Key Takeaways:
Horizon Robotics swung to a RMB 3.78 billion first-half profit, reversing a year-earlier loss, as revenue rose 32.9 percent.
The company's ADAS market share among domestic brands surpassed 50 percent in the first half, roughly double its nearest rival, cementing its lead in China's intelligent-vehicle upgrade, the company said in a Hong Kong exchange filing.
Revenue from continuing operations reached RMB 2.055 billion, with gross profit of RMB 1.356 billion, both up 32.9 percent year on year. Operating losses widened and adjusted net loss grew 25.4 percent, reflecting continued investment in intelligent-driving platforms.
The headline profit was driven by the deconsolidation of D-Robotics and related accounting effects, the company said. Analysts rate the shares a Buy with a HK$9.10 price target, according to TipRanks data.
Horizon Robotics (地平线机器人), a Cayman Islands-incorporated company listed in Hong Kong, develops high-computing-power platforms and all-scenario assisted driving technologies for Chinese passenger car makers, particularly domestic brands in the fast-growing intelligent-vehicle segment. The structural industry shift toward higher-value urban NOA functions enhances the company's content per vehicle and supports its expansion prospects in advanced driving solutions.
The stock traded down 0.53 percent, with a market capitalization of HK$75.32 billion. The company did not disclose an interim dividend or earnings per share.
The profit turnaround marks a milestone for the autonomous-driving chip maker as China's adoption of advanced assisted driving accelerates. Investors will watch whether the company can narrow its adjusted losses as it scales urban NOA deployments across domestic automaker models.
This article is for informational purposes only and does not constitute investment advice.
