Consistent with industry practice, reliance on third-party launch service providers is inherent and inevitable for satellite industry participants that do not operate proprietary launch vehicles.
Business · p. 161
We have experienced such situations in the past.
Business · p. 161
While the risk of launch delays or failures cannot be entirely eliminated, we seek to manage and mitigate such risks through structured launch procurement, project execution and customer communication processes, including the following measures:
In order to focus our production resources, we strategically outsource the production of some of our products under our “Ciarra” brand to our contract manufacturers, which are all located in the PRC.
Business · p. 148
During the Track Record Period and up to the Latest Practicable Date, we have sourced from over 20 contract manufacturers, who are Independent Third Parties, to produce our products according to our specifications and designs.
Business · p. 148
Only those contract manufacturers that have passed our on-site inspections are considered for engagement.
During the Track Record Period, all of our products were produced in-house to ensure stringent quality control and knowhow protection. To enhance production flexibility and resource efficiency, we selectively outsource certain standardized and non-core production processes, such as certain non-core machinery and wire embedding, to rigorously vetted contract manufacturers.
Business · p. 135
These outsourcing contract manufacturers must strictly adhere to our technical specifications and quality standards, with all outsourced components undergoing our full inspection protocol before warehouse acceptance to guarantee performance parity with in-house productions.
During the Track Record Period, we outsourced certain production of SSDs and memory modules for PC storage to OSAT facilities during peak seasons.
Business · p. 123
Under the outsourcing arrangements, qualified third parties are responsible for manufacturing, assembly and testing, while we retain control over key materials, quality standards and delivery timelines.
Business · p. 123
In 2023, 2024 and 2025, revenue generated from the sales of products manufactured under outsourcing arrangements amounted to RMB509.1 million, RMB685.3 million and RMB1,258.0 million, respectively.
We design and outsource the manufacturing of various vehicles such as tractors, buses, trucks, and passenger cars/pickup trucks to vehicle manufacturers, and deploy vehicle brain hardware that is empowered with our proprietary autonomous driving system, U-Drive^®^, at our warehouse, assembly and testing center in Jiaxing, Zhejiang.
Summary · p. 6
We outsource the manufacturing of domain controllers to third parties where we provide product design and specifications and the third party manufacturers produce products that meet our standards.
Business · p. 194
According to Frost & Sullivan, outsourcing the manufacturing of domain controllers is in line with the industry norm.
We implement a structured procurement and production process which involves sourcing standard parts and components and engaging subcontractors in relation to manufacturing services to produce parts and components based on technical drawings and manufacturing process provided by us.
Business · p. 141
During the Track Record Period, we also engaged manufacturing partners to produce parts and components based on our proprietary designs. We maintain frequent and open communication with our manufacturing partners on project-related matters, particularly on the progress of work and project requirements. There was no material delay by our manufacturing partners during the Track Record Period.
Business · p. 171
We perform thorough due diligence on our suppliers, request samples before making purchase orders and regularly monitor and review their performance.
For raw materials that are not core to manufacturing and can be sourced from mature industrial supply chains, we may outsource production to qualified suppliers based on cost-efficiency considerations and industry practices.
Business · p. 196
In this model, we provide detailed design drawings and technical specifications to approved subcontractors, who are subject to strict qualification reviews and continuous quality monitoring.
Business · p. 196
During the Track Record Period, we manufactured substantially all our products, including those for our emerging business, through in-house production, leveraging our established manufacturing facilities.
During the Track Record Period, we engaged over 480 contract manufacturers. The outsourced manufacturing fees amounted to RMB1,224.0 million, RMB1,550.2 million and RMB1,779.7 million in 2023, 2024 and 2025, respectively, representing 10.9%, 11.1% and 11.5% of our cost of sales in the same years.
Business · p. 147
Meanwhile, to optimize capacity and enhance efficiency while safeguarding our core technologies, we selectively entrust certain non-core manufacturing procedures to qualified third party contract manufacturers.
Business · p. 146
We implement contract manufacturer management measures, including qualification reviews and periodic performance assessments, and provide relevant process documentation and technical guidance to ensure compliance with our specifications and quality standards.
Subcontractors are engaged in the installation of the equipment and components, while our technical and supervising personnel are responsible for debugging the energy management systems.
Business · p. 119
Typically, a lump sum price is specified in the subcontracting agreement, which is determined based on the agreement between our Company and our subcontractors.
Business · p. 128
To ensure and maintain the quality of service provided by our subcontractors, we have established internal rules and procedures to monitor our selection of, cooperation with and inspections of the subcontractors, which are the same as selecting suppliers.
During the Track Record Period, our procurement primarily comprised (i) third-party software products such as technology platform software and ancillary value-added hardware products such as AGV and automated storage and retrieval systems, as well as (ii) technology services provided by third parties related to the provision of digital and intelligent technology services.
Business · p. 129
For specialized products required by customers, we conduct supplier selection procedures among more than three qualified suppliers in accordance with our internal procurement policies.
Business · p. 129
We conduct annual performance evaluations for our suppliers covering product quality, service standards, delivery timeliness and overall cooperation, and the results form the basis for continued engagement or elimination.
During the Track Record Period, we operated an asset-light business model without owning production facilities, instead partnering with selected OEMs, or contractual manufacturers, which produce our designed products according to our specifications and quality standards.
Business · p. 134
During the Track Record Period, all of our revenue was generated from the sales of products manufactured by third-party contractual manufacturers.
Business · p. 135
In 2023, 2024 and 2025, we collaborated with 129, 171 and 155 contractual manufacturers, respectively, consistent with our manufacturing needs and demonstrating the breadth of our manufacturing partner network.
We also engage leading external feed suppliers in China to produce part of our feed according to our designed feed formulas and raw material standards.
Business · p. 162
We reserve the right to reject any products that do not meet these quality standards.
Our supply chain and customization model primarily comprises two parts: (i) vehicle customization, under which we rely on qualified vehicle customization partners, including JAC Motors and Shandong Reach, for final vehicle assembly; and (ii) the sourcing and production of raw materials and core components.
Business · p. 157
During the Track Record Period, we collaborated with our vehicle customization partners, including JAC Motors and Shandong Reach, and procured manufactured vehicles from them, in compliance with relevant laws and regulations.
Business · p. 157
From a financial perspective, the fees paid to customization partners represented a relatively small portion of total vehicle cost during the Track Record Period.
For the years ended December 31, 2023, 2024 and 2025, expenses incurred for outsourced research and development services that were expensed and recognized in profit or loss amounted to approximately RMB61.9 million, RMB6.9 million and RMB14.5 million, respectively, and were recorded as research and development expenses.
Business · p. 159
During the Track Record Period, we also outsourced certain manufacturing-related activities to third-party contract development and manufacturing organizations, or CDMOs, primarily for certain drug candidates at the research and development stage.
Business · p. 173
We generally outsource such manufacturing-related activities at the relevant development stages primarily because (i) the required production scale and batch size for toxicology and clinical trial materials are not economical or efficient to manufacture on our existing commercial-scale production lines; (ii) the number of batches required is limited (typically two to three batches), and therefore in-house manufacturing may result in lower utilization efficiency; and (iii) producing such early-stage batches on shared production lines may increase operational complexity and potential risks associated with multi-product co-line manufacturing.
We engaged 54 and 51 CROs/SMOs in 2024 and 2025, respectively. We incurred CRO/SMO expenses of RMB85.9 million and RMB42.4 million in 2024 and 2025.
Business · p. 215
This was primarily attributable to our transition from a fully outsourced model to a selective functional outsourcing model, under which key functions such as study-level management, vendor management, domestic site management, medical monitoring, and eTMF management were performed in-house to enhance operational efficiency and reduce clinical development expenditures.
Business · p. 215
With key functions performed in-house and the standardization of CRO/SMO services, we do not believe we have undue reliance on our current or any CRO/SMO service providers.
During the course of our R&D, certain specialized activities–such as lipid synthesis, non-human primate (NHP) experiments, specialty animal disease models, immunohistochemistry/immunofluorescence, sequencing, VHH antibody discovery, alpaca immunization and titer screening, as well as non-GLP pilot and GLP toxicology studies–are outsourced to reputable CROs.
Business · p. 197
As we do not possess GMP-compliant production facilities, clinical drug manufacturing is outsourced to contract development and manufacturing organizations (CDMOs).
Business · p. 197
In 2023, 2024 and 2025, our external R&D outsourcing expenses were RMB82.2 million, RMB99.2 million and RMB84.3 million, respectively.
To ensure the product quality, we primarily relied on our in-house production capacity for our major skincare and personal care products during the Track Record Period, while engaging OEM/ODM partners to assist in producing certain makeup products and personal care products.
Business · p. 128
Meanwhile, we implement stringent production quality control measures over our OEM/ODM partners, including qualification check, onsite or remote inspection, unified production standard and final review of production and inspection results before releasing products so as to ensure controllable product quality and a stable supply chain.
Business · p. 128
Moreover, we had OEM/ODM expenses of RMB282.5 million, RMB369.9 million and RMB492.8 million in 2023, 2024 and 2025, respectively, accounting for 10.6%, 12.0% and 17.4% of our total cost of sales.
We engage third party independent contract manufacturers for the production of our self-developed switches, as well as optical transceivers and RDMA NICs.
Business · p. 175
During the Track Record Period, we engaged seven contract manufacturers.
Business · p. 175
For example, we generally require our contract manufacturers of switches to complete a series of pre-shipment tests, including functional testing, full-port stress testing and high-temperature burn-in testing, and to maintain comprehensive test records throughout the process.
We adopt a fabless business model, focusing on integrated circuit design and outsourcing wafer fabrication to third-party foundries, thereby optimizing design efficiency and capital utilization.
Business · p. 132
The cost of wafers and outsourced packaging and testing services constitutes the vast majority of our cost of sales.
Financial Information · p. 178
Meanwhile, we have collaborated closely with major chip packaging and testing partners and developed mature and stable packaging and testing processes.
As of the Latest Practicable Date, we did not have any in-house manufacturing facility. To date, all of our manufacturing activities have been conducted through our partners (including but not limited to CDMOs) to support our drug development programs.
Business · p. 209
In addition to our in-house R&D activities, we also collaborate with reputable CROs to support our preclinical research and clinical trials.
Business · p. 208
We did not experience any material product quality issues in respect of the products manufactured by our partners during the Track Record Period.