Smartsens Technology (Shanghai) (SH:688213)2026-01-09 05:13Summary of SmartSens Conference Call Company Overview - Company: SmartSens (688213.SS) - Industry: CMOS Image Sensor (CIS) supplier - Key Markets: Automotive, smartphones, surveillance, and robotics - Key Clients: Huawei, BYD, Hikvision, Dahua [3][4] Key Points 1. Smartphone CIS Business - Management is optimistic about the smartphone CIS market, driven by brand clients focusing on AI imaging capabilities [1][4] - The company has seen a 40% YoY increase in smartphone CIS revenue, reaching Rmb1.8 billion, which constitutes 46% of total revenues [3] - The growth is attributed to the ramp-up of 50Mpx CIS and a shift towards high-end smartphone models [3][4] - Rising material costs are prompting smartphone brands to improve their cost structures [4] 2. Automotive CIS Business - Strong growth in the automotive CIS sector is expected, with management anticipating continued momentum into 2026 [1][8] - SmartSens is collaborating with local EV leaders and foundries like Nexchip to enhance product launch efficiency [8] - The company is developing high-end products targeting 8Mpx CIS for Advanced Driver Assistance Systems (ADAS) [8] 3. Overseas Expansion Plans - SmartSens plans to expand its overseas business, focusing on CIS for smartphones, automobiles, and innovative products like AI glasses [1][9] - The strategy includes starting with one to two clients to gain experience before expanding to more brands [9] - The company aims to serve top-tier automobile brands in international markets, leveraging its competitiveness in AI glasses CIS [9] 4. Industry Outlook - The overall sentiment in the CIS market is positive, with expectations for local suppliers to benefit from specification upgrades and localization trends in China [2] - Emerging applications such as AI glasses and robotics are anticipated to support revenue growth for local CIS suppliers [2] 5. Financial Performance - In the first half of 2025, the revenue breakdown was 46% from smartphones, 41% from surveillance, and 13% from automotive CIS [3] - The company’s mature supply chain management is highlighted as a competitive advantage, particularly in offering high cost-performance ratio products [7] Additional Insights - Management emphasizes the importance of co-designing next-generation products with major brand customers to meet evolving specifications [4] - The company’s R&D and manufacturing capabilities are noted for their efficiency, allowing for quick responses to client demands [4] This summary encapsulates the key insights from the SmartSens conference call, highlighting the company's strategic focus areas, market dynamics, and financial performance.