Minsheng Securities: Xunfei Ruijie's Q2 net profit increases quarter on quarter, maintains "buy" rating.

Minsheng Securities research report pointed out that Xunwang Ruijie is expected to achieve a net profit attributable to the mother of 180 million to 240 million yuan in the first half of the year, a year-on-year growth of 43.8% to 91.8%; in Q2 alone, the company is expected to achieve a net profit attributable to the mother of 140 million to 200 million yuan, a year-on-year increase of 41.4% to 91.8%, and a quarter-on-quarter increase of 227.3% to 369.8%. The accelerated delivery of internet data center switches combined with operational improvements led to a high increase in Q2 net profit on a year-on-year basis. The company continues to promote its core strategy of "ICT infrastructure and AI application solutions," while its subsidiary, Surging Information, focuses on the financial and information creation fields, driving product innovation through "information creation + AI," accelerating the upgrade of scenario-based solutions, and actively exploring diverse AI application scenarios. Xunwang Yiyi is expanding into the metaverse field, releasing the "Studio Digital Studio" solution during the reporting period, constructing a dynamic digital space through self-developed high-definition projection + metaverse integration technology + dedicated optical screen, creating an immersive creative space integrating sound, light, and electricity; leveraging DeepSeek to build an AI + KTV system, upgrading functions such as voice interaction and popular song reviews. The company's strong demand for data communication switches and efforts in the metaverse, visual networking, intelligent spaces, and intelligent payment AI application solutions open up growth space. Maintain a "recommended" rating.