compared to product solutions [5][6]. - The company delivered 2.9 million solutions last year, with a cumulative delivery of 7.7 million units, showcasing robust operational performance [3][4]. Strategic Partnerships - Horizon Robotics established a joint venture with Volkswagen in 2023, positioning itself as a key supplier of smart automotive technology in China, alongside partnerships with major domestic and international automotive brands [6][7]. Research and Development - Despite high gross margins and rapid sales growth, the company remains in a loss position due to significant R&D investments, which rose from 2.37 billion to 3.16 billion yuan, a 33% increase [7]. - Adjusted operating losses narrowed to 1.5 billion yuan in 2024 from 1.69 billion yuan the previous year, indicating progress towards profitability [7].