Core Insights - Jack Technology officially enters the embroidery machine industry, launching two core products: the X7 patch embroidery machine and the X5 finished embroidery machine, with plans to establish a dedicated production base covering 300 acres and a professional team of 1,000 people by 2025 [1] Industry Overview - The industrial sewing machine industry shows signs of bottoming out, with low inventory levels in the apparel sector. The demand in major markets like the US and China is expected to stabilize, leading to a potential inventory replenishment in 2026 [1] - Domestic demand for sewing equipment is projected to recover in 2026 after a significant decline in 2025, where domestic sales are expected to drop to approximately 1.65 million units, a 30% year-on-year decrease [2] - Export demand for sewing equipment is anticipated to exceed expectations in 2026, driven by the ongoing shift of the apparel industry overseas and the need for equipment upgrades [2] Company Developments - Jack Technology's new business initiatives are expected to enhance profitability, as the company gains favor among factories for its high-quality and intelligent products, leading to a steady increase in overseas market share [2] - The AI sewing machine, Ai 10, launched in September 2025, features significant advantages such as an 80% efficiency improvement and a 60% reduction in training time, with orders already being received from major clients in China and Vietnam [3] - The entry into the embroidery machine market is supported by technological synergies and customer base sharing with existing product lines, positioning the company favorably in a market projected to grow from $1.79 billion in 2024 to $2.28 billion by 2029, with a CAGR of 4.7% [3] Financial Projections - The company anticipates revenue growth from 6.4% in 2025 to 17.6% in 2026, reaching approximately 6.49 billion yuan in 2025 and 7.63 billion yuan in 2026. Net profit is expected to grow from 9.2 billion yuan in 2025 to 11.6 billion yuan in 2026, reflecting a 26% increase [5]