DBS released a research report stating that HORIZONROBOT-W (09660) achieved first-half revenue growth of 68% year-over-year to RMB 1.6 billion, surpassing market expectations by 10%. The bank noted that the company maintains its fiscal year delivery target of 4 million units, with its high-end solution Horizon Superdrive set to begin mass production in the fourth quarter to boost sales volume.

DBS has raised its revenue forecasts for the current and next fiscal years by 22% each, projecting revenues of RMB 3.7 billion and RMB 6 billion respectively, representing year-over-year growth of 55% and 63%. Based on an unchanged 23x price-to-sales ratio forecast for next year, the bank has raised its target price from HK$10.4 to HK$11.5, maintaining a "Buy" rating.

The bank expects that by year-end, Horizon will consolidate its position as the leading player in mainland China's autonomous driving solutions industry.