Core Viewpoint - The IPO process for domestic GPU chip companies is accelerating, with Moore Threads and Muxi Co., Ltd. making significant progress despite both companies currently not being profitable. The expected revenue growth in 2024 and the increasing market recognition of their AI computing products are key factors supporting their market entry [1][2][3]. Company Performance - Moore Threads is projected to achieve a significant revenue increase in 2024, with expected revenue of 438 million yuan, while net losses are expected to decrease to 1.492 billion yuan. By the first half of 2025, revenue is anticipated to reach 702 million yuan, a 238.71% year-on-year increase, with net losses improving to 271 million yuan, a 56.02% decrease year-on-year [4][5]. - Muxi Co., Ltd. is expected to see a staggering revenue growth of 1354.9% in 2024, reaching 742 million yuan, although net losses are projected to widen to 1.409 billion yuan [9]. Product Development and Market Strategy - Moore Threads has been iterating its GPU architecture annually, with the latest "Pinghu" chip expected to enhance performance significantly. The company’s revenue structure is shifting towards AI computing products, which are projected to account for nearly 80% of revenue by the first half of 2025 [6][7][8]. - Muxi Co., Ltd. is focusing on expanding its customer base among major internet companies and telecom operators, with significant progress in its AI computing business. The company is actively engaging with key clients and expects to finalize orders in 2025 [15][16]. Industry Trends - The domestic AI chip industry is witnessing a trend towards building an ecosystem, with companies like Moore Threads and Muxi Co., Ltd. contributing significantly to the development of AI computing capabilities. The focus on internet and telecom markets is crucial for the growth of domestic AI chip manufacturers [3][14]. - The establishment of collaborative initiatives, such as the OISA ecosystem, indicates a concerted effort to enhance the interoperability and performance of AI chips, which is essential for the advancement of AI infrastructure in China [19][21].

Core Viewpoint - The IPO process for domestic GPU chip companies is accelerating, with Moore Threads successfully entering the review stage shortly after filing its prospectus, while Muxi Co. is also progressing through inquiries, indicating a growing market for AI computing products [1][3]. Financial Performance - Moore Threads is projected to achieve significant revenue growth in 2024, with expected revenues of 438 million yuan, and a continued reduction in net losses to 1.492 billion yuan. By the first half of 2025, revenues are anticipated to reach 702 million yuan, marking a 238.71% year-on-year increase and a 203.44% quarter-on-quarter increase, with net losses improving to 271 million yuan, a decrease of 56.02% year-on-year and 69.07% quarter-on-quarter [4][5][6]. Revenue Structure - In 2023, Moore Threads' core revenue primarily came from professional graphics acceleration products, with major clients including Baidu and JD.com. By 2025, AI computing products are expected to account for nearly 80% of revenue, reflecting a 218.19% increase [6][7]. Product Development - Moore Threads has released several generations of GPU architecture, with the latest, "Pinghu," aimed at AI computing. The company has seen a significant improvement in gross margins, from -70.08% in 2022 to 70.71% in 2024, driven by higher performance and pricing of newer products [7][8]. Market Expansion - The customer base for Moore Threads has shifted from early markets to AI computing centers and enterprises, with ongoing negotiations for contracts exceeding 1.7 billion yuan in the AI computing sector, indicating a strong demand for domestic chips [11][12]. Industry Trends - The domestic AI chip industry is witnessing rapid growth, with companies like Moore Threads and Muxi Co. leading the charge. The market is increasingly focused on AI computing, with significant orders and contracts expected to drive future revenues [10][18]. Ecosystem Development - The establishment of collaborative ecosystems is crucial for the growth of domestic AI chip manufacturers. Initiatives like the OISA ecosystem and partnerships with major telecom operators are aimed at enhancing interoperability and performance of AI chips [16][17].

Core Viewpoint - The article highlights the rapid acceleration of the IPO process for domestic GPU chip companies, particularly focusing on Moore Threads and Muxi Co., which are expected to see significant revenue growth in 2024 and beyond, driven by the increasing demand for AI computing products and services [3][5][20]. Financial Performance - Moore Threads is projected to achieve a substantial revenue increase in 2024, with expected revenues of 438 million yuan, and a continued improvement in net losses, which are anticipated to decrease to 271 million yuan in the first half of 2025, reflecting a year-on-year decline of 56.02% [5][6]. - Muxi Co. is expected to report a staggering 1354.9% year-on-year revenue growth in 2024, reaching 742 million yuan, although it will still face significant net losses of 1.409 billion yuan [9][12]. Market Dynamics - Both companies are experiencing a shift in their customer base from traditional sectors to AI computing centers and major internet companies, indicating a broader market acceptance of domestic AI chips [8][15]. - The domestic AI chip industry is witnessing a collaborative ecosystem being built, with companies like Moore Threads and Muxi Co. contributing significantly to the development of AI computing capabilities [18][20]. Product Development and Innovation - Moore Threads has introduced several generations of GPU architecture, with the latest "Pinghu" chip expected to enhance performance significantly, contributing to a projected gross margin increase from -70.08% in 2022 to 70.71% in 2024 [7][8]. - Muxi Co. is focusing on its training and inference series, with GPU boards accounting for 68.99% of its total revenue in 2024, indicating a strong market position in AI chip solutions [9][12]. Order Backlog and Future Prospects - Moore Threads has a substantial order pipeline, with over 1.7 billion yuan in project contracts under negotiation, expected to be fulfilled in the first half of 2025 [13][14]. - Muxi Co. has reported an order backlog of 1.43 billion yuan, primarily from its Xiyun C500 series boards, with significant contributions from repeat orders and new clients [14][15]. Industry Collaboration and Standards - The article discusses the importance of industry collaboration, with initiatives like the OISA ecosystem being developed to enhance interoperability and performance of AI chips, which is crucial for the future of AI infrastructure in China [18][19]. - Both companies are actively participating in standard-setting and ecosystem-building efforts, which are essential for the growth and competitiveness of the domestic AI chip industry [19][20].

Investment Rating - The investment rating for the company is "Buy" (maintained) [2][10] Core Views - The company's revenue for H1 2025 reached 1.9 billion yuan, representing a year-on-year growth of 14.7%, driven primarily by the strong performance of its core cellular baseband chip business, which now accounts for over 85% of total revenue [3][6] - The company is expected to achieve revenues of 4.52 billion yuan in 2025, with a projected growth rate of 33% year-on-year [2][6] - The company is focusing on expanding its product offerings in both 4G and 5G markets, with significant growth in its 4G cellular IoT and 5G RedCap sectors [6] Summary by Sections Financial Performance - H1 2025 revenue was 1.9 billion yuan, with a 14.7% increase year-on-year; net profit attributable to shareholders was -245 million yuan, a reduction in loss by 19 million yuan [3][6] - Q2 2025 revenue was 988 million yuan, up 19.8% year-on-year, with a net profit of -123 million yuan, showing a narrowing of losses [6] - The gross margin for H1 2025 was 24.7%, an increase of 0.45 percentage points year-on-year [6] Business Segments - The core cellular baseband chip business saw sales increase by over 50% year-on-year, with revenue growth exceeding 30% and gross profit growth over 60% [6] - Custom chip and IP licensing services generated 144 million yuan in revenue, a decrease of 49.8% year-on-year due to strategic resource allocation towards self-developed chips [6] Research and Development - The company invested in 15 R&D projects in H1 2025, with total R&D expenses reaching 668 million yuan, a 12.4% increase year-on-year [6] - The company is advancing its 5G and smart SoC chip offerings, with significant orders and expected product launches in the near future [6] Market Position - The company is positioned as a leader in the domestic mobile phone baseband chip market, with notable advantages in technology and customer relationships [6]

Core Viewpoint - The company has successfully implemented the "Quality Improvement and Efficiency Enhancement" action plan for 2025, focusing on its core business of cellular baseband chips, leading to significant revenue growth and improved investor relations [1][16]. Group 1: Business Performance - The company achieved a revenue of 1.898 billion yuan in the reporting period, representing a year-on-year increase of 14.67%, with the cellular baseband chip segment accounting for over 85% of total revenue [1]. - The sales volume of cellular baseband chips increased by over 50% compared to the same period last year, with revenue growth exceeding 30% and gross profit rising by over 60% [1]. Group 2: 4G Cellular IoT Products - The 4G cellular IoT chip business saw a revenue increase of over 30% compared to 2024, maintaining a strong growth trend [2]. - The Cat.1 chip has penetrated various applications, including mobile payments, asset tracking, and industrial IoT, showcasing its versatility and reliability [2][3]. Group 3: 5G RedCap Chip Development - The company has made significant progress in the 5G RedCap chip sector, with the ASR1903 series successfully passing certifications from major telecom operators [6]. - The ASR3901 platform for wearable devices has been launched, with nearly 20 terminal products completing necessary certifications and beginning mass shipments [6]. Group 4: Smart SoC Chip Business - The company has successfully commercialized its first quad-core smartphone chip, with plans for significant growth in shipments throughout 2025 [7][9]. - The second-generation 4G octa-core smartphone chip is in the tape-out phase, expected to enhance performance and support various applications [8]. Group 5: R&D and Innovation - The company has maintained substantial R&D investments, completing multiple projects and filing numerous patents, including 36 invention patents and 15 integrated circuit layout designs [9][10]. - The workforce is highly qualified, with 90% of employees in R&D holding over 10 years of experience, and over 70% possessing master's or doctoral degrees [10]. Group 6: Cost Management and Operational Efficiency - The company has improved procurement, inventory, and supply chain management to reduce costs and enhance operational efficiency [11][12]. - It has also focused on optimizing resource allocation in R&D management to align closely with market demands [11]. Group 7: Corporate Governance and Investor Relations - The company has strengthened its governance framework by revising its articles of association and enhancing the roles of the audit committee and employee directors [12]. - It has implemented a stock incentive plan to motivate employees and improve overall performance, with significant stock grants completed [10][12]. Group 8: Communication with Investors - The company has organized multiple face-to-face communication events with investors to discuss business strategies and operational status, enhancing transparency and trust [13][14]. - It has established various communication channels, including an investor relations section on its website, to facilitate information sharing and feedback collection [14].

Core Insights - The company reported a revenue of 1.898 billion yuan for the first half of 2025, a year-on-year increase of 14.67%, but still incurred a net loss of 245 million yuan due to R&D investments and asset impairments [1] - The company focuses on cellular baseband technology and wireless communication chip development, with significant sales growth in the 4G cellular IoT chip segment, which saw over a 30% increase compared to the same period in 2024 [1][2] - The company is expanding its product offerings in the 5G Redcap chip sector and has successfully commercialized its first quad-core smartphone chip, expecting a significant increase in shipments in 2025 compared to 2024 [2][3] Revenue and Profitability - The company achieved a total gross profit of 469 million yuan in the first half of 2025, despite being in a loss position [1] - The 4G Cat.1 chip shipments increased by over 50% year-on-year, with a sequential growth of over 40% from Q1 to Q2 2025 [1] Product Development and Market Expansion - The 4G Cat.4 chip segment saw a year-on-year shipment increase of approximately 35%, with products entering the supply chains of major domestic automotive brands [2] - The company is actively developing multiple R&D projects, investing 668 million yuan in R&D, a 12.35% increase year-on-year, to enhance its technology and product offerings [3] Future Outlook - The company plans to focus on the integration of AI and 5G technologies, aiming to drive innovation in smart terminals, IoT, smart cities, and intelligent manufacturing [3]