Guotai Haitong: Initiates "buy" rating on GEEKPLUS-W(02590) with a target price of HKD 32.76.

Guotai Haitong released a research report stating that they are initiating coverage of GEEKPLUS-W (02590) for the first time with a "Buy" rating. The company is the world's largest provider of warehousing and fulfillment solutions for Siasun Robot & Automation. It achieved operating income of 1.03 billion yuan in the first half of 2025, an increase of 31.0% year-on-year. The bank predicts that the company's net profit attributable to shareholders will be 137 million yuan in 2025, 332 million yuan in 2026, and 606 million yuan in 2027, with revenues of 3.13 billion yuan, 4.03 billion yuan, and 5.12 billion yuan respectively. The company's main business structure is clear, with significant technological advantages. The bank uses a PS valuation method and ultimately gives the company a 2026 PS valuation of 10.0 times, corresponding to a market value of 40.3 billion yuan, and a target price of 32.76 Hong Kong dollars (calculated at an exchange rate of 1 Hong Kong dollar to 0.92 yuan). Guotai Haitong's main points are as follows: Global business is growing rapidly, with stable growth in income and orders In terms of business segments in the first half of 2025, the sales income of Siasun Robot & Automation solutions was 1.024 billion yuan, an increase of 31.5% year-on-year, accounting for 99.9% of the company's total income; income from RaaS services was 0.01 billion yuan. The company's technological innovation, commitment to product quality, and long-term reliable service have gained broad recognition and acceptance from over 850 end customers worldwide. The company has delivered over 66,000 Siasun Robot & Automation devices to more than 40 countries and regions globally, serving over 65 Fortune 500 companies, with a customer repeat purchase rate of over 80%. In the first half of 2025, the company recorded orders totaling 1.76 billion yuan, an increase of 30.1% compared to the same period in 2024. Increasing investment in intelligent warehousing research and development to further enhance industry leadership The company established Beijing Jizhijia Intelligent Technology Co., Ltd. on July 30, 2025, to enhance its leadership in the industry through the development of AI technology for Siasun Robot & Automation. By using "AI+Siasun Robot & Automation technology," the company aims to revolutionize traditional warehouse automation logic, achieve flexible scheduling of Siasun Robot & Automation through software algorithms, and provide end customers with user-friendly, technologically advanced intelligent solutions at a lower deployment cost and faster response speed. In addition, in the "AI + warehousing" scenario, the company will increase its investment in research and development of intelligent technologies such as robotic picking and general intelligent robotics, closely integrating them with its existing warehousing and automation business. Leveraging its brand and business network, the company aims to rapidly promote the widespread commercial use of its technology and products. Risk warning: Intensified industry competition, unexpected technological advancements, and delays in the commercialization of AI technologies.