Investment Rating - The investment rating for the company is "Buy" and is maintained [4]. Core Views - The report highlights that the demand in downstream industries is improving, and advancements in AI hardware are progressing smoothly. DeepSeek has achieved significant cost reductions in model inference through algorithm and engineering innovations, which may lead to a shift in value distribution within the AI industry [2][6]. - The company, Meige Intelligent, is deepening its layout in smart connected vehicles and FWA solutions domestically while focusing on 5G-A modules and Redcap product lines in overseas markets, particularly targeting high-end markets in North America and Europe through customized strategies with operators [2][6]. Financial Performance - In the first half of 2025, the company achieved operating revenue of 1.886 billion yuan, a year-on-year increase of 44.50%, and a net profit attributable to the parent company of 84 million yuan, up 151.38% year-on-year [4][6]. - Domestic revenue reached 1.354 billion yuan, growing by 56.50% year-on-year, driven by demand for smart connected vehicles and AI hardware. Overseas revenue was 532 million yuan, a year-on-year increase of 20.93%, accounting for 28.22% of total revenue [6]. - The gross margin for the wireless communication module and solution business was 13.46%, down from 16.83% year-on-year, primarily due to the product mix and increased sales of lower-margin products [6]. Industry Outlook - The report indicates that the AI industry is expected to benefit from the increasing deployment of AI terminals and the transition from 4G to 5G, which will enhance the value of modules. The company is well-positioned to capitalize on these trends [2][6]. - The report forecasts that the company will achieve net profits of 188 million, 275 million, and 385 million yuan for the years 2025, 2026, and 2027, respectively, with year-on-year growth rates of 38%, 47%, and 40% [6].