Western Securities Co.,Ltd. has initiated coverage on ROBOSENSE, assigning a "Buy" rating. The firm projects the company's total revenue for 2025-2027 to reach RMB 2.1 billion, RMB 3.56 billion, and RMB 4.51 billion, respectively. With rapid development across multiple business segments including L2/L4 autonomous driving and robotics, ROBOSENSE is expected to achieve significant growth in shipment volumes.
Key viewpoints from Western Securities are as follows: While some market participants believe the competition between LiDAR and pure vision solutions remains unresolved and that LiDAR's growth potential is limited, Western Securities contends that as a critical safety component, LiDAR is necessary in L2+ systems. LiDAR and millimeter-wave radar provide more accurate distance and speed information and demonstrate greater adaptability to varying light and weather conditions. Focusing solely on the L2+ vehicle market, the broker anticipates that models in the RMB 100,000+ price segment will eventually feature LiDAR as standard equipment. It is expected that both the number of LiDAR units per vehicle and the average selling price will increase. Considering diverse applications such as robotics, unmanned logistics, and automated warehouses, Western Securities believes the growth rate of the LiDAR market could exceed current market expectations.
ROBOSENSE maintains a lead in LiDAR technology iteration, with its chip-based and solid-state products forming core competitive barriers. The company was a pioneer in achieving mass production of automotive-grade solid-state LiDAR and has developed its proprietary M-Core SoC chip. This technological advantage supports the large-scale deployment of LiDAR in both ADAS and Robotaxi scenarios.
The company is achieving breakthroughs in multiple areas, including robotics and Robo+ applications, establishing a second growth curve to support long-term expansion. In robotics, ROBOSENSE has developed dexterous hands and ACCamera technology. Within the Robo+ sector, the company has established a comprehensive product partnership with Neolix in the unmanned delivery field and supplies its E1 solid-state LiDAR for several L4 vehicle models in the Robotaxi segment, while also expanding into industrial warehouse scenarios.
A key rationale is the acceleration of its global expansion and continuous improvement in profitability, highlighting operational resilience. ROBOSENSE has secured design-wins from several Sino-foreign joint ventures and overseas brands in international markets, with potential for accelerated breakthroughs in overseas project awards. The company achieved net profitability in the fourth quarter of 2025, demonstrating effective cost control alongside significant investment and paving the way for a gradual recovery in profits, underscoring its strong capabilities in cost reduction and expense management.
Risk factors include intensified competition in the autonomous driving sector, rapid technological changes in LiDAR, internal management risks, and a high degree of customer concentration.