Investment Rating - The investment rating for the company is maintained as "Buy" with a target price of RMB 17.66 [7][5]. Core Insights - The company reported Q3 revenue of RMB 5.608 billion, a year-over-year decrease of 4.94% but a quarter-over-quarter increase of 2.23%. The net profit attributable to shareholders was RMB 97.245 million, showing a year-over-year increase of 116.62% and a quarter-over-quarter increase of 96.76% [1][2]. - The company's seat business is accelerating, with significant contributions from new electric vehicle models and a strong order backlog. The integration of Grammer is showing positive results, enhancing the company's performance [2][4]. - The gross margin for Q3 reached 16.48%, the highest in nearly five years, attributed to the effects of Grammer's reforms and the ramp-up of the seat business [3][4]. Summary by Sections Q3 Performance - Q3 revenue was RMB 5.608 billion, down 4.94% year-over-year but up 2.23% quarter-over-quarter. The net profit attributable to shareholders was RMB 97.245 million, up 116.62% year-over-year and 96.76% quarter-over-quarter. For the first three quarters of 2025, revenue totaled RMB 16.131 billion, down 4.58% year-over-year, with a net profit of RMB 251 million, up 147.21% year-over-year [1][2]. Seat Business Growth - The seat business generated RMB 1.42 billion in Q3, driven by projects from Zeekr 9x, Li Auto's new electric vehicles, NIO ES8, and Lynk & Co. The company is making strides in securing orders from domestic new energy vehicle manufacturers and has also won a global project from BMW [2][4]. Margin and Cost Control - The gross margin for Q3 was 16.48%, reflecting a year-over-year increase of 2.39 percentage points and a quarter-over-quarter increase of 2.09 percentage points. The net profit margin was 1.96%, up 13.65% year-over-year and 1.31% quarter-over-quarter, indicating effective cost control and improved profitability [3][4]. Future Outlook - The company expects continued growth in its seat business, with 10 projects set to enter mass production in the second half of 2025. The strategic restructuring of Grammer is anticipated to enhance operational efficiency and profitability [4][5].