EB SECURITIES: Maintains "Accumulate" rating on MINIEYE (02431) with potential for growth driven by L2+ and L4 dual-wheel drive.

Recently, EB SECURITIES released a performance review of MINIEYE (02431) for the full year 2025. The company's revenue has steadily increased, gross profit has continuously improved, and the intelligent driving, intelligent cockpit, and L4 autonomous vehicle businesses have blossomed. The strategic layout of "L2+ and L4 dual-drive" has officially taken shape, and EB SECURITIES maintains a "buy" rating for the company, with sufficient long-term growth momentum. The report indicates that in 2025, MINIEYE achieved an annual operating income of 759 million yuan, a year-on-year increase of 16.0%. Gross profit was 141 million yuan, a year-on-year increase of 35%, with a gross profit margin of 18.6%, an increase of 2.6 percentage points from 2024. Among them, revenue from intelligent components and solutions was 649 million yuan, a year-on-year increase of 10.4%, accounting for 85.5% of revenue, mainly driven by the increase in shipments of mid- to high-end intelligent driving and intelligent cockpit products. Specifically, the iSafety business has benefited from the implementation of industry standards, with MINIEYE securing AEBS projects from multiple mainstream commercial vehicle manufacturers in China. With the requirement for AEBS installation in commercial vehicles in 2026, the company's contracted quantity is expected to further expand. The iPilot business has entered a stage of scale production, with customers including leading domestic brands, state-owned enterprises, high-end SUV manufacturers, and rugged off-road brands. The iPilot 4 series of products has been mass-produced and delivered, driving continued performance growth. As for the intelligent cockpit, MINIEYEDMS products have passed the international evaluation of ASPICE V4.0 CL3, and business expansion has extended to joint venture brands and luxury car brands. The company has also launched the AI cockpit large model "BamBam," focusing on high-end cockpit intelligent interaction to enhance product competitiveness. In 2025, MINIEYE's autonomous vehicle and operation service business achieved a historic breakthrough from 0 to 1. In its first year of commercialization, this business generated approximately 65 million yuan in revenue, rapidly increasing its share of total revenue to 8.6%. The unmanned logistics focus on urban end-to-end transportation and distribution scenes, with the "Xiaozhu" unmanned logistics vehicle deployed in 18 cities such as Guangzhou, Changsha, and Chongqing, covering various scenarios such as express delivery, cold chain, and automotive parts delivery, with over 6,000 cooperating vehicles. Unmanned minibuses have commenced operations in industrial parks, commuting routes, and airport scenes in cities such as Shanghai, Suzhou, and Hangzhou. It has also won the bid for the unmanned driver shuttle project at Ezhou Huahu International Airport, achieving a significant breakthrough in airport scenarios. EB SECURITIES predicts that MINIEYE's revenue for 2026-2028 will be 1.345 billion yuan, 2.203 billion yuan, and 2.943 billion yuan respectively. The firm believes that with the implementation of AEBS and DMS policies, there is still considerable room for improvement in the penetration rate of high-end assisted driving and intelligent cockpit technologies in the medium to long term. Coupled with the expanding application scenarios of L4 autonomous driving, the company's performance is expected to maintain a high growth rate, leading to a "buy" rating. While achieving stable growth in performance, MINIEYE has recently announced a share repurchase program, cumulatively repurchasing approximately 120 million Hong Kong dollars worth of shares through open market transactions, solidifying the long-term value foundation with concrete actions and demonstrating the management's firm confidence in the company's future development prospects. EB SECURITIES' continued recognition of the company's fundamentals and growth logic further enhances the company's visibility and credibility in the capital market, strengthening its industry influence and opening up upward potential for the revaluation of the company's value.