Horizon Robotics-W's stock plummeted 7.03% during intraday trading on Friday, extending its recent downward trend.

The sharp decline follows the company's annual earnings report which revealed a full-year net loss of RMB 10.469 billion, swinging from profit to loss, with operating losses widening to RMB 3.339 billion. Market concerns over the company's profitability outlook intensified as gross margin for its product business declined sharply from 46.4% to 34.5%, representing a drop of nearly 12 percentage points.

Although Horizon Robotics-W previously open-sourced its HoloMotion-1 cerebellum large model for humanoid robot control and conducted share buybacks exceeding HK$270 million, the short-term sentiment boost from these initiatives has visibly faded. Additionally, mid-to-long-term competitive risks from OEM customers developing proprietary chips continue to pressure the company's valuation, making it difficult for the stock to sustain rebound momentum.