SERES Reports Q1 2025 Revenue of 25.75 Billion Yuan, Up 34.5% Year-over-Year

SERES Delivers Q1 Report Card: Revenue Surges but Profits Under Pressure

At the end of April, SERES officially disclosed its first-quarter 2025 financial results. The data shows that the company achieved operating revenue of 25.746 billion yuan in Q1, a year-over-year increase of 34.46%. Net profit attributable to shareholders of the listed company came in at 754 million yuan, up just 0.89% year-over-year. While the revenue side maintained a high-growth trajectory, net profit growth notably decelerated, exhibiting a classic case of "rising revenue without rising profits."

Behind the Revenue Surge: AITO's Continued Sales Momentum

SERES' robust revenue growth is primarily driven by the sustained strong sales of AITO brand vehicles, developed through its deep partnership with Huawei. Since its launch, the AITO M9 has consistently ranked among the top-selling premium new energy SUVs, while models like the AITO M7 have also maintained strong market appeal. In the smart electric vehicle arena, SERES has become a formidable force in the new energy market, powered by Huawei's intelligent driving technology.

The Q1 revenue of 25.746 billion yuan signals that SERES' brand momentum and channel capabilities are accelerating, with product delivery cadence steadily improving.

Slowing Profit Growth Raises Market Concerns

Notably, despite revenue growing over 34% year-over-year, net profit attributable to shareholders only edged up 0.89% to 754 million yuan. This figure reflects the squeeze on profitability caused by the ongoing "price war" in the new energy vehicle industry.

From an industry-wide perspective, competition in China's domestic new energy vehicle market has intensified dramatically since the start of 2025, with major automakers rolling out price cuts and promotional strategies to capture market share, compressing profit margins to varying degrees. Additionally, SERES' continued investment in R&D, channel expansion, and brand marketing has also put some pressure on short-term profit performance.

Intelligent Technology Strategy Remains the Key Highlight

The SERES-Huawei partnership model has consistently been a focal point for capital markets. Huawei's technological advantages in smart cockpit and intelligent driving have built a differentiated competitive moat for the AITO brand. As Huawei's ADS intelligent driving system continues to iterate and upgrade, AITO models are expected to further widen the gap with competitors in terms of smart driving experience.

Against the backdrop of AI technology rapidly penetrating the automotive industry, intelligent driving and the integration of AI large models into vehicles have become definitive industry trends. Leveraging the Huawei ecosystem, SERES holds a favorable position in this space.

Outlook: Scale Effects and Profitability Improvement on the Horizon

Looking ahead to subsequent quarters, as new AITO models are progressively launched and capacity utilization rates continue to improve, SERES' economies of scale are expected to gradually materialize. The market widely anticipates that once sales volume surpasses certain thresholds, the company's per-vehicle costs will continue to decline and profitability will reach an inflection point.

However, amid persistently intensifying industry competition, whether SERES can achieve meaningful profit improvement while maintaining high growth remains a core question that investors will be watching closely.