Core Viewpoint - The company, Zhongke Chuangda, is positioned as a leading global provider of intelligent operating systems, benefiting significantly from AI-driven industrial transformation through its unique "operating system + edge intelligence" strategy [1] Group 1: Business Segments - Intelligent Software: The business revenue for the intelligent software segment reached 841 million yuan in H1 2025, reflecting a year-on-year growth of 10.52% [2] - Intelligent Automotive: The intelligent automotive segment achieved revenue of 1.189 billion yuan in H1 2025, with a year-on-year increase of 7.85% [3] - Intelligent IoT: The intelligent IoT segment experienced a remarkable revenue growth of 136% year-on-year in H1 2025, driven by the rapid expansion of edge AI applications [3] Group 2: Market Trends and Projections - The global smartphone market is expected to see a moderate recovery, with a projected year-on-year growth of 1% in shipments by 2025, driven by the increasing penetration of AI features [1] - The global automotive generative AI market is anticipated to grow at a CAGR of 23.8% from 2025 to 2034, indicating a strong growth trajectory for the intelligent automotive sector [2] - The global edge AI market is forecasted to grow from 321.9 billion yuan in 2025 to 1.2 trillion yuan by 2029, with a CAGR of 39.6% [3] Group 3: Globalization and Strategic Initiatives - The company reported overseas revenue of 1.558 billion yuan in H1 2025, marking an impressive year-on-year growth of 81.41%, showcasing the effectiveness of its "globalization + localization" strategy [3] - The company is set to launch its AI-native vehicle operating system, Drip OS, in 2025, which supports a full-chip platform and large model access, indicating a strategic move to capture the growing demand for integrated automotive solutions [2] Group 4: Financial Projections - The company is expected to achieve revenues of 7.314 billion yuan, 9.415 billion yuan, and 11.436 billion yuan for the years 2025, 2026, and 2027, respectively, with year-on-year growth rates of 35.8%, 28.7%, and 21.5% [4] - The projected net profit attributable to the parent company is forecasted to be 578 million yuan, 746 million yuan, and 964 million yuan for the years 2025, 2026, and 2027, reflecting growth rates of 41.9%, 29.0%, and 29.3% [4]

Core Viewpoint - The company Zhongke Chuangda (300496) emphasizes the global characteristics of its AI-native vehicle operating system, Drip OS, which supports the internationalization and overseas business strategy of automotive companies [1] Group 1: Product Features - Drip OS is characterized by "full openness, full connectivity, and globalization" [1] - The system integrates both domestic and global application ecosystems, allowing for flexible configurations based on vehicle models, regions, and user needs [1] Group 2: Strategic Initiatives - The company plans to build an overseas automotive ecosystem to support its international expansion, including facilitating the entry of foreign brands into China [1] - Drip OS has established good ecological cooperation relationships with dozens of partners, enhancing its integration within the global automotive industry ecosystem [1]

Group 1: Investor Relations Activities - The report documents investor relations activities conducted by the company, including specific object research and participation from various investment firms [2][3][4]. - A total of 16 different investment firms and their representatives participated in the activities, showcasing a diverse range of interest from the investment community [2][3]. Group 2: AI and Automotive Developments - The company is focusing on the development of AI Box technology, which integrates AI computing architecture in vehicles, providing up to 200 TOPS of AI computing power and 205 GB/s of bandwidth [4]. - The AI operating system, known as Drip Water OS, is designed to enhance vehicle software development efficiency and supports a wide range of applications in smart cockpits and integrated driving systems [5][6]. Group 3: IoT Business Growth - The IoT business is rapidly expanding, with product categories including handheld devices, smart vision, edge computing, and AI glasses, among others [5][6]. - The company aims to leverage AI capabilities in IoT products, achieving significant performance improvements, such as a 75% increase in boot speed and a 50% faster camera response time for AI glasses [7]. Group 4: Robotics and Automation - The company has successfully implemented robotic solutions in logistics and warehouse operations for several Fortune 500 companies, showcasing its capabilities in automation [7]. - The latest robotic products include outdoor balance forklifts and narrow-body AMRs, designed to meet new standards in outdoor logistics and flexible manufacturing [7]. Group 5: Globalization and Market Expansion - The company is building a global automotive ecosystem to support internationalization and market entry strategies, integrating local and global application ecosystems [8]. - With a presence in 16 countries, the company is positioned to quickly respond to market trends and customer needs, enhancing customer satisfaction and development efficiency [8].

Group 1: AI as a Core Driver of Intelligent Manufacturing - The 2025 World Intelligent Manufacturing Conference is set to open, highlighting AI as the core driving force behind intelligent manufacturing, which serves as a significant application scenario for AI technology [1] - Nanjing is experiencing a surge in its AI industry, with various applications enhancing efficiency and optimizing experiences across multiple sectors [1] Group 2: Digital Humans and AI in Daily Life - Digital humans are becoming increasingly realistic and are being integrated into various job roles, enhancing user experiences in daily life [2] - The National Development and Reform Commission has proposed measures to explore the use of AI models and digital humans in expanding e-commerce live streaming scenarios [2] - Silicon-based Intelligent Technology has been recognized as a key enterprise in Jiangsu's digital consumption innovation scene, showcasing its digital human live streaming platform [2] Group 3: AI in Content Creation - AI is reshaping the content creation ecosystem, serving as an efficient "content accelerator" for various media formats, including micro-dramas and live broadcasts [3] - The use of AI in micro-dramas allows for rapid production and high-quality outputs, indicating a new era of content creation where anyone can participate [3] Group 4: AI in Traditional Medicine - AI technology is being utilized in traditional Chinese medicine, exemplified by the AI smart Chinese medicine diagnostic device that provides health assessments in under a minute [5] - The collaboration between Haowei Health Technology and Nanjing University of Chinese Medicine aims to integrate traditional medicine knowledge with AI for enhanced clinical applications [5] Group 5: Intelligent Vehicles and Connectivity - Intelligent vehicles in Nanjing are being developed to better understand user needs, with advancements in AI enhancing the driving experience [6] - The company has empowered over 50 million vehicles and 60 million IoT devices, focusing on creating a seamless interaction between drivers and vehicles [6] Group 6: Satellite Connectivity for IoT - Satellite networks are being developed to ensure continuous connectivity for heavy machinery in remote areas, showcasing the potential of satellite technology in various fields [7] - The company aims to reduce communication costs significantly, making satellite communication comparable to ground network levels within 3 to 5 years [8] Group 7: Nanjing's Innovation Ecosystem - Nanjing's AI industry is supported by a robust innovation ecosystem, with a focus on collaboration between large enterprises, universities, and research institutions [9] - The AI industry cluster in Nanjing is designed to provide comprehensive support for AI technology development and application, facilitating a systematic approach to innovation [9]

Core Insights - The article highlights the rapid development and integration of artificial intelligence (AI) across various sectors in Nanjing, emphasizing its role as a core driver of smart manufacturing and digital transformation [2][9]. Group 1: AI Applications in Various Industries - AI is being utilized in diverse fields such as smart terminals, smart vehicles, smart IoT, and smart healthcare, showcasing its broad applicability and transformative potential [2]. - Digital humans are being deployed in various roles, enhancing user experiences and operational efficiency in sectors like e-commerce and content creation [3][4]. - The integration of AI in traditional practices, such as Chinese medicine, is exemplified by the AI smart diagnosis system developed by Nanjing Haowei Health Technology, which combines advanced AI models with traditional medical knowledge [5][6]. Group 2: Innovations in Smart Vehicles and Connectivity - Smart vehicles are becoming more intuitive, with AI systems that understand user intentions and enhance driving experiences, as demonstrated by the "滴水OS" developed by Zhongke Chuangda [7]. - Satellite technology is being leveraged to ensure continuous connectivity for heavy machinery in remote areas, showcasing the potential of AI and satellite networks in enhancing operational capabilities [8]. Group 3: Ecosystem and Collaborative Development - Nanjing's innovation ecosystem, characterized by collaboration between large enterprises, universities, and research institutions, is fostering a conducive environment for AI development and application [10]. - The establishment of AI industrial clusters, such as the AI International Community in Nanjing, is facilitating the integration of resources and expertise, driving advancements in AI technologies [10].

Financial Performance - The company achieved a revenue of 1.848 billion CNY in the recent quarter, representing a growth of 42.87% year-on-year [4] - Net profit attributable to shareholders reached 70.568 million CNY, an increase of 48.26% compared to the previous year [4] - For the first three quarters, total revenue was 5.148 billion CNY, up 39.34% year-on-year, with net profit of 229 million CNY, reflecting a growth of 50.72% [4] Product and Technology Development - The company is focusing on AI integration across various sectors, including smartphones, smart vehicles, and smart hardware, with a goal to transition from traditional operating systems to AI-based operating systems (AIOS) [4] - AIOS is designed to revolutionize the OS landscape by integrating traditional interfaces with AI capabilities, enabling new forms of interaction such as generative UI and multi-modal experiences [4] - The company is actively developing AIOS for automotive applications, exemplified by the launch of the Drip OS platform in collaboration with Geely at the IAA Mobility 2025 [4][6] AIOS Strategy and Implementation - AIOS is structured into four levels: M1 (prototype), M2 (small-scale), M3 (expandable), and M4 (mass production), with a focus on effective AI strategy execution [5] - The Drip AIOS leverages Qualcomm's Snapdragon Ride platform, achieving real-time operation of 7B large models in vehicles, enhancing the AI cockpit experience [5][6] - The company is expanding its AIOS applications to include AI glasses and other IoT devices, aiming for a comprehensive AI ecosystem [5] Market Expansion and Collaboration - The company is enhancing its overseas automotive ecosystem, facilitating the entry of foreign brands into China and integrating with local middleware and software ecosystems [5][7] - Strategic partnerships with chip manufacturers like Qualcomm and NVIDIA are pivotal for the development of AIOS and related technologies [6][9] - The company is also collaborating with major AI model firms to optimize applications in smart automotive environments, enhancing user experience through advanced AI interactions [8][9] Future Outlook - The company anticipates continued growth in its smart software and AI sectors, driven by advancements in AI mobile technology and heterogeneous computing [8] - The focus will remain on building a robust AI ecosystem that supports smart homes and AI hardware, ultimately aiming for a fully interconnected AI environment [8][10] - The company is committed to maintaining a strong global presence with R&D teams across 16 countries, ensuring responsiveness to local market needs [10]

Group 1: Company Overview and Strategy - The company has been focusing on the smart automotive sector since 2013, acquiring Rightware in 2017 to enhance its UI development tools for smart cockpits [3] - In 2025, AI is expected to redefine the automotive industry, transitioning from hardware-driven to AI-driven ecosystems [3] - The company aims to provide an integrated solution with "AIOS + AIBOX," creating a closed loop from software architecture to hardware support [3] Group 2: Product Innovations - The "滴水 AIOS" redefines the smart cockpit operating system, utilizing an AI-native architecture for dynamic resource management and seamless cloud integration [3] - The AIBOX, equipped with NVIDIA Drive AGX chips, offers up to 200 TOPS of AI computing power and 205 GB/s bandwidth, enabling smooth operation of large models [3][6] - The AI cockpit, built on Snapdragon Ride platform, features a 14B parameter model with a response time under 500ms, enhancing human-machine interaction [4] Group 3: Global Expansion and Market Strategy - The company has established a global R&D team across 16 countries, enhancing its ability to respond to local market needs [4] - The AIOS supports both domestic and international application ecosystems, aiding Chinese automotive manufacturers in their global strategies [4] Group 4: IoT and AI Applications - The IoT business has rapidly expanded, covering handheld devices, smart vision, edge computing, and AI glasses, among others [4][5] - The TurboXAI glasses utilize Qualcomm's Wear5100+MCU, providing millisecond-level response times and various functionalities [5] Group 5: Collaborations and Partnerships - The company has partnered with Volcano Engine since 2024, developing a comprehensive solution for the smart automotive sector [5] - The collaboration has led to the creation of an AI cockpit solution that integrates real-time cloud and vehicle communication, achieving a 500ms voice feedback response [5] Group 6: Robotics and Future Trends - The company is advancing its mobile robotics products, focusing on logistics and manufacturing sectors, with successful implementations in major global enterprises [6] - By mid-2025, the robotics products have been deployed in various industries, including automotive parts and logistics, with a growing presence in international markets [6]

Group 1: Financial Performance - In H1 2025, the company reported revenue of 3.299 billion yuan, a year-on-year increase of 37.4%, and a net profit attributable to shareholders of 158 million yuan, up 51.8% year-on-year [1] - In Q2 2025, revenue reached 1.831 billion yuan, reflecting a year-on-year growth of 49.7%, while net profit attributable to shareholders surged to 66 million yuan, a remarkable increase of 384.2% year-on-year [1] Group 2: Business Segments - The smart IoT business experienced significant growth, with revenue of 1.270 billion yuan in H1 2025, representing a year-on-year increase of 136.1%. This growth was driven by enhanced delivery capabilities in diverse handheld terminals and deep integration of AI technology [1] - The smart automotive segment generated revenue of 1.189 billion yuan in H1 2025, marking a year-on-year increase of 7.9%. The company introduced the AI-native vehicle operating system, Drip OS, aimed at becoming the intelligent core of vehicles in the AI era [2] - The smart software segment saw revenue of 841 million yuan in H1 2025, reflecting a year-on-year growth of 10.5%, continuing the recovery trend since Q4 2024 [2] Group 3: International Expansion - The company's overseas revenue reached 1.558 billion yuan in H1 2025, a year-on-year increase of 81.4%, with revenue from Europe and America alone surging by 151.1% to 1.105 billion yuan [3] - The demand for automotive intelligence and IoT solutions in overseas markets is robust, and the company supports enterprises in their global expansion through a "globalization + localization" strategy [3] Group 4: Future Outlook - The overall gross margin is under pressure, with revised forecasts predicting a gross margin of 35.0% for 2025 and 35.1% for 2026, down from previous estimates of 37.4% and 37.8% respectively [3] - Revenue forecasts for 2025 and 2026 have been adjusted to 6.402 billion yuan and 7.047 billion yuan, respectively, with net profit forecasts of 510 million yuan and 618 million yuan [3] - The company is expected to enter an operational upcycle, maintaining an "overweight" rating [3]

Core Viewpoint - The company, Zhongke Chuangda Software Co., Ltd., has demonstrated significant growth in revenue and net profit in the first half of 2025, driven by advancements in artificial intelligence and its strategic focus on edge intelligence [2]. Group 1: Financial Performance - In the first half of 2025, the company achieved a revenue of 3.299 billion yuan, representing a year-on-year increase of 37.44% [2]. - The net profit attributable to shareholders was 158 million yuan, marking a year-on-year growth of 51.84% [2]. - Revenue from the intelligent software business line was 841 million yuan, up 10.52% [2]. - The intelligent automotive business line generated 1.189 billion yuan, an increase of 7.85% [2]. - The intelligent IoT business line saw a remarkable revenue of 1.270 billion yuan, growing by 136.14% [2]. - Revenue from the China region was 1.742 billion yuan, up 12.96%, while overseas revenue reached 1.558 billion yuan, growing by 81.41% [2]. Group 2: Strategic Focus and Business Development - The company is transitioning to become a provider of operating systems and edge intelligence products, leveraging advancements in AI and AIGC technologies [3]. - The AI mobile phone integrates AI functionalities, enhancing edge computing capabilities [3]. - The intelligent automotive sector features the Drip OS, which incorporates AI models for autonomous decision-making and improved user interaction [3]. - The IoT business has developed various vertical categories, including handheld devices and smart vision, and is building an AIoT platform [3]. - The company is committed to deepening its core strategy in edge intelligence and expanding its global market presence in the second half of 2025 [2]. Group 3: Business Model and Innovation - The IoT business model focuses on software-centric integrated product sales, including software and hardware integration, design services, and software licensing [4]. - The company aims to enhance the value of software in IoT hardware as edge intelligence applications grow [4]. - Collaborations with partners like Huoshan Engine and Mianbi Intelligent are aimed at improving AI cockpit interaction experiences [4]. - The acquisition of T2M is expected to enhance service offerings in the Android operating system development and client resources [4]. - The company is actively developing AMR robots for logistics and manufacturing, with projects already implemented in several Fortune 500 companies [4].

Investment Rating - The investment rating for the company is "Outperform the Market" [4][11] Core Insights - The company's performance remains stable with a slight increase in revenue for 2024, projected at 5.385 billion yuan, a year-on-year increase of 2.72%. However, the net profit attributable to the parent company is expected to decline by 12.6% to 407 million yuan [9][11] - The company is focusing on deepening its edge AI strategy, with significant investments in R&D, particularly in smart automotive operating systems and IoT technologies [3][4] - The smart IoT business has shown signs of recovery, while the smart automotive business is experiencing a slowdown due to industry adjustments and project delays [2][3] Summary by Sections Financial Performance - In 2024, the company's main revenue is projected to be 5.385 billion yuan, with a slight increase of 2.72%. The net profit attributable to the parent company is expected to be 407 million yuan, down 12.6% [9][11] - For Q1 2025, the main revenue is 1.469 billion yuan, showing a year-on-year growth of 24.69%, with a net profit of 93 million yuan, up 2.48% [9] Business Segments - The smart smartphone segment generated 1.423 billion yuan in revenue, a year-on-year increase of 0.49%. The smart automotive segment achieved 2.416 billion yuan, growing by 3.42%, while the smart IoT segment reached 1.545 billion yuan, up 3.73% [2][9] - The smart IoT business has reversed its decline from 2023, benefiting from the integration of edge computing and cloud computing technologies [2][3] Strategic Initiatives - The company is enhancing its edge AI strategy by developing a unified platform that integrates edge, cloud, and AI technologies, which strengthens its competitive position in the smart automotive and consumer electronics sectors [3] - The company is also collaborating with major players like Qualcomm and Microsoft to advance its edge AI ecosystem [3] Profit Forecast - The profit forecast for the company has been adjusted downward, with net profits projected at 505 million yuan for 2025, 641 million yuan for 2026, and 896 million yuan for 2027 [4][11]