Income increases by 90%, leading global Robotaxi company WeRide Technologies (0800.HK, WRD.US): Robotaxi enters harvesting period.

Revenue continues to double and grow, WeRide (0800.HK, WRD.US) Robotaxi accelerates commercialization at scale, securing the top position in the global Robotaxi market. It is understood that on March 23rd, WeRide released its 2025 Q4 and annual performance, with revenues of 314 million and 685 million respectively, an increase of 123% and 90% year-on-year, exceeding analyst expectations by 30% and 15% for quarterly and annual revenues, respectively. Profitability has improved significantly, with the company's gross margin in 2025 at 30.2%, remaining at the industry-leading level. With the scale effect + cost control, the company's net loss continues to narrow, decreasing by 34.2% year-on-year. This explosive growth is attributed to the performance release of the Robotaxi business, with revenues in Q4 and for the year reaching 51 million and 150 million respectively, an increase of 66.4% and 209.6% year-on-year, contributing 16.24% and 21.9% of the total revenue. It is worth noting that WeRide also announced a $100 million share repurchase plan, demonstrating the management's strong confidence in the company's long-term value and future development. The repurchase plan was officially implemented on March 24th. The global Robotaxi industry is entering a phase of accelerated commercialization, with WeRide leading the way in commercialization at home and abroad, collaborating with automotive manufacturers to establish a comprehensive product matrix with cutting-edge technology, solidifying market share and becoming the largest beneficiary in the global market. Diversified revenue growth driven by a capital reserve of 7.1 billion Looking through WeRide's financial reports, the quarterly performance continues to show explosive growth, with revenue growth rates of 1.77%, 60.73%, 144.21%, and 122.97% in 2025 Q1-Q4. In terms of business segments, product revenue saw a significant increase, with the company's product revenue reaching 360 million in 2025, a 310.3% year-on-year increase, accounting for 52.6% of total revenue. This growth was mainly driven by diverse growth in scenarios such as autonomous driving taxis, autonomous minibusses, and unmanned sanitation vehicles. Robotaxi revenue reached about 150 million in 2025, up 209.6% year-on-year. Additionally, the company's other technology services revenue, mainly focused on technology exports, reached 199 million, a 20.7% year-on-year increase, contributing 29% of the total revenue. Robotaxi stood out in this performance, with a compound annual growth rate of revenue of 127.4% from 2023 to 2025, contributing to a 14.59 percentage point increase in revenue during this period, becoming the core engine of the company's revenue growth. WeRide focuses on balancing scale and profitability, continuously improving profitability through operating leverage and cost optimization. In 2025, various expenses were significantly optimized, with the sales expense ratio down by 4.19 percentage points and the administrative expense ratio down by 228.5 percentage points. It is worth mentioning that the company has continued to increase its investment in research and development, with R&D spending reaching 1.372 billion during this period, a 25.76% year-on-year increase. The company also has ample cash flow, with a capital reserve of 7.1 billion as of December 2025, to meet the demand for product research and development investment and global market expansion. In fact, 2026 will be the year of explosive growth for Robotaxi, with opportunities and challenges coexisting. On the one hand, the industry competition is fierce, with major players like Tesla, Inc. and Xiaopeng accelerating their deployment, while tech companies like Uber joining the competition. On the other hand, every participant in the industry has the opportunity to benefit from the market boom, and companies with strong product technology capabilities will gain a larger market share, including WeRide. With Robotaxi entering a period of harvest, the company has strong growth prospects, driven by its robust research and technology capabilities. In 2026, it is expected to enter a period of explosive growth, with three key market demands: global licenses, mass production capabilities, and global expansion. Firstly, WeRide has the most automatic driving licenses globally. As of 2025, the company's products have obtained automatic driving licenses in eight countries, including China, the UAE, Singapore, France, the US, Saudi Arabia, Belgium, and Switzerland, placing it at the forefront of the industry. Owning licenses is a necessary condition for regional commercial operations, and the time required to obtain and upgrade licenses is difficult for new entrants to shorten quickly, providing the company with a commercialization advantage. Secondly, the company has global mass production capabilities. As of now, the company's global Robotaxi fleet has reached 1,125 vehicles, with around 200 in the Middle East and over 800 in China. According to the plan, with Uber announcing the deployment of at least 1,200 Robotaxis in the Middle East by 2027, the company will deploy 2,600 Robotaxis globally by the end of 2026, and tens of thousands by 2030. Lastly, global expansion is accelerating. The company's Robotaxi has successfully entered over 10 core cities globally, covering Beijing, Guangzhou, Abu Dhabi, Dubai, Riyadh, Singapore, Zurich, among others. From a regional perspective, it has penetrated markets in China, the US, Southeast Asia, the Middle East, and Europe. In terms of users, the company has launched the WeRide Travel independent app and mini-program, while its autonomous driving rental service is integrated with mainstream travel platforms such as Tencent Travel Service and Amap. It will also soon be available on Tencent Maps, enriching its user acquisition channels. In Q4 of 2025, the company's registered Chinese users of autonomous driving taxis grew by over 900% year-on-year. With global expansion, a large user base will become a competitive barrier for the company. Importantly, some cities where WeRide operates are close to achieving single-vehicle breakeven. For instance, in the Abu Dhabi fleet, it was revealed that 50% of the core urban areas in Abu Dhabi have achieved pure unmanned commercial operation, with an average of 15 trips per day and an average distance of 7km per trip, nearing single-vehicle breakeven. The successful experience of the Abu Dhabi fleet can be replicated, significantly shortening the breakeven period for overseas market deployments. The industry outlook is very optimistic, with projections showing that by 2030, the Robotaxi fleet in first and second-tier cities in China is expected to reach 1.01 million, with a penetration rate of around 25%. Assuming an average annual distance of 120,000 kilometers per vehicle and an average fare of 2 yuan per kilometer, the market size of Robotaxis in first and second-tier cities in China alone is expected to reach 242.4 billion yuan by 2030. Globally, assuming that the shared mobility market remains similar to current levels by 2030, at around $315 billion, with a Robotaxi penetration rate of 20%, the Robotaxi market size would be around $63 billion, approximately 500 billion yuan. WeRide's strong fundamentals have been well received by major investment banks, with CMSC forecasting revenues of 550 million, 950 million, and 2.01 billion for the 2025 to 2027 fiscal years, with year-on-year growth rates of 52.7%, 72.1%, and 112%, respectively. Soochow predicts total business revenues of 555 million, 945 million, and 987 million for 2025-2027. Overall, WeRide's diversified revenue growth has exceeded expectations, with Robotaxi entering a period of harvest and becoming one of the core growth engines, significant profit improvements, ample cash flow, increased investment in R&D creating a strong technological barrier. Coupled with the advantages of global licenses, mass production capabilities, and accelerated global expansion, combined with industry prospects, point to sustained high growth for the company in 2026. Based on the strong fundamentals, WeRide's current valuation provides excellent value for long-term investment. As performance gradually materializes, its long-term strategic value and potential will be further highlighted and enhanced.