SHANGHAI, China, May 20, 2024 (GLOBE NEWSWIRE) -- Hesai Group (“Hesai” or the “Company”), (NASDAQ: HSAI), the global leader in three-dimensional light detection and ranging (lidar) solutions, today announced its unaudited financial results for the three months ended March 31, 2024.
Operational Highlights
| Three months ended March 31, 2024 | |
| ADAS lidar shipments | 52,462 |
| Autonomous Mobility lidar shipments | 6,639 |
| Total lidar shipments | 59,101 |
Management Remarks
Yifan “David” Li, Hesai’s Co-Founder and CEO, commented, “In the first quarter, we delivered a resilient financial performance amid typical seasonal factors as well as slower demand in our robotaxi business compared with the previous year. Despite the challenges, our dedicated efforts yielded net revenues of RMB359.1 million (US$49.7 million) and total lidar shipments of 59,101 units in the first quarter, both exceeding our earlier forecasts. Moreover, our effective cost management endeavors and flywheel strategy are steadily driving us closer to attaining profitability by the fourth quarter of this fiscal year.
“The automotive sector continues to evolve rapidly, highlighted by the expanding integration of lidar technology into intelligent vehicles across a broader spectrum of price ranges. To navigate this trend, we maintain dual strategic development pathways for our ADAS product roadmap: ultimate performance and ultimate value-to-cost, exemplified by our two latest long-range ADAS products, the AT512 and ATX. These offerings provide appealing solutions at various price points to ensure that safety becomes a standard feature in every intelligent vehicle,” added Dr. Li. “On the business front, our leading-edge technology and proven track record continue to create tailwinds that propel our ongoing success. We are beyond thrilled to unveil recent collaborations with two esteemed new customers: a top global automotive OEM and a major global OEM’s joint venture. Notably, some of these customers had prior engagements with our peers, but have now chosen to partner with us for the first time. These partnerships are landmark commercial wins for us and reflect the substantial and steady stream of opportunities that lie ahead. As always, we remain committed to leading and fostering growth through innovation and leveraging technology to enhance safety, save lives and create a more intelligent global transportation system.”
Financial Highlights for the First Quarter of 2024
(in RMB millions, except for per ordinary share data and percentage)
| Q1 2024 | Q1 2023 | % Change | ||||
| Net revenues | 359.1 | 429.9 | -16.5% | |||
| Gross margin | 38.8% | 37.8% | ||||
| Loss from operations | (138.5) | (128.0) | 8.2% | |||
| Non-GAAP2 loss from operations | (100.7) | (7.5) | 1237.8% | |||
| Net loss | (106.9) | (118.9) | -10.1% | |||
| Non-GAAP net income/(loss) | (69.1) | 1.6 | ||||
| Net loss attributable to ordinary shareholders | (106.9) | (118.9) | -10.1% | |||
| Net loss per ordinary share-basic and diluted | (0.84) | (0.98) | -14.3% | |||
| Non-GAAP net income/(loss) per ordinary share – basic and diluted | (0.54) | 0.01 | ||||
Business Outlook
For the second quarter of 2024, the Company expects net revenues to be between RMB440 million (US$60.9 million) and RMB460 million (US$63.7 million), representing a year-over-year increase of approximately 0% to 4.5%.
The above outlook is based on the current market conditions and reflects the Company’s preliminary estimates of market and operating conditions, and customer demand, which are all subject to change.
Conference Call
The Company’s management will host an earnings conference call at 9:00 PM U.S. Eastern Time on May 20, 2024 (9:00 AM Beijing/Hong Kong Time on May 21, 2024).
For participants who wish to join the call by phone, please access the link provided below to complete the pre-registration process and dial in 5 minutes prior to the scheduled call start time. Upon registration, each participant will receive dial-in details to join the conference call.
| Event Title: | Hesai Group First Quarter 2024 Earnings Conference Call |
| Pre-registration Link: | https://s1.c-conf.com/diamondpass/10038728-9ct32d.html |
Additionally, a live and archived webcast of the conference call will be available on the Company’s investor relations website at https://investor.hesaitech.com.
A replay of the conference call will be accessible approximately an hour after the conclusion of the call until May 30, 2024, by dialing the following telephone numbers:
| United States: | +1-855-883-1031 |
| International: | +61-7-3107-6325 |
| Hong Kong, China: | 800-930-639 |
| China Mainland: | 400-120-9216 |
| Replay PIN: | 10038728 |
About Hesai
Hesai is the global leader in three-dimensional light detection and ranging (lidar) solutions. The Company’s lidar products enable a broad spectrum of applications across passenger and commercial vehicles with advanced driver assistance systems (ADAS) and autonomous vehicle fleets (autonomous mobility). Hesai's technology also empowers robotics applications such as last-mile delivery robots and logistics robots in restricted areas. The Company’s commercially validated solutions are backed by superior research and development capabilities across optics, mechanics, electronics, and software. Hesai integrates lidar designs with an in-house manufacturing process, facilitating rapid product development while ensuring high performance, consistent quality and affordability. Hesai has established strong relationships with leading automotive OEMs, autonomous vehicle, and robotics companies worldwide, covering over 40 countries as of December 31, 2023.
Use of Non-GAAP Financial Measures
To supplement Hesai's consolidated financial results presented in accordance with GAAP, Hesai uses the following measures defined as non-GAAP financial measures by the SEC: loss from operation excluding share-based compensation expenses, net income excluding share-based compensation expenses, net income attributable to ordinary shareholders excluding share-based compensation, and per ordinary share net income attributable to ordinary shareholders excluding share-based compensation. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. For more information on these non-GAAP financial measures, please see the tables captioned “Unaudited Reconciliations of GAAP and Non-GAAP Results” set forth at the end of this release.
Hesai believes that these non-GAAP financial measures provide meaningful supplemental information regarding its performance and liquidity by excluding share-based compensation expenses that may not be indicative of its operating performance from a cash perspective. Hesai believes that both management and investors benefit from referring to these non-GAAP financial measures in assessing its performance and when planning and forecasting future periods. These non- GAAP financial measures also facilitate management's internal comparisons to Hesai's historical performance and liquidity. Hesai believes these non-GAAP financial measures are useful to investors in allowing for greater transparency with respect to supplemental information used by management in its financial and operational decision making. A limitation of using these non-GAAP financial measures is that they exclude share-based compensation expenses that have been and will continue to be for the foreseeable future a significant recurring expense in our business. Management compensates for these limitations by providing specific information regarding the GAAP amounts excluded from each non-GAAP financial measure. The accompanying tables have more details on the reconciliations between GAAP financial measures that are most directly comparable to non-GAAP financial measures.
Exchange Rate Information
This announcement contains translations of certain RMB amounts into U.S. dollars at a specified rate solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars and from U.S. dollars to RMB are made at a rate of RMB7.2203 to US$1.00, the exchange rate on March 29, 2024, set forth in the H.10 statistical release of the Federal Reserve Board. The Company makes no representation that the RMB or U.S. dollars amounts referred could be converted into U.S. dollars or RMB, as the case may be, at any particular rate or at all.
Safe Harbor Statement
This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “aims,” “future,” “intends,” “plans,” “believes,” “estimates,” “confident,” “potential,” “continue” or other similar expressions. Among other things, the business outlook and quotations from management in this announcement, as well as the Company’s strategic and operational plans, contain forward-looking statements. The Company may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”), in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including but not limited to statements about the Company’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: the Company’s goals and strategies; the Company’s future business development, financial condition and results of operations; expected changes in the Company’s revenues, costs or expenditures; the trends in, expected growth and the market size of the ADAS, autonomous mobility and robotics industries; the market for and adoption of lidar and related technology; the Company’s ability to produce high-quality products with wide market acceptance; the success of the Company’s customers in developing and commercializing products using its solutions, and the market acceptance of those products; the Company’s ability to introduce new products that meet its customers’ requirement; the Company’s expectations regarding the effectiveness of its marketing initiatives and the relationship with its third-party partners; competition in the Company’s industry; the Company’s ability to recruit and retain qualified personnel; relevant government policies and regulations relating to the Company’s industry; the Company’s ability to protect its systems and infrastructures from cyber-attacks; general economic and business conditions globally and in China; and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in the Company’s filings with the SEC. All information provided in this press release and in the attachments is as of the date of this press release, and the Company undertakes no obligation to update any forward-looking statement, except as required under applicable law.
For investor and media inquiries, please contact:
In China:
Hesai Group
Yuanting “YT” Shi, Investor Relations Director
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.
Piacente Financial Communications
Jenny Cai
Tel: +86 (10) 6508-0677
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.
In the United States:
Piacente Financial Communications
Brandi Piacente
Tel: +1-212-481-2050
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.
| HESAI GROUP UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (All amounts in thousands, except share and per share data and otherwise noted) | |||||||||
| As of | |||||||||
| December 31, 2023 | March 31, 2024 | ||||||||
| RMB | RMB | US$ | |||||||
| ASSETS | |||||||||
| Current assets: | |||||||||
| Cash and cash equivalents | 1,554,583 | 1,563,496 | 216,542 | ||||||
| Restricted cash | 3,541 | 3,548 | 491 | ||||||
| Short-term investments | 1,586,005 | 1,262,855 | 174,903 | ||||||
| Notes receivables | - | 717 | 99 | ||||||
| Accounts receivable, net | 524,818 | 570,376 | 78,996 | ||||||
| Contract assets | 19,688 | 19,688 | 2,727 | ||||||
| Amounts due from related parties | 5,015 | 5,018 | 695 | ||||||
| Inventories | 495,877 | 634,686 | 87,903 | ||||||
| Prepayments and other current assets | 208,082 | 230,157 | 31,876 | ||||||
| Total current assets | 4,397,609 | 4,290,541 | 594,232 | ||||||
| Non-current assets: | |||||||||
| Property and equipment, net | 871,611 | 904,567 | 125,281 | ||||||
| Long-term investments | 78,730 | 31,800 | 4,404 | ||||||
| Intangible assets, net | 40,743 | 75,113 | 10,403 | ||||||
| Land-use rights, net | - | 40,527 | 5,613 | ||||||
| Goodwill | 31,811 | - | - | ||||||
| Right-of-use assets | 151,871 | 137,768 | 19,081 | ||||||
| Other non-current assets | 90,168 | 106,010 | 14,682 | ||||||
| Total non-current assets | 1,264,934 | 1,295,785 | 179,464 | ||||||
| TOTAL ASSETS . | 5,662,543 | 5,586,326 | 773,696 | ||||||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||
| Current liabilities: | |||||||||
| Short-term borrowings | 111,682 | 161,750 | 22,402 | ||||||
| Notes payable | 7,255 | 26,568 | 3,680 | ||||||
| Accounts payable | 269,439 | 336,110 | 46,551 | ||||||
| Contract liabilities | 79,925 | 41,584 | 5,759 | ||||||
| Amounts due to related parties | 340,051 | 337,923 | 46,802 | ||||||
| Accrued warranty liability | 28,425 | 29,815 | 4,129 | ||||||
| Accrued expenses and other current liabilities | 498,324 | 354,492 | 49,094 | ||||||
| Total current liabilities | 1,335,101 | 1,288,242 | 178,417 | ||||||
| Non-current liabilities | |||||||||
| Operating lease liabilities | 119,413 | 115,452 | 15,990 | ||||||
| Long-term borrowings | 285,898 | 326,553 | 45,227 | ||||||
| Other non-current liabilities | 59,813 | 56,018 | 7,758 | ||||||
| Total non-current liabilities | 465,124 | 498,023 | 68,975 | ||||||
| TOTAL LIABILITIES | 1,800,225 | 1,786,265 | 247,392 | ||||||
| Shareholders’ Equity | |||||||||
| Class A Ordinary shares | 19 | 19 | 3 | ||||||
| Class B Ordinary shares | 67 | 67 | 9 | ||||||
| Additional paid-in capital | 7,423,862 | 7,465,442 | 1,033,952 | ||||||
| Subscription receivables | (292,721 | ) | (292,721 | ) | (40,541 | ) | |||
| Accumulated other comprehensive income (loss) | 38,440 | 41,528 | 5,752 | ||||||
| Accumulated deficit | (3,307,349 | ) | (3,414,274 | ) | (472,871 | ) | |||
| TOTAL SHAREHOLDERS’ EQUITY | 3,862,318 | 3,800,061 | 526,304 | ||||||
| TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | 5,662,543 | 5,586,326 | 773,696 | ||||||
| HESAI GROUP UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (All amounts in thousands, except share and per share data and otherwise noted) | |||||||||
| Three months ended March 31, | |||||||||
| 2023 | 2024 | ||||||||
| RMB | RMB | US$ | |||||||
| Net revenues | 429,930 | 359,120 | 49,738 | ||||||
| Cost of revenues | (267,304 | ) | (219,898 | ) | (30,456 | ) | |||
| Gross profit | 162,626 | 139,222 | 19,282 | ||||||
| Operating expenses: | |||||||||
| Sales and marketing expenses | (35,363 | ) | (41,964 | ) | (5,812 | ) | |||
| General and administrative expenses | (49,544 | ) | (68,767 | ) | (9,524 | ) | |||
| Research and development expenses | (208,496 | ) | (194,402 | ) | (26,924 | ) | |||
| Other operating income, net | 2,771 | 27,456 | 3,803 | ||||||
| Total operating expenses | (290,632 | ) | (277,677 | ) | (38,457 | ) | |||
| Loss from operations | (128,006 | ) | (138,455 | ) | (19,175 | ) | |||
| Interest income | 16,134 | 32,795 | 4,542 | ||||||
| Interest expenses | (461 | ) | (2,286 | ) | (317 | ) | |||
| Foreign exchange income/(loss), net | (6,415 | ) | 1,493 | 207 | |||||
| Other loss, net | (167 | ) | (212 | ) | (29 | ) | |||
| Net loss before income tax and share of loss in equity method investments | (118,915 | ) | (106,665 | ) | (14,772 | ) | |||
| Income tax benefit/(expense) | 17 | (248 | ) | (34 | ) | ||||
| Share of loss in equity method investment | (11 | ) | (12 | ) | (2 | ) | |||
| Net loss | (118,909 | ) | (106,925 | ) | (14,808 | ) | |||
| Net loss attributable to ordinary shareholders of the Company | (118,909 | ) | (106,925 | ) | (14,808 | ) | |||
| Net loss per share: | |||||||||
| Basic and diluted | (0.98 | ) | (0.84 | ) | (0.12 | ) | |||
| Weighted average ordinary shares used in calculating net loss per share: | |||||||||
| Basic and diluted | 121,175,064 | 127,336,569 | 127,336,569 | ||||||
| Net loss | (118,909 | ) | (106,925 | ) | (14,809 | ) | |||
| Other comprehensive loss, net of tax of nil: | |||||||||
| Foreign currency translation adjustments | 12,948 | 3,088 | 428 | ||||||
| Comprehensive loss, net of tax of nil | (105,961 | ) | (103,837 | ) | (14,380 | ) | |||
| HESAI GROUP UNAUDITED RECONCILIATIONS OF GAAP AND NON-GAAP RESULTS (All amounts in thousands, except share and per share data and otherwise noted) | ||||||||
| For the three months ended March 31, | ||||||||
| 2023 | 2024 | |||||||
| RMB | RMB | US$ | ||||||
| Loss from operations | (128,006 | ) | (138,455 | ) | (19,175 | ) | ||
| Add: Share-based compensation expenses | 120,481 | 37,800 | 5,235 | |||||
| Non-GAAP loss from operations | (7,525 | ) | (100,655 | ) | (13,940 | ) | ||
| Net loss | (118,909 | ) | (106,925 | ) | (14,808 | ) | ||
| Add: Share-based compensation expenses | 120,481 | 37,800 | 5,235 | |||||
| Non-GAAP net income/(loss) | 1,572 | (69,125 | ) | (9,573 | ) | |||
| Net loss attributable to ordinary shareholders of the Company | (118,909 | ) | (106,925 | ) | (14,808 | ) | ||
| Add: Share-based compensation expenses | 120,481 | 37,800 | 5,235 | |||||
| Non-GAAP net income/(loss) attributable to ordinary shareholders of the Company | 1,572 | (69,125 | ) | (9,573 | ) | |||
| Loss per share: Basic and diluted | (0.98 | ) | (0.84 | ) | (0.12 | ) | ||
| Add: Share-based compensation expenses | 0.99 | 0.30 | 0.04 | |||||
| Non-GAAP net income/(loss) per ordinary share – basic and diluted | 0.01 | (0.54 | ) | (0.08 | ) | |||
____________________________
1 All translations from RMB to USD for the first quarter of 2024 were made at the exchange rate of RMB7.2203 to US$1.00, the exchange rate on March 29, 2024, set forth in the H.10 statistical release of the Federal Reserve Board.
2 See “Use of Non-GAAP Financial Measures” and “Unaudited Reconciliation of GAAP and Non-GAAP Results” included in this release for further details.
| Last Trade: | US$14.47 |
| Daily Change: | 1.61 12.52 |
| Daily Volume: | 4,462,090 |
| Market Cap: | US$1.410B |
December 06, 2024 December 05, 2024 November 25, 2024 October 22, 2024 October 01, 2024 | |
Hillcrest Energy Technologies is a clean technology company developing high value, high performance power conversion technologies and digital control systems for next-generation powertrains and grid-connected renewable...
CLICK TO LEARN MORE
Surf Air Mobility is a regional air mobility platform expanding the category of regional air travel to reinvent flying through the power of electrification. In an effort to substantially reduce the cost and environmental impact of...
CLICK TO LEARN MORE
