华源证券研报指出，中兴通讯是全球领先的综合信息与通信技术解决方案提供商。随着5G网络建设逐 步进入平台期，公司加速向"连接+算力"转型，25H1，公司实现营收715.53亿元，同比+14.51%，其 中，以服务器和存储产品为代表的政企业务营收翻倍，公司业绩有望重回增长轨道。鉴于公司为全球第 四大通信设备供应商，运营商网络业务基本盘稳固，算力、终端业务构成的第二增长曲线成效凸显，同 时自研储备底层核心技术，首次覆盖，给予"买入"评级。 ...

Core Viewpoint - ZTE Corporation reported a net profit attributable to shareholders of 5.06 billion yuan for the first half of 2025, a year-on-year decline of 11.77% [1] - The company is focusing on expanding its second growth curve through computing and terminal products, which saw nearly 100% year-on-year revenue growth, accounting for over 35% of total revenue [1] Financial Performance - In Q2 2025, the net profit attributable to shareholders was 2.604 billion yuan, down 12.94% year-on-year [1] - Revenue from the carrier network business was 35.06 billion yuan, down 5.99% year-on-year; revenue from the government and enterprise business was 19.25 billion yuan, up 109.93% year-on-year; and revenue from consumer business was 17.23 billion yuan, up 7.59% year-on-year [1] Business Segments - The government and enterprise business showed significant growth momentum, with a revenue increase of over 100% [1] - Revenue from servers and storage grew by over 200%, with AI server revenue accounting for 55% of this segment [1] Strategic Initiatives - The company has recently won a bid for AI general computing devices from China Mobile, securing the largest share of the total procurement [1] - The shift in business structure and the impact of the "connectivity + computing" strategy are expected to lead to sustained breakthroughs in the second growth curve [1] Profit Forecast - The net profit forecasts for 2025-2027 have been adjusted to 8.5 billion, 9.3 billion, and 10.2 billion yuan respectively, down from previous estimates of 9.2 billion, 10.5 billion, and 11.8 billion yuan [1] - Corresponding PE valuations for 2025-2027 are projected to be 25, 23, and 21 times [1]

Investment Rating - The report maintains a "Buy" rating for ZTE Corporation (000063) with a target price not specified [6]. Core Views - ZTE Corporation's revenue for the first half of 2025 reached 71.55 billion yuan, representing a year-on-year growth of 14.5%, while the net profit attributable to shareholders decreased by 11.77% to 5.06 billion yuan [1]. - In Q2 2025, the company achieved a revenue of 38.59 billion yuan, a significant year-on-year increase of 20.92%, with notable growth in the government and enterprise business segment, which saw a 109.93% increase [2]. - The company's strategy of "Connection + Computing Power" is yielding results, with revenue from computing power and terminal products nearly doubling year-on-year, accounting for over 35% of total revenue [3][5]. Summary by Sections Financial Performance - For the first half of 2025, ZTE's revenue was 71.55 billion yuan, with a net profit of 5.06 billion yuan, reflecting a decline in profitability [1]. - The second quarter of 2025 showed a revenue of 38.59 billion yuan, with a net profit of 2.60 billion yuan, indicating a decline of 12.94% year-on-year [2]. - The company anticipates a net profit of 8.5 billion yuan for 2025, with projected earnings per share (EPS) of 1.77 yuan [6]. Business Segments - The revenue breakdown for Q2 2025 includes 35.06 billion yuan from carrier networks (down 5.99% year-on-year), 19.25 billion yuan from government and enterprise (up 109.93%), and 17.23 billion yuan from consumer business (up 7.59%) [2]. - The computing power segment, including servers and storage, saw over 200% growth, with AI servers making up 55% of this revenue [3]. Strategic Initiatives - ZTE is enhancing its core switching chip capabilities, aiming to upgrade from 12.8T to 51.2T forwarding capacity [4]. - The company is actively expanding its AI-driven solutions, including self-developed chips and integrated computing products, to support the growth of intelligent computing centers and consumer applications [5]. - ZTE's "AI Together" initiative aims to enhance collaboration among AI models, with new product launches such as the Nubia Z70S Ultra and Nubia Flip 2 [5].

Core Insights - ZTE Corporation ranks second in the "Top 100 Innovative Large Enterprises in China 2025" with a score of 86.74, reflecting its strategic transformation and technological reinvention in the AI era [1][3]. Group 1: Strategic Transformation - ZTE is shifting from being a traditional communication equipment supplier to a "connection + computing" player, aiming to leverage AI and computing power for growth [4][5]. - The company has reported a 14.5% year-on-year revenue growth in the first half of 2025, with its computing and terminal businesses growing nearly 100%, now accounting for over one-third of total revenue [4][9]. Group 2: Technological Advancements - ZTE has developed a comprehensive self-research system covering computing processors, network processors, and AI switching chips, enhancing its technological foundation for intelligent computing clusters [5][8]. - The introduction of ultra-node solutions based on self-developed AI switching chips has achieved GPU intercommunication bandwidths of 400GB/s to 1.6TB/s, showcasing ZTE's technological capabilities [5][6]. Group 3: Market Performance - In the first half of 2025, ZTE's overall revenue reached 71.55 billion yuan, with the enterprise business segment showing explosive growth, increasing by 109.9% year-on-year [9][10]. - The AI server segment has become a significant contributor, with ZTE winning the largest share in a major procurement project for AI computing devices by China Mobile [9][10]. Group 4: R&D and Innovation - ZTE's R&D expenses reached 12.66 billion yuan in the first half of 2025, accounting for approximately 18% of its revenue, supporting AI technology development and product innovation [13][14]. - The company holds around 94,000 patent applications, with over 50% related to AI, establishing a strong technological barrier in key areas such as intelligent computing chips and AI algorithms [13][14]. Group 5: International Expansion - ZTE's overseas revenue reached 20.94 billion yuan in the first half of 2025, marking a 7.8% year-on-year increase, indicating its growing international market presence [11][12]. - The company is focusing on data centers and intelligent computing infrastructure in international markets, covering regions such as Europe, Latin America, and the Middle East [11][12].

在公司全面拥抱AI核心战略驱动下，中兴通讯(000063)发展驶入快车道，并最新「霸榜」中国创新企业 100强。 「霸榜」创新企业100强 9月15日，中国企业联合会、中国企业家协会联合发布《中国大企业创新100强》榜单，其中，华为以 94.7分位居榜首，中兴通讯以86.74分紧随其后，位列第二。 据了解，《2025中国大企业创新100强》含金量十足，是在2025中国企业500强、2025中国制造业企业 500强、2025中国服务业企业500强的基础上，按照入围门槛为发明专利数100件以上、研发强度0.6%以 上、营业收入200亿元以上的标准进行筛选，同时依据企业申报的研发费用、研发投入强度、拥有发明 专利数、拥有专利数、收入利润率等数据，利用功效系数法计算得到各指标评价值，加权得到各企业综 合评价得分值，最后按分值高低排序产生。 行业人士指出，中兴通讯此次能够「霸榜」中国大企业创新100强，与其近年来全面拥抱AI的核心战略 密不可分，该战略驱动下，近几年来，中兴通讯持续加速推动公司从全连接向「连接+算力」业务方向 转型，使得其在保持以无线、有线产品为主的第一曲线业务市场份额稳中有升的同时，以算力、终端为 代 ...

Investment Rating - The investment rating for the company is "Buy" and is maintained [9] Core Insights - The company's revenue returned to growth in 25H1, driven by a doubling of government and enterprise business under the influence of the AI wave, becoming the core engine for performance [2][6] - Despite a short-term adjustment in gross margin due to changes in business structure, effective cost control has maintained the company's profitability [2] - The company is firmly executing its "Connection + Computing Power" strategy, with strong momentum exhibited in its second growth curve, represented by computing power businesses such as servers and switches, and terminal businesses like AI smartphones and cloud computers [2][6] Summary by Sections Revenue and Profitability - In 25H1, the company achieved revenue of 71.55 billion yuan, a year-on-year increase of 14.5%, while net profit attributable to shareholders was 5.06 billion yuan, down 11.8% year-on-year [6] - In 25Q2, revenue reached 38.58 billion yuan, up 20.9% year-on-year and 17.0% quarter-on-quarter, with net profit of 2.60 billion yuan, down 12.9% year-on-year but up 6.2% quarter-on-quarter [6] Business Performance - The government and enterprise business saw a remarkable performance, with revenue of 19.25 billion yuan in 25H1, a year-on-year increase of 109.9% and a quarter-on-quarter increase of 105.0%, accounting for 26.9% of total revenue, up 14.1 percentage points year-on-year [2][6] - The company capitalized on opportunities in the domestic market, particularly in the financial and power sectors, leading to significant growth in server and storage revenue [2] - The operator network business revenue increased by 5.99% year-on-year, while consumer business revenue grew by 7.6% year-on-year [2] Cost Management and Margins - The gross margin for 25H1 was 32.5%, down 8.0 percentage points year-on-year, primarily due to the increased proportion of lower-margin government and enterprise business [2] - The company effectively controlled expenses, with R&D, sales, and management expense ratios at 6.1%, 3.0%, and 17.7%, respectively, showing year-on-year reductions [2] Strategic Development - The "Connection + Computing Power" strategy is deepening, with significant achievements in the computing power sector, including large-scale sales of server and storage products to leading internet companies [2] - The company launched AI-integrated smartphones and maintained a leading position in the global market for smart home devices and cloud computers [2] Profit Forecast and Investment Advice - The company is expected to achieve net profits of 8.73 billion yuan, 9.13 billion yuan, and 9.72 billion yuan for 2025-2027, with corresponding year-on-year growth rates of 3.8%, 4.6%, and 6.5% [2][6] - The report maintains a "Buy" rating based on the company's strong performance and strategic direction [2][9]

Core Viewpoint - ZTE Corporation has reported a double-digit revenue growth in its semi-annual report, indicating a strategic shift towards "connection + computing power" amidst a challenging global telecom equipment market, with AI playing a crucial role in this transformation [1][2]. Revenue Growth - In the first half of 2025, ZTE achieved revenue of 71.55 billion yuan, marking a year-on-year increase of 14.5%, with second-quarter revenue and net profit both showing growth compared to the first quarter [1]. - The revenue gap between ZTE and Nokia has narrowed to 5%, approximately 3.5 billion yuan, suggesting a potential for ZTE to surpass Nokia in the near future [2]. Strategic Development - ZTE's "connection + computing power" strategy has allowed the company to diversify its revenue streams, with computing power and terminal revenues growing nearly 100% year-on-year, now accounting for over 35% of total revenue [1][3]. - The company has maintained its market share in traditional operator network business while expanding into future technology areas such as 5G-A and 10G access, thereby stabilizing its revenue base [3]. AI Integration - ZTE has integrated AI into its network and computing infrastructure, enhancing product competitiveness and establishing a comprehensive AI empowerment system [5]. - The company has filed nearly 5,500 AI-related patents globally, with about 50% granted, indicating a strong commitment to innovation [5]. Market Opportunities - The AI infrastructure market is projected to grow significantly, with capital expenditures expected to remain strong, and the AI hardware and software market anticipated to grow at an annual rate of 40%-55% [4]. - Major tech companies are increasing their investments in AI infrastructure, with Google, Microsoft, Amazon, and Meta expected to spend over $300 billion by 2025 [4]. Product Development - ZTE has launched various AI-integrated products targeting both individual consumers and enterprises, including smartphones and AI home devices, while also developing solutions for over 18 vertical industries [7]. - The company has achieved significant sales milestones, such as over 1 million units of its cloud computer and a 70% market share in operator services [3][7]. Challenges and Strategies - ZTE faces challenges similar to other companies, including pressure on profit margins due to intense competition in the computing power market [8]. - The company plans to enhance revenue scale in computing products, increase self-research ratios, and shift from single product sales to comprehensive solutions to improve profit margins [8].

Core Viewpoint - ZTE Corporation reported a revenue of 71.55 billion yuan for the first half of 2025, marking a year-on-year increase of 14.5%, with a net profit attributable to shareholders of 5.06 billion yuan and a non-recurring net profit of 4.1 billion yuan. The company is embracing AI opportunities, with revenue from its "second curve" business, including computing power and terminal products, growing nearly 100% year-on-year, accounting for over 35% of total revenue [1][2]. Revenue Breakdown - In the first half of 2025, ZTE's domestic and international markets achieved revenues of 50.62 billion yuan and 20.93 billion yuan, respectively, with year-on-year growth of 17.5% and 7.8%. The operator network, government-enterprise, and consumer businesses generated revenues of 35.06 billion yuan, 19.25 billion yuan, and 17.24 billion yuan, respectively [2]. - The government-enterprise business saw a remarkable year-on-year growth of 109.9%, becoming a core driver of overall revenue growth [2]. AI and ICT Integration - ZTE is fully committed to AI, accelerating the integration of AI with ICT. The company is leveraging AI opportunities in network infrastructure, computing power infrastructure, industry applications, and end-user products, which has effectively driven revenue growth [4]. - R&D expenses amounted to 12.66 billion yuan, representing approximately 18% of revenue, with around 94,000 global patent applications, including nearly 5,500 in the AI field [4]. Consumer Business Development - ZTE's consumer business revenue grew by 7.6% year-on-year, driven by a comprehensive range of AI terminal products. The company is expanding its smartphone market in Southeast Asia, Latin America, the Middle East, Africa, and Europe, with international smartphone revenue increasing by over 30% [3][5]. Strategic Upgrades - The "Connection + Computing Power" strategy is being upgraded to support AI accessibility. ZTE continues to strengthen its core competitiveness in wireless and wired products, maintaining a strong market position in 5G base stations and core networks [6]. - The company is enhancing its computing power infrastructure to meet the new opportunities presented by AI large models, developing a range of domestic computing products and solutions [6]. Achievements in AI - ZTE's Nebula large model ranked first in the SuperCLUE inference leaderboard and second overall in the IDC's report on China's large model inference computing power. The company has deepened its solutions across 18+ vertical industries, implementing over 100 benchmark cases [7].

Core Viewpoint - ZTE Corporation is undergoing a significant business transformation, shifting towards a "connection + computing power" strategy, which has resulted in a mixed financial performance with revenue growth but declining net profit [2][5]. Financial Performance - For the first half of 2025, ZTE reported revenue of 71.553 billion yuan, a year-on-year increase of 14.51%, while net profit attributable to shareholders was 5.058 billion yuan, down 11.77% [2]. - The disparity between revenue growth and profit decline reflects the ongoing business transition, with enterprise business revenue doubling, while traditional operator network business contracted due to changes in investment cycles [2][4]. Business Segments - The enterprise business, driven by computing power, achieved revenue of 19.254 billion yuan, soaring 109.93% year-on-year, primarily due to rapid growth in server and storage sales [2][3]. - The operator network business saw revenue decline to 35.064 billion yuan, a decrease of 5.99% year-on-year, attributed to the maturity of domestic 5G network construction and reduced operator investments [4]. Profitability and Margins - The gross margin for the enterprise business was only 8.27%, down 13.50 percentage points year-on-year, indicating that growth is heavily reliant on lower-margin hardware sales [3]. - The overall gross margin for the group decreased to 32.45%, down 7.99 percentage points year-on-year, due to the declining share of high-margin operator business and the rising share of low-margin enterprise business [4]. Cash Flow and Investment - The net cash flow from operating activities was 1.299 billion yuan, a significant drop of 81.44% compared to 7 billion yuan in the same period last year, highlighting cash flow pressures during the business expansion and structural transition [4]. - ZTE maintained high R&D investment of 12.66 billion yuan, accounting for approximately 18% of revenue, to support innovation in core technologies and computing infrastructure [3]. Future Challenges - ZTE faces the challenge of improving the profitability of its new business while stabilizing its traditional business and managing cash flow pressures during this transition period [5].

Core Viewpoint - The company is successfully implementing its "Connection + Computing Power" strategy, driven by the AI wave, with its second curve business, represented by computing power and terminal products, entering a fast lane [1][3]. Financial Performance - In the first half of 2025, the company achieved revenue of 71.55 billion yuan, a year-on-year increase of 14.5%, with a net profit attributable to shareholders of 5.06 billion yuan [2]. - The company's revenue from operator networks, government and enterprise, and consumer businesses were 35.06 billion yuan, 19.25 billion yuan, and 17.24 billion yuan respectively, with domestic and international markets contributing 50.62 billion yuan and 20.93 billion yuan, accounting for 70.7% and 29.3% of total revenue [2]. - The second curve business revenue, represented by computing power and terminal products, grew nearly 100% year-on-year, accounting for over 35% of total revenue, with server and storage revenue increasing by over 200% [2][3]. Strategic Initiatives - The company is accelerating AI and ICT integration to seize market opportunities, focusing on AI in network infrastructure, computing power infrastructure, industry applications, and end-side development [3]. - In the operator network segment, the company is addressing the challenges of declining domestic 5G investments while expanding into future technology directions such as 5G-A and 10G access [3]. - The government and enterprise business saw a remarkable growth of 109.9% year-on-year, becoming a core engine for overall revenue growth [3]. Consumer Business Development - The company is enhancing its consumer business through a comprehensive AI terminal strategy, with revenue growth of 7.6% year-on-year driven by family terminals, smartphones, cloud computers, and mobile internet products [4]. - The dual-brand strategy of "ZTE + Nubia" is being leveraged to expand smartphone market channels in Southeast Asia, Latin America, the Middle East, Africa, and Europe, with international smartphone revenue increasing by over 30% [4]. Margin Improvement Strategies - The company acknowledges that its gross margin is under pressure due to differences in gross margins between computing power products and traditional telecom network products [5]. - To improve gross margins, the company plans to increase the revenue scale of computing power products, enhance self-research ratios, and expand into solution sales and integrated services [5]. R&D and Innovation - In the first half of 2025, the company invested 12.66 billion yuan in R&D, accounting for approximately 18% of revenue, with around 94,000 global patent applications [6]. - The company holds nearly 5,500 AI-related patent applications, with almost half already authorized, and approximately 5,700 patent applications in the chip field [6]. Future Outlook - Looking ahead to the second half of 2025, the company aims to maintain its market share in traditional wireless and wired products while accelerating the expansion of its second curve business [7]. - The company plans to deepen strategic cooperation with leading clients in the internet and finance sectors, enhance the market share of computing power products, and continue to innovate in consumer products [7].