Summary of Audiwei's Conference Call Company Overview - Audiwei plans to issue H shares and list in Hong Kong to accelerate overseas market expansion and broaden foreign financing channels [2][5] - The company actively participates in industry standard formulation and collaborates with South China University of Technology to establish an innovation laboratory, enhancing industry-academia integration [2][5] Core Business and Innovations - Audiwei has launched innovative products including a ultrasonic distance measurement obstacle avoidance solution for lawn mowers, a new type of household appliance tapping switch, a wireless micro household jet fan, and a lead-free tactile feedback actuator [2][6] - The company focuses on the automotive sector, with core technologies such as tactile solid-state buttons for smart steering wheels and multi-modal wave multiplexing vehicle ultrasonic sensors, which have completed mass production verification [2][10] - In the smart meter sector, the penetration rate of ultrasonic smart water and gas meters has increased, contributing to high gross margins and profitability [2][12] Growth Areas - Rapid growth in the robotics and home applications sector, particularly in vacuum cleaning robots, underwater robots, and service robots, positioning Audiwei as an industry leader [2][13] - The company provides technologies for obstacle avoidance, material recognition, and liquid level monitoring, and accelerates the application of electronic skin technology [2][13] - In the consumer electronics sector, Audiwei is developing multi-layer tactile and feedback micro actuators expected to replace linear motors, with production anticipated in 2026 at a capacity of approximately 300 million units [2][14] Financial Performance and Future Outlook - Audiwei's business spans five segments: automotive, industrial control, home, consumer electronics, and robotics, with steady profit growth projected at over 15% from 2020 to 2024 [2][15] - Short-term benefits are expected from the increase in smart driving penetration and average selling price (ASP) improvements, while long-term growth will be driven by breakthroughs in lead-free piezoelectric new material technology [2][15] Market Position and Strategy - The company has established a strong foundation in the ultrasonic sensor field, which is crucial for its development in the smart automotive sector [2][11] - Audiwei's dual-driven strategy in domestic and international markets is yielding significant results, particularly in the smart instrument sector [2][12] Additional Insights - Audiwei's recent announcement regarding H share issuance and listing is a strategic move to enhance its market presence and financial capabilities [2][5] - The company is recognized in the 2024 Guangzhou Artificial Intelligence Innovation Development List, indicating its commitment to innovation and industry leadership [2][5]

Investment Rating - The investment rating for the company is "Accumulate" (maintained) [2] Core Views - The company achieved a revenue of 330 million yuan in H1 2025, representing a year-on-year growth of 16.26%, and a net profit attributable to the parent company of 50 million yuan, up 7.81% year-on-year [4] - The company is expected to maintain its profit forecast for 2025-2027, with net profits projected at 104 million, 128 million, and 142 million yuan respectively, and corresponding EPS of 0.74, 0.91, and 1.00 yuan [4] - The current stock price corresponds to P/E ratios of 42.8, 34.7, and 31.4 for the years 2025, 2026, and 2027 respectively, indicating a positive outlook due to the expected volume increase of new products [4] Financial Summary - In H1 2025, the company reported a gross margin of 35.42% [4] - The projected revenue for 2025 is 744 million yuan, with a year-on-year growth of 20.6% [7] - The projected net profit for 2025 is 104 million yuan, with a year-on-year growth of 18.5% [7] - The company’s gross margin is expected to decline slightly from 38.0% in 2023 to 33.1% in 2027 [10] - The return on equity (ROE) is projected to increase from 8.3% in 2023 to 11.1% in 2027 [10] Product Development and Market Position - The company has made significant breakthroughs in multiple technologies, including a new ultrasonic distance measurement obstacle avoidance solution for lawnmowers and a piezoelectric touch switch product [5] - The company is positioned in high-growth sectors such as liquid-cooled servers, robotics, and smart vehicles, with a focus on intelligent sensor and actuator innovations [6] - The new generation AKII ultrasonic sensor for vehicles is expected to enhance smart driving systems and is already being applied in domestic automotive brands [6]