During the Track Record Period, our inventory turnover days were relatively high as a result of a few factors.
Financial Information · p. 267
Based on the above considerations, as of December 31, 2023, 2024 and 2025, the write down provision of inventory was RMB1.2 million, RMB1.4 million and RMB2.7 million, respectively, representing 1.7%, 3.1% and 4.3% of the gross amounts of inventories before impairment.
Financial Information · p. 267
Moreover, during the Track Record Period, we did not encounter material fluctuations of our solutions and recorded a relatively high gross profit margin (generally higher than 40%), i.e. we did not encounter situations where the selling price cannot cover the relevant costs which will lead to an impairment of inventories.
Our inventories increased by 5.3% from RMB3,511.8 million as of December 31, 2023 to RMB3,698.7 million as of December 31, 2024 and further increased by 26.6% to RMB4,682.7 million as of December 31, 2025, primarily due to an increase in production volume driven by robust customer demand.
Financial Information · p. 213
Our provision for inventory impairment increased from RMB154.9 million as of December 31, 2023 to RMB202.3 million as of December 31, 2024 and further to RMB301.0 million as of December 31, 2025, primarily due to (i) a slowdown in the delivery of certain component inventories in our precision components for smart devices and electronic products, and (ii) a decrease in net realizable value of inventories for key mechanical components and connectivity components for new energy, as a result of intense market competition.
Financial Information · p. 214
As of March 31, 2026, RMB4,688.1 million, or 94.1% of inventories as of December 31, 2025, had been used, consumed or sold.
We had inventories of RMB120.6 million, RMB139.5 million and RMB244.7 million as of December 31, 2023, 2024 and 2025, respectively.
Financial Information · p. 230
Our provision rate for inventory impairment is higher than the average of the other top five domestic light-industry robot and solution providers in China, which are long-established with larger scale and longer operating histories.
Financial Information · p. 232
Our inventory turnover days decreased from 297 days in 2023 to 241 days in 2024, and remained relatively stable at 241 days in 2025.
Our inventories decreased from RMB211.7 million as of December 31, 2024 to RMB187.9 million as of December 31, 2025, primarily due to the consumption of raw materials in production and R&D.
Financial Information · p. 274
As of December 31, 2024 and 2025, the balances of provision of inventory impairment were RMB17.0 million and RMB22.8 million, respectively, which we believe to be adequate by taking into account the factors including the expiry dates of the inventories and the expected future demand of relevant products.
Financial Information · p. 274
Moreover, we believe there is no recoverability issue for our work in progress because, by the end of December 31, 2025, the age of our inventories was mostly within two years and there was no denosumab bulk solution with a pending expiry date.
The carrying value of our inventories before provision for impairment decreased from RMB133.3 million as of December 31, 2023 to RMB105.9 million as of December 31, 2024, primarily due to a decrease of RMB18.6 million in finished goods of VC products as a result of more sales driven by strong market demand.
Financial Information · p. 190
We recorded provision for impairment on inventories of RMB25.7 million, RMB18.8 million and RMB7.0 million as of December 31, 2023, 2024 and 2025, respectively.
Financial Information · p. 190
This provision level was consistent with the level of difference between our selling prices and the book value of our inventories.
We recorded provision of impairment for inventories of RMB55.3 million, RMB11.6 million and RMB15.8 million in 2023, 2024 and 2025, respectively.
Financial Information · p. 186
First, we had strategically procured a large volume of wafer and other raw materials based on projected customer demand and market condition in 2022.
Financial Information · p. 186
Our relatively long inventory turnover days were primarily due to our fabless model, under which wafer fabrication and chip packaging and testing are handled by our suppliers, typically involving a production cycle of over six months.
In 2023, 2024 and 2025, we made provision for inventory write-down of RMB36.0 million, RMB59.3 million and RMB42.5 million, respectively.
Financial Information · p. 231
Our inventory turnover days then increased to 106 days in 2025, primarily due to the increased proportion of overseas sales, and the relevant inventory turnover is typically slower.
Financial Information · p. 232
As of February 28, 2026, RMB118.9 million, or 45.3% of our inventory as of December 31, 2025 had been utilized or sold.
In terms of turnover, our inventory turnover days were 94 days, 52 days and 38 days in the year ended December 31, 2023, 2024 and 2025, respectively, which was mostly in line with the fluctuations of our trading operations.
Financial Information · p. 240
Our inventories decreased by 16.5% from RMB1,484.6 million as of December 31, 2023 to RMB1,240.1 million as of December 31, 2024, primarily due to the decreased completion of work in progress.
Financial Information · p. 240
As of January 31, 2026, RMB417.7 million or 36.0% of the inventories as of December 31, 2025 had been subsequently utilized.
During the Track Record Period, we maintained a relatively high level of provision for impairment losses on inventories, primarily due to the accumulation of raw materials in response to projected customer orders and business expansion in prior years.
Financial Information · p. 242
Our inventory turnover days decreased from 217.4 days in 2023 to 137.7 days in 2024, primarily due to our enhanced management of inventories and our improved operating performance.
Financial Information · p. 242
In light of the above assessment procedures, and the inventory management measures and arrangements to prevent obsolescence as set out in “Business — Procurement, Inventory Management and Logistics — Inventory Management,” our Directors are of the view that adequate and reasonable provisions for inventory impairment have been made, and that there is no material impairment issue in respect of our inventories.
Our inventory turnover days decreased from 114 days in 2023 to 100 days in 2024, and further to 90 days in 2025, primarily due to higher sales volumes, which accelerated inventory turnover.
Financial Information · p. 224
As of January 31, 2026, RMB324.0 million, or 30.0%, of our inventories as of December 31, 2025 had been subsequently utilized and/or sold.
Our inventories decreased from RMB140.8 million as of December 31, 2023 to RMB122.7 million as of December 31, 2024, primarily due to (i) a decrease of RMB19.2 million in finished goods, reflecting improved sales in line with market recovery, and (ii) an increase of RMB10.5 million in write-downs of inventories, primarily attributable to the impact of rapid technological iteration, leading to a decline in the market prices and demand of certain products.
Financial Information · p. 219
Our inventory turnover days decreased from 414 days in 2023 to 245 days in 2024, primarily due to our improved sales performance resulting from the recovery of market demand.
Financial Information · p. 220
We did not experience any material shortage or accumulation of inventory during the Track Record Period.
Our allowance for impairment of inventories amounted to RMB27.1 million, RMB53.7 million, RMB90.2 million and RMB80.0 million as of December 31, 2022, 2023 and 2024 and September 30, 2025, respectively.
Financial Information · p. 264
The increase in the allowance for impairment of inventories from 2022 to 2024 was primarily due to the increase in the balance of aged inventories, which resulted in higher allowance for impairment.
Financial Information · p. 264
As of January 31, 2026, RMB259.8 million, or 53.6% of inventories as of September 30, 2025, had been used, consumed or sold.
We intentionally kept a relatively high inventory level in 2022 in response to the industry supply shortage in 2021, which was common among industry peers at that time, according to CIC.
Financial Information · p. 205
while we also made write-down of inventories due to the decreased average selling price of our products in line with the market price trend
Financial Information · p. 205
As of January 31, 2026, RMB437.7 million, or 67.4% of our inventories as of September 30, 2025 had been subsequently consumed or sold.
Inventories then increased to RMB207.3 million as of September 30, 2025, primarily due to (1) the increase in raw materials and work in progress, due to the need of our production activities driven by the increased market demand of our products, and (2) the increase in goods in transit in the ordinary course of our sales and delivery operations.
Financial Information · p. 248
Based on the above considerations, the write-down provision of inventories was RMB17.6 million, RMB18.0 million, RMB21.5 million and RMB16.2 million as of December 31, 2022, 2023 and 2024 and September 30, 2025, respectively, representing 9.2%, 9.8% 10.5% and 7.3% of inventory balance as of the same dates, respectively.
Financial Information · p. 249
As of January 15, 2026, approximately RMB172.7 million, or 77.3%, of the gross amount of our inventories as of September 30, 2025 had been consumed or sold.
Our inventories subsequently increased to RMB795.7 million as of September 30, 2025, primarily due to the increase in raw materials and materials consigned for processing.
Financial Information · p. 297
The increase in our inventories over one year in 2023 was primarily due to the slow-moving of early generation Jintide products during the industry-wide inventory destocking, and we accordingly made provision for impairment of these inventories.
Financial Information · p. 298
We maintained inventory turnover for approximately 100 days in 2022 and 2024 and for the nine months ended September 30, 2025, and the increased inventory turnover days in 2023 was primarily due to a decrease in sales of Jintide products.
As of December 31, 2022, 2023 and 2024 and June 30, 2025, we recognized write-down of inventories of RMB228.7 million, RMB344.2 million, RMB372.8 million and RMB287.4 million, primarily due to the decrease in market price of our products as a result of the destocking by downstream participants following the inventory buildup in 2021 and 2022.
Financial Information · p. 283
However, the increase in inventory balance as of December 31, 2024 was not commensurate with the increase in revenue in 2024, primarily due to the buildup of inventories to a certain extent as affected by the industry cycle.
Financial Information · p. 283
As of October 31, 2025, 84.7% of our total inventories as of June 30, 2025, or RMB2,033.9 million, were utilized or sold.
In 2022, 2023, 2024 and the six months ended June 30, 2024 and 2025, we recorded impairment loss of inventories of RMB25.1 million, RMB61.8 million, RMB91.6 million, RMB36.0 million and RMB35.9 million, respectively.
Summary · p. 10
The impairment losses related to long-aged inventory, particularly in 2023, was primarily because, prior the first half of 2022, amid strong market conditions and in anticipation of continued customer demand, we proactively increased our procurement and production levels.
Summary · p. 10
Our inventory turnover days increased from 172 days in 2022 to 294 days in 2023, primarily due to a period of inventory adjustment among our end customers, which resulted in decreased demand for our products and consequently slower inventory turnover.
Our inventories increased from RMB89.9 million as of December 31, 2022 to RMB394.5 million as of December 31, 2023, primarily due to increased purchases of raw materials in anticipation of customers’ orders.
Financial Information · p. 399
In 2022, 2023 and 2024, we recorded provision for write-down of inventories of RMB14.7 million, RMB21.3 million and RMB315.1 million, respectively.
Financial Information · p. 401
As of December 31, 2022, 2023 and 2024, we had inventories aged over 1 year of RMB50.8 million, RMB68.6 million and RMB219.4 million.
Our inventory turnover days increased from 87.9 days in 2024 to 124.9 days for the five months ended May 31, 2025, primarily due to an increase inventories of raw materials and finished goods as we procured more raw materials in anticipation of potential price fluctuations and manufactured more finished goods in anticipation of increased demand from downstream customers in the first half of 2025.
Financial Information · p. 276
We recognized inventories write-down of RMB1.0 million, RMB1.3 million and RMB1.8 million in 2022, 2023 and 2024, respectively.
Financial Information · p. 275
As of September 30, 2025, RMB96.6 million, or 95.5% of our inventories outstanding as of May 31, 2025 had been utilized or sold.