Hesai Group

Total net revenues were RMB 861 million (USD 127 million), up approximately 22% year over year. Gross margin was 40%. GAAP net income was RMB 71 million (USD 10 million), up 60% year over year, and non-GAAP net income was RMB 101 million (USD 15 million). Lidar revenues were RMB 816 million (USD 120 million), while SGI revenues were RMB 45 million (USD 7 million). Total lidar shipments were over 628,000 units, with ADAS shipments over 485,000 units and robotics shipments over 142,000 units. For Q3 2026, management expects revenue of RMB 1.1 billion to RMB 1.15 billion and lidar shipments of 800,000 to 850,000 units. Full-year 2026 lidar shipment guidance remains 3 million to 3.5 million units, and full-year SGI revenue guidance was raised to RMB 200 million to RMB 300 million. Management also said SGI is expected to reach about USD 100 million in 2027 and breakeven in 2027, while full-year 2026 gross margin is expected to remain close to 40%.

David Li framed the quarter as a strategic inflection point, saying Hesai is expanding from a lidar supplier into a “full stack infrastructure platform” for robotics and physical AI. He emphasized three layers—see, understand, and act—through lidar, Kosmo, and actuation modules, and argued the company is building a broader platform with larger long-term addressable markets. His tone was highly optimistic and forward-looking, with repeated emphasis on real-world commercialization, customer validation, and scaling across automotive and robotics.

Andrew Fan highlighted that Hesai continued to grow at scale while investing in new initiatives. He cited RMB 861 million in revenue, 40% gross margin, RMB 71 million GAAP net income, and RMB 66 million operating profit in the core lidar segment, which he described as a strong cash-generating business. He also noted SGI’s first revenue contribution of RMB 45 million, raised full-year SGI revenue guidance to RMB 200 million to RMB 300 million, and said full-year gross margin should stay close to 40%; long term, he expects SGI margins above 40% and Kosmo to be structurally higher margin because of cloud services.

Analysts focused on actuation modules, SGI guidance, Kosmo commercialization, competitive pricing, Xiaomi share shifts, and shipment outlook. Management said Sharpa is both a revenue source and a real-world proving ground, with the annual cap for related-party product supply being raised from RMB 100 million to RMB 300 million, mostly for actuation modules; they also said SGI growth is running ahead of expectations because commercialization came faster than modeled. On Kosmo, management said more than 200 prospective partners have reached out, prototypes shipped in July, initial orders came within 7 days, and Q3 revenue is expected, but they are not yet disclosing customer-level TAM or order values.