Xiaomi Corporation 2025 Fourth Quarter and Annual Results Disclaimer By attending the meeting where this presentation is made, or by reading the presentation materials, you agree to be bound by the following limitations: The information in this presentation has been prepared by representatives of Xiaomi Corporation (the "Company", and together with its subsidiaries, the "Group") for use in presentations by the Group and does not constitute a recommendation regarding the securities of the Group. No part of t ...

Investment Rating - The report maintains an "Overweight" rating for the company with a target price of RMB 167.30 [6][4]. Core Insights - The company achieved revenue of RMB 2.565 billion in 2025, representing a year-over-year increase of 27.82%, and a net profit attributable to the parent company of RMB 498 million, up 46.72% year-over-year [1][2]. - The growth is driven by new applications and customers, with significant contributions from the industrial control, medical, energy, and tools equipment sectors, alongside the primary revenue source from smart home products [2]. - The company is expected to benefit from the rapid development of diversified AI edge-side demand, maintaining steady growth in performance [1][3]. Summary by Sections Financial Performance - In Q4 2025, the company reported revenue of RMB 653 million, a year-over-year increase of 19.38%, but a quarter-over-quarter decline of 2.10%. The net profit for the same quarter was RMB 121 million, up 37.26% year-over-year and 4.83% quarter-over-quarter [1]. - The overall gross margin for 2025 reached 46.63%, an increase of 2.72 percentage points year-over-year, driven by product mix optimization and the inclusion of cloud service software fees [2]. Product Development and Market Outlook - The company is focusing on expanding its product matrix, including high-speed data transmission and new products like Wi-Fi 6E communication chips, which are expected to enter mass production in 2026 [3]. - The company continues to enhance its technology development, with R&D expenses increasing by 23% in 2025, while the R&D expense ratio decreased to 23.52% due to rapid revenue growth [2]. Earnings Forecast and Valuation - The revenue forecast for 2026 and 2027 has been slightly adjusted to RMB 3.214 billion and RMB 4.113 billion, respectively, reflecting a decrease of 4.12% and 3.47% from previous estimates [4]. - The net profit forecast for 2026 and 2027 has been revised down to RMB 599 million and RMB 777 million, respectively, due to increased R&D investments and stock incentive costs [4].

Core Insights - Lecheng has been awarded multiple prestigious titles, including "Leading Brand in China's Smart Lock Industry," reflecting its strong product capabilities, advanced technology, and positive market reputation [1][4][14] Group 1: Brand Recognition - The recognition of Lecheng as a "Leading Brand in China's Smart Lock Industry" and "Consumer Preferred Brand in China's Lock Industry" indicates high brand credibility and product competitiveness, as well as deep trust from users [4][17] - These awards are derived from both professional authorities and end consumers, reinforcing Lecheng's status as an industry benchmark brand [4][17] Group 2: Product Innovation - Lecheng emphasizes technology-driven product iteration and user scenario-based value definition, with the new product Spark L10 recognized as a "Bestselling AI Smart Lock" and the flagship Rock R10 series awarded as a "High-End Leading Product in Smart Locks" [7][20] - The company has successfully balanced technical sophistication and market coverage in its product layout [7][20] Group 3: Research and Development Focus - Continuous investment in R&D, strict quality control, and ongoing optimization of user experience are key factors behind Lecheng's accolades [11][26] - The company aims to integrate AI and security deeply, positioning smart locks as the central hub of smart homes and interactive entry points [11][26] Group 4: User-Centric Innovations - Lecheng's innovations focus on real user scenarios, addressing pain points such as message overload and enhancing AI services, including features like child exit detection and daily reminders [11][26][28] - These user-centered innovations make Lecheng's smart locks not only secure and reliable but also emotionally engaging and intelligent [28] Group 5: Future Development Strategy - Lecheng is committed to increasing R&D investment and adhering to lean manufacturing standards to deliver safer, smarter, and more reliable products [28] - The company aims to collaborate closely with industry partners to advance technical standards, improve product quality, and enhance user experience, contributing to a high-quality development era in China's smart lock industry [28]

Core Viewpoint - Liyang Chip has established itself as a leading independent third-party professional testing technology service provider in China, driven by continuous innovation in research and development of chip testing solutions [1] Group 1: Company Overview - Since its establishment, the company has developed 44 categories of chip testing solutions and completed mass production testing for thousands of chip models [1] - The company focuses on various fields including industrial control, high-performance computing (CPU, GPU, ISP), automotive electronics, 5G communications, sensors (MEMS), artificial intelligence (AI), storage (Nor/Nand Flash, DDR, HBM), smart IoT (AIoT), autonomous driving, and robotics [1] Group 2: Strategic Partnerships - The company has attracted numerous well-known design companies to form strategic partnerships, leveraging its reliable technical strength and high-quality services [1]

Core Insights - The Tianyi IoT platform (AIoT) is recognized as the world's largest and most comprehensive intelligent IoT platform, developed independently by a central enterprise [1] - The platform serves over 700 million users globally and has established benchmarks in various sectors including smart cities, industrial manufacturing, and low-carbon initiatives [1] Group 1 - The Tianyi IoT platform is the first of its kind to achieve a scale of over one billion cross-cluster dispatching capabilities [1] - It has made significant contributions to digital transformation across multiple fields such as urban management and enterprise globalization [1] - The platform is positioned as a leader in the intelligent public utility sector, showcasing advancements in technology and service delivery [1]

Core Points - Qualcomm participated in the torch relay for the 2026 Milan-Cortina Winter Olympics, symbolizing collaboration and progress [1] - Qualcomm has been collaborating with TCL for over 20 years, focusing on market expansion and innovation in various technology sectors [3] - Qualcomm's commitment to technology innovation aligns with the Olympic spirit of "Faster, Higher, Stronger," emphasizing the importance of connectivity and computing performance [4] Company Collaboration - Qualcomm and TCL have worked together to enhance user experiences in smartphones, smart devices, and smart glasses [3] - The partnership aims to deliver superior connectivity, efficient computing performance, and enriched product experiences to global users [4] Industry Trends - There is a growing demand for high-performance, low-power, and wide-coverage connectivity solutions in the context of evolving 5G, Wi-Fi, AI, and IoT technologies [4] - Qualcomm plans to leverage its leading technology platforms to support the deployment of innovative applications and drive the smart upgrade of various intelligent terminals [4]

Core Viewpoint - The company reported strong financial performance for the first three quarters of 2025, with significant year-on-year growth in revenue and net profit, indicating a robust business trajectory [1][2]. Financial Performance - For the first three quarters of 2025, the company achieved revenue of 5.148 billion yuan, a year-on-year increase of 39.34% [1][2]. - The net profit attributable to shareholders reached 229 million yuan, reflecting a year-on-year growth of 50.72% [1][2]. - The net profit after deducting non-recurring items was 200 million yuan, up 57.58% year-on-year [1][2]. - In Q3 2025, the company recorded revenue of 1.848 billion yuan, a 42.87% increase compared to the same quarter last year [2]. - The net profit for Q3 was 70.568 million yuan, growing by 48.26% year-on-year [2]. - The net profit after deducting non-recurring items for Q3 was 63.622 million yuan, marking a 64.76% increase year-on-year [2]. Business Development - The company launched the Drip AI OS and AI BOX, positioning itself to capitalize on the automotive industry's shift towards AI-driven smart ecosystems [3]. - The Drip OS 1.0 Evo, introduced at the 2025 Shanghai Auto Show, integrates AI large model technology to enhance vehicle interactivity and decision-making capabilities [3]. - The AI BOX, developed in collaboration with Geely, utilizes NVIDIA's platform to enable real-time operation of large AI models in vehicles, marking a significant advancement in automotive technology [3]. - The company's IoT business has shown strong momentum, contributing significantly to overall revenue growth, with a reported income of 1.27 billion yuan in the first half of 2025, a substantial increase of 136.14% year-on-year [4]. - The IoT segment includes various products such as handheld devices, smart visual and edge computing solutions, and AI robots, which have been successfully implemented in multiple industries [4]. Profit Forecast and Investment Recommendations - Based on the Q3 2025 report, the company adjusted its profit forecasts, expecting net profits of 562 million yuan, 677 million yuan, and 831 million yuan for 2025, 2026, and 2027 respectively [5]. - The expected earnings per share (EPS) for the same years are projected to be 1.22 yuan, 1.47 yuan, and 1.80 yuan, with corresponding price-to-earnings ratios of 54.9x, 45.5x, and 37.1x [5]. - The company maintains a strong outlook for its automotive and IoT business lines, which are anticipated to drive future growth [5].

Core Viewpoint - DaShi Intelligent has received a notice of investigation and management from the Ying Shang County Supervisory Committee, involving its actual controller and chairman, Liu Pang, who is under investigation [1][3] Group 1: Company Governance and Operations - The company has arranged relevant work properly and maintains a sound governance structure and internal control system [3] - As of the announcement date, the company's control has not changed, and other directors and senior management are performing their duties normally [3] - The company states that the investigation has not significantly impacted its daily operations [3] Group 2: Financial Performance - For the third quarter of 2025, the company reported a revenue of 483 million yuan, a year-on-year decrease of 39.13% [4] - The net profit attributable to shareholders was a loss of 326 million yuan, with a basic earnings per share of -0.1537 yuan [4] Group 3: Business Relations - There is currently no record of DaShi Intelligent having subsidiaries, project collaborations, investments, or other business dealings in Ying Shang County [4] - The company's governance structure and operational status do not indicate any historical cooperation or business relations with Fuyang City or Ying Shang County [4]

Core Viewpoint - The company Dasin Intelligent (002421.SZ) is facing challenges due to the investigation of its actual controller and chairman, Liu Pang, which has led to a significant drop in stock price and concerns about its operational stability [1][2]. Company Overview - Dasin Intelligent is an intelligent IoT service provider that has developed an AIoT control platform, offering comprehensive smart services across various sectors including enterprise parks, hospitals, and urban rail transit [4]. - The company has established an industrial park in Hefei and invested in multiple companies in Anhui, focusing on smart hospitals and regional healthcare data platforms, serving over 20 million residents [3]. Recent Developments - Liu Pang, the chairman, has been actively involved in investments in Anhui and was recently elected as the vice president of the Anhui Merchants Association [2]. - The company has undertaken significant projects, including smart upgrades for major clients like Huawei and BYD, and has a service coverage of 61.3% among large manufacturing companies in Shenzhen [4]. Financial Performance - In 2024, Dasin Intelligent reported a revenue of 3.171 billion yuan, a decrease of 17.28% from the previous year, and a net profit of 25.88 million yuan, down 77.45% year-on-year [5]. - The decline in performance is attributed to unmet expectations in contract signings and project delays, alongside increased financial costs due to the operational phase of several large hospital projects [6]. Strategic Adjustments - To mitigate ongoing financial challenges, Dasin Intelligent has opted to "shrink its balance sheet" by terminating certain projects and disposing of related assets, which has improved its financial stability [6]. - As of the third quarter of 2025, the company's debt-to-asset ratio decreased to 59.88%, reflecting a strategic focus on optimizing its balance sheet despite short-term profit impacts [6].

Core Viewpoint - Shanghai Fuhang Microelectronics is set to complete its "A+H" dual listing on the Hong Kong Stock Exchange, despite revealing alarming financial data in its prospectus, indicating a significant decline in revenue and net profit [1][4][5] Group 1: Market Position and Product Lines - Fuhang Microelectronics ranks first in global smart vision processing chip revenue and leads in shipments of edge smart vision processing chips and automotive-grade ISP chips [1] - The company operates under a "fabless" model, focusing on IC design and sales while outsourcing manufacturing, which allows for concentrated resources on technological innovation [1][2] - Its product architecture covers the entire visual processing chain, with three core product lines: smart video, smart IoT, and smart mobility, contributing 67.3% of total revenue in 2024 [2][3] Group 2: Financial Performance and Challenges - The company's total revenue declined from 2.11 billion RMB in 2022 to 1.79 billion RMB in 2024, with a further 14.1% drop in the first half of 2025 [4][5] - Net profit plummeted from 378 million RMB in 2022 to 23.2 million RMB in 2024, and further down to 1.8 million RMB in the first half of 2025, a decline of over 97% [5] - The average selling price (ASP) of products has significantly decreased, with the ASP for smart video dropping from 15.4 RMB in 2022 to 11.1 RMB in the first half of 2025, and for smart IoT from 15.5 RMB to 8.6 RMB [5] Group 3: Customer and Supply Chain Risks - The company faces structural vulnerabilities due to high customer concentration, with the top five customers contributing 88.4% of revenue in 2024, and the largest customer accounting for 66.7% [5][6] - The supply chain is also highly concentrated, with the top five suppliers making up 80.6% of total procurement, exposing the company to risks from potential disruptions [6] Group 4: Strategic Outlook - Fuhang Microelectronics aims to leverage the AI wave with its "AI for All" strategy, focusing on high-performance, cost-effective AI visual ICs to capitalize on market opportunities [3][7] - The upcoming IPO is seen as a critical opportunity for the company to secure funding for strategic transformation and to address its profitability challenges [7]