Summary of Chaojie Co., Ltd. Conference Call Company Overview - **Company**: Chaojie Co., Ltd. - **Industry**: Automotive Parts, Aerospace, Commercial Space Key Financial Metrics - **Revenue**: 602 million CNY for the first three quarters of 2025, a year-on-year increase of 0.41% [2][3] - **Net Profit**: 28.43 million CNY for the first three quarters, a year-on-year increase of 11.52% [3] - **Net Profit Decline**: 12.54% in Q3 due to capacity adjustments in automotive parts and increased equity stake in the aviation business leading to losses [2][3] Business Segment Performance - **Automotive Parts**: - Revenue contribution: 92.96%, year-on-year growth of 27.52% [2][5] - Domestic market share: approximately 85%, with a projected increase in export share from 15% to 30% over three years [22] - **Aerospace**: - Revenue contribution: 1.77%, year-on-year growth of 70% [2][5] - **Commercial Space**: - Revenue contribution: 5.27%, year-on-year growth of 1,161% [2][5] - Expected significant increase in order volume in 2026, with current deliveries valued at approximately 10 million CNY [6] Operational Insights - **Capacity Adjustments**: - Adjustments in automotive parts production led to a cost impact of 12 million CNY, affecting overall profitability [3][11] - **Profitability Outlook**: - Anticipated recovery in Q4 due to completion of capacity adjustments and seasonal demand [11][23] - **Future Revenue Growth**: - Projected growth of 25% in automotive parts revenue for 2026, with a gross margin exceeding 20% [19] Competitive Positioning - **Technological Advantage**: - First-mover advantage in commercial space with significant experience and improved production capabilities [9] - **Client Relationships**: - Core clients may introduce new suppliers, but Chaojie remains a key supplier and is exploring additional market opportunities [8][9] Strategic Plans - **Product Expansion**: - Plans to diversify product offerings in robotics and aerospace, including legal service robots and high-value components [12][13][17] - **Market Outlook**: - Optimistic about revenue growth in 2026 across all business segments, with no additional cost impacts expected [23] Financial Strategy - **Equity Incentive Plan**: - A four-year plan with performance targets for revenue or profit, with challenges in meeting the 2025 profit target of 137 million CNY [20] - **Potential for Refinance or M&A**: - Open to refinancing opportunities in commercial space and robotics, and considering M&A for synergistic projects [21] Conclusion - **Overall Outlook**: - Positive expectations for 2026 with improved cost management and growth across automotive, aerospace, and commercial space sectors [23]

Core Viewpoint - The company is optimistic about the long-term development of the robotics industry and is actively exploring diversified application scenarios beyond humanoid robots [1] Group 1: Humanoid Robot Business - The company offers a variety of fasteners, PEEK material products, sensor bases, and high-precision machining products in the humanoid robot business [1] - The company has received small batch formal orders and new project designations from some clients, while also providing samples to other clients [1] - As the humanoid robot sector has not yet reached industrial-scale production, the company has not secured large volume orders [1] Group 2: Diversification and Future Plans - In addition to the humanoid robot business, the company is actively laying out plans in the legal service robot sector [1] - The company is exploring multiple application scenarios to diversify its offerings [1]

Group 1 - The company held a half-year online performance briefing on September 19, 2025, with participation from investors through the "Investor Relations Interactive Platform" [1] - The company upgraded its precision processing technology, improving efficiency, reducing costs, and enhancing product profitability while narrowing the performance gap with imported products [1] - The company reported stable cooperation with core customers and normal order fulfillment [1] Group 2 - The company is optimistic about the long-term development of the robotics industry, having received small batch orders from clients like Zhiyuan and proactively entering the legal service robotics sector [2] - In the humanoid robotics sector, the company offers various products and has secured small batch formal orders and project designations from both domestic and international clients [2] - The company possesses strong customer resources, technical expertise, quality control capabilities, and stable production capacity in the automotive parts manufacturing sector, aligning with the lightweight requirements of vehicles [2] Group 3 - The company reported sufficient orders in the commercial aerospace sector and anticipates steady growth in the humanoid robotics business [3] - As of September 10, 2025, the company had 22,879 shareholders, and it ensured compliance with regulations during the investor interaction, maintaining the integrity of information disclosure [3]