Core Viewpoint - Neusoft Group has been selected as a designated supplier for a major domestic automotive manufacturer to provide intelligent cockpit domain controllers, with an expected total supply amount of approximately 4.2 billion RMB over a product lifecycle of about 6 years [1][2]. Group 1: Contract Details - The intelligent cockpit domain controllers will be applied to multiple models scheduled for mass production between 2026 and 2027 [1]. - The total expected supply amount for the intelligent cockpit domain controllers during the product lifecycle is approximately 4.2 billion RMB [1]. - The contract signifies a deepening of the long-term cooperative relationship between Neusoft Group and the automotive manufacturer, reflecting the manufacturer's recognition of Neusoft's core products and technological capabilities [2]. Group 2: Product Features and Technology - The intelligent cockpit domain controllers will be based on Qualcomm's platform, integrating AI computing power and multimodal large model technology to enhance interaction experience and multitasking capabilities [2]. - Neusoft Group has over 30 years of experience in the automotive electronics sector, providing a range of products including intelligent cockpit domain controllers and IVI in-vehicle infotainment systems [1]. - The company has launched the NeuMind empowerment platform, which integrates various foundational AI models and key modules for intelligent services in the automotive sector [3]. Group 3: Market Position and Future Outlook - Neusoft Group ranks first among domestic suppliers in terms of competitiveness for high-end intelligent cockpit domain control platforms, leveraging its leading advantages in the market [1]. - The actual sales amount will depend on the automotive manufacturer's production volume and market conditions, indicating potential uncertainties in future supply [2]. - Previous contracts with the same automotive manufacturer involved a projected supply amount of approximately 5.6 billion RMB for a different model series, showcasing the ongoing demand for Neusoft's products [3].

Core Viewpoint - Neusoft Corporation reported a revenue increase of 9.08% year-on-year for the first half of 2025, but net profit attributable to shareholders decreased by 42.75%, indicating challenges in profitability despite revenue growth [3][4][12]. Financial Performance - Total revenue for the first half of 2025 reached 4.69 billion RMB, compared to 4.30 billion RMB in the same period last year [3]. - Total profit for the period was 87.36 million RMB, down 27% from 119.67 million RMB year-on-year [3]. - Net profit attributable to shareholders was 56.27 million RMB, a decline of 42.75% from 98.28 million RMB [3]. - The company reported a net cash flow from operating activities of -375.55 million RMB, indicating increased operational costs [3]. Business Overview - Neusoft is a leading global information technology company, focusing on digital transformation across various sectors, including healthcare, smart automotive, and smart cities [12]. - The company has seen a significant increase in new contracts, particularly in AI applications, with a 50% year-on-year growth in AI-related contracts [12][14]. - In the healthcare sector, Neusoft maintains a leading market share in medical insurance information systems and has signed nearly 20 major healthcare projects in the first half of 2025 [12][14]. Industry Trends - The Chinese automotive industry experienced a 10.4% increase in production and sales in the first half of 2025, highlighting the growing competitiveness of domestic brands [11]. - The government is promoting the integration of AI technology in various sectors, which is expected to drive innovation and application in the industry [8][9]. - Neusoft's strategic focus on AI and data-driven solutions aligns with national policies aimed at enhancing digital economy development [8][9]. Strategic Initiatives - Neusoft is actively enhancing its AI capabilities and expanding its product offerings in the healthcare sector, including the launch of new AI-driven platforms and solutions [12][16]. - The company has established partnerships with major automotive manufacturers to enhance its smart automotive solutions, resulting in a 50% increase in smart cockpit product orders [12][14]. - Neusoft is also involved in various projects aimed at improving public health information systems and enhancing the efficiency of healthcare services across multiple provinces [12][17].

Core Insights - The automotive industry is undergoing significant transformation driven by software-defined vehicles and AI integration, focusing on user experience rather than just functionality [2][3][4] Group 1: Eastsoft's Innovations - Eastsoft Group launched three major product matrices at the Shanghai Auto Show, including the A³ cabin parking product platform, NeuMind empowerment body, and OneCoreGo® global in-car intelligent travel solution 6.0, marking a key step in promoting smart travel and aligning with the AI development trend [3][4] - The A³ cabin parking product platform integrates multiple functions into a single chip, reducing hardware costs and enhancing software iteration efficiency, thus addressing the fragmentation issues in traditional automotive electronic architectures [4][5] - The NeuMind empowerment body serves as an AI brain, enabling rapid deployment of intelligent applications and seamless upgrades, thus providing a full-stack intelligent solution for automakers [7][8] Group 2: Market Impact and Trends - The A³ cabin parking platform resolves two major contradictions in the automotive industry's smart transformation: high development costs and the need for rapid feature iteration, as well as the challenge of upgrading user experience while ensuring technology accessibility [5][6] - The OneCoreGo® 6.0 solution enhances the in-car ecosystem by integrating navigation, payment, and interaction capabilities, facilitating the globalization of Chinese automotive brands [9][10] - Eastsoft has established a global product R&D and delivery network centered in China, Germany, the USA, Japan, and Malaysia, serving over 50 well-known automotive manufacturers and applying its products in more than 100 countries [10]

Core Insights - The automotive industry is undergoing significant transformation driven by AI technology, which is reshaping user experiences and the entire industry structure [3][5][10] - Neusoft Group has introduced three major product matrices at the 2025 Shanghai International Auto Show, marking a critical step in advancing smart mobility [2][7] Neusoft A³ Cabin and Parking Product Platform - The A³ platform integrates cockpit, instrument, driving, and parking functionalities into a single chip, reducing hardware costs and enhancing software iteration efficiency [5][7] - It supports independent deployment of multi-domain functions, allowing for flexible cockpit interaction and driving assistance [5][7] - The platform aims to address high development costs and the need for rapid feature iteration, providing a cost-effective smart mobility solution for automakers [7] NeuMind Empowerment Body - The NeuMind empowerment body integrates key modules such as smart cockpit, intelligent driving assistance, and vehicle networking, enabling millisecond-level real-time responses [8][10] - It features proprietary AI middleware and development toolchains for rapid iteration and OTA upgrades, acting as an "AI brain" for automotive applications [8][10] - This solution lowers the technical barriers and costs for automakers, fostering closer collaboration between automakers and suppliers [10] OneCoreGo® Global In-Vehicle Intelligent Mobility Solution - The OneCoreGo® 6.0 solution represents a leap from single-function upgrades to an ecosystem-level intelligent mobility platform, enhancing the overall travel experience [11][13] - It includes new features such as One Pay and One Mate, enabling a comprehensive upgrade of navigation, payment, and interaction capabilities [11][13] - Neusoft's global product development network supports over 1,800 vehicle models across more than 100 countries, facilitating the adaptation of Chinese automotive brands to international markets [13]