Hesai Group Reports Second Quarter 2025 Unaudited Financial Results

Quarterly net revenues were RMB706.4 million (US$98.6 million)¹
Quarterly lidar shipments were 352,095 units
Quarterly net income was RMB44.1 million (US$6.2 million)

SHANGHAI, China, Aug. 14, 2025 (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 June 30, 2025.

Management Remarks

“The second quarter marked a surge in our growth momentum with net revenues soaring over 50% year-over-year and net income exceeding RMB40 million, beating our GAAP breakeven target—powered by strong customer demand and sharp operational execution,” said Yifan “David” Li, Hesai’s Co-Founder and CEO. “In ADAS, the ‘Hesai Inside’ label is now widely recognized as a mark of advanced perception and safety in intelligent vehicles. Throughout the quarter and in recent weeks, we secured a substantial number of new design wins through 2026 for 20 models from 9 leading OEMs. Notably, we achieved a platform win for multiple 2026 models with one of our top 2 ADAS customers, further cementing lidar as a standard feature across this customer’s model lineups. These ADAS design wins will supercharge our order book, highlighting how lidars have emerged as a standard feature and are fueling mass-market adoption. Globally, we entered the C-sample stage with a top European OEM, keeping us on track for full-scale production and commercial launch expected in 2026. We also secured a new design win with Toyota, one of the world's largest automakers, with mass production targeted for 2026, underscoring our expanding global footprint and world-class competitiveness. In the Robotics space, we ranked No.1 in lidar shipments in China for the first half of 2025, according to Gaogong Industry Research Institute (“GGII”). Our Robotics business is riding the wave of Physical AI as lidars become essential for AI to perceive the dynamic world and the best sensor for robotic mobility. This evolution will unlock vast new market opportunities ahead, which we’re uniquely positioned to capitalize on and lead—leveraging our automotive-grade expertise, global scale, and proven deployments across diverse industries. The stage is set. The lidar is on. The future—digital, physical, and AI-driven—has never looked sharper.”

“We are pleased to report another outstanding quarter, highlighted by strong revenue growth and a remarkable improvement in profitability,” said Mr. Andrew Fan, Hesai’s CFO. “Second-quarter net revenues increased by 54% year-over-year to RMB706.4 million (US$98.6 million), marking our fifth consecutive quarter of year-over-year growth and reflecting sustained momentum across both our ADAS and Robotics businesses. Our bottom line significantly outperformed our GAAP breakeven target, delivering net income of RMB44.1 million (US$6.2 million), compared to a net loss of RMB72.1 million in the same period last year. In the first six months of 2025, total shipments have already surpassed those of full-year 2024. According to Gasgoo, we ranked first in installation volume among long-range lidar suppliers during this period. Net income for the first six months reached RMB26.5 million (US$3.7 million), again beating our expectations.This substantial progress demonstrates our disciplined execution, effective cost control, and the powerful operating leverage inherent in our business model. Together, these results reinforce our confidence in driving sustainable growth and creating long-term value for our shareholders.”

1 All translations from RMB to USD for the second quarter of 2025 were made at the exchange rate of RMB7.1636 to US$1.00, the exchange rate on June 30, 2025, set forth in the H.10 statistical release of the Federal Reserve Board.

• Business Updates:
  • Global:
    • Achieved the C-sample milestone for Hesai’s long-range lidar sensor with a top European OEM, marking key progress under the series production contract. The transition from B- to C-sample stage confirms advanced product maturity and successful completion of reliability and validation testing, keeping the Company on track for full-scale production and commercial launch expected in 2026.
    • Secured an ADAS design win for a new energy vehicle model to be manufactured by a Toyota joint venture based in China, with mass production targeted for 2026.
    • Featured at the 2025 Shanghai Auto Show, Hesai’s long-range lidar debuted on SAIC Audi’s sports car and became the industry’s first in-cabin lidar installed behind the windshield in SAIC-GM’s all-electric Cadillac VISTIQ SUV.
  • Domestic:
    • Serving as the lead drafting organization, Hesai led over 50 industry partners in developing China’s first national automotive lidar standard (GB/T 45500-2025), which took effect in April 2025 and unifies lidar performance and testing methods to enable safe, scalable ADAS and autonomous driving.
    • Powered blockbuster model launches from Hesai’s top ADAS customers, including a high-performance luxury SUV from a leading domestic tech ecosystem giant—which received 289,000 orders within just one hour of launch—featuring lidar as a standard configuration. Additionally, Hesai has also secured a platform win for multiple 2026 models with this prominent customer, further cementing lidar as a standard feature across its model lineups.
    • Secured ADAS design wins with 24 OEMs globally. Throughout the quarter and in recent weeks, Hesai earned a substantial number of new design wins through 2026 for 20 models from 9 leading OEMs, featuring a prestigious customer lineup including one of the Company’s top 2 ADAS customers, Geely, Great Wall Motor, and Changan, among others.
    • Ranked No.1 in China for Robotics lidar shipments in the first half of 2025, according to GGII. By the end of the second quarter, Hesai’s JT series lidar—now in mass production for applications such as robotic lawnmowers—surpassed 100,000 units in cumulative deliveries, the fastest ramp-up on record in the Robotics sector.

Operational Highlights

	Three months ended June 30, 2025	Six months ended June 30, 2025
ADAS lidar shipments	303,564	449,651
Robotics lidar shipments	48,531	98,262
Total lidar shipments	352,095	547,913

• Q2 2025 ADAS lidar shipments were 303,564 units, representing an increase of 275.8% from 80,773 units in the corresponding period of 2024.
• Q2 2025 Total lidar shipments were 352,095 units, representing an increase of 306.9% from 86,526 units in the corresponding period of 2024.

Financial Highlights for the Second Quarter of 2025
(in RMB millions, except for per ordinary share data and percentage)

		Q2 2025		Q2 2024		% Change
Net revenues		706.4		458.9		53.9%
Gross margin		42.5%		45.1%		/
Income/(loss) from operations		22.9		(95.8)		/
Non-GAAP income/(loss) from operations2		52.1		(67.3)		/
Net income/(loss)		44.1		(72.1)		/
Non-GAAP net income/(loss)		73.3		(43.6)		/
Net income/(loss) per ordinary share		0.33		(0.56)		/
Diluted net income/(loss) per share		0.32		(0.56)		/
Non-GAAP net income/(loss) per ordinary share		0.55		(0.34)		/
Diluted non-GAAP net income/(loss) per ordinary share		0.53		(0.34)		/
2 See “Use of Non-GAAP Financial Measures” and “Unaudited Reconciliation of GAAP and Non-GAAP Results” included in this release for further details.

• Net revenues were RMB706.4 million (US$98.6 million) for the second quarter of 2025, representing an increase of 53.9% from RMB458.9 million for the same period of 2024. Product revenues were RMB699.4 million (US$97.6 million) for the second quarter of 2025, representing an increase of 71.1% from RMB408.7 million for the same period of 2024. The year-over-year increase was mainly attributable to increased shipments and revenues from sales of ADAS lidar products driven by robust demand in China. Service revenues were RMB7.0 million (US$1.0 million) for the second quarter of 2025, representing a decrease of 86.1% from RMB50.2 million for the same period of 2024. The year-over-year decrease was attributable to a decrease in revenue from non-recurring engineering services.

• Cost of revenues was RMB405.9 million (US$56.7 million) for the second quarter of 2025, representing an increase of 61.1% from RMB252.0 million for the same period of 2024.
  

• Gross margin was 42.5% for the second quarter of 2025, compared with 45.1% for the same period of 2024. The year-over-year decrease was mainly due to a decrease in revenue of high margin non-recurring engineering services, partially offset by effective cost and scale optimization on both ADAS and Robotics lidars.
  

• Sales and marketing expenses were RMB42.3 million (US$5.9 million) for the second quarter of 2025, representing a decrease of 24.1% from RMB55.7 million for the same period of 2024. The decrease was mainly driven by a decrease in payroll expenses of RMB6.5 million (US$0.9 million) and a decrease in marketing expenses of RMB3.0 million (US$0.4 million).
  

• General and administrative expenses were RMB63.7 million (US$8.9 million) for the second quarter of 2025, representing a decrease of 3.7% from RMB66.1 million for the same period of 2024. The decrease was mainly driven by a decrease in professional service fees of RMB9.0 million (US$1.3 million), partially offset by an increase in expected credit loss of RMB7.6 million (US$1.1 million).
  

• Research and development expenses were RMB199.2 million (US$27.8 million) for the second quarter of 2025, representing an increase of 0.3% from RMB198.6 million for the same period of 2024.
  

• Income from operations was RMB22.9 million (US$3.2 million) for the second quarter of 2025, compared with loss from operations of RMB95.8 million for the same period of 2024. Excluding share-based compensation expenses, non-GAAP income from operations was RMB52.1 million (US$7.3 million) for the second quarter of 2025, compared with non-GAAP loss from operations of RMB67.3 million for the second quarter of 2024.
  

• Net income was RMB44.1 million (US$6.2 million) for the second quarter of 2025, compared with net loss of RMB72.1 million for the same period of 2024. Excluding share-based compensation expenses, non-GAAP net income was RMB73.3 million (US$10.2 million) for the second quarter of 2025, compared with non-GAAP net loss of RMB43.6 million for the same period of 2024.
  

• Net income attributable to ordinary shareholders of the Company was RMB44.1 million (US$6.2 million) for the second quarter of 2025, compared with net loss attributable to ordinary shareholders of the company of RMB72.1 million for the same period of 2024. Excluding share-based compensation expenses, non-GAAP net income attributable to ordinary shareholders of the Company was RMB73.3 million (US$10.2 million) for the second quarter of 2025, compared with non-GAAP net loss attributable to ordinary shareholders of the Company of RMB43.6 million for the same period of 2024.
  

• Basic and diluted net income per ordinary share were RMB0.33 (US$0.05) and RMB0.32 (US$0.04), respectively, for the second quarter of 2025. Excluding share-based compensation expenses, non-GAAP basic and diluted net income per ordinary share were RMB0.55 (US$0.08) and RMB0.53 (US$0.07), respectively, for the second quarter of 2025.
  

• Cash and cash equivalents, restricted cash and short-term investments were RMB2,848.9 million (US$397.7 million) as of June 30, 2025, compared with RMB2,860.7 million as of March 31, 2025.
  

About Hesai

Hesai Technology (Nasdaq: HSAI) is a global leader in lidar solutions. The company’s lidar products enable a broad spectrum of applications including passenger and commercial vehicles ("ADAS"), as well as autonomous driving vehicles and robotics and other non-automotive applications such as last-mile delivery robots and AGVs ("Robotics"). Hesai seamlessly integrates its in-house manufacturing process with lidar R&D and design, enabling rapid product iteration while ensuring high performance, high quality and affordability. The company’s commercially validated solutions are backed by superior R&D capabilities across optics, mechanics, and electronics. Hesai has established offices in Shanghai, Palo Alto and Stuttgart, with customers spanning more than 40 countries.

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: income/loss from operation excluding share-based compensation expenses, net profit/loss excluding share-based compensation expenses, net profit/loss attributable to ordinary shareholders excluding share-based compensation, and net income/loss per ordinary share 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 RMB7.1636 to US$1.00, the exchange rate on June 30, 2025, 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 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:

Hesai Group
Yuanting “YT” Shi, Head of Capital Markets
Email: ir@hesaitech.com

Christensen Advisory
Tel: +86-10-5900-1548
Email: hesai@christensencomms.com

Source: Hesai Group

HESAI GROUP UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (All amounts in thousands, except share and per share data and otherwise noted)
		As of
		December 31, 2024		June 30, 2025
		RMB		RMB		US$
ASSETS
Current assets:
Cash and cash equivalents		2,838,966		2,734,345		381,700
Restricted cash		3,594		4,079		569
Short-term investments		362,195		110,514		15,427
Notes receivables		22,341		33,020		4,609
Accounts receivable, net		765,027		1,057,372		147,603
Contract assets		9,909		9,909		1,383
Amounts due from related parties		5,039		—		—
Inventories		482,137		599,252		83,652
Prepayments and other current assets		193,448		273,777		38,218
Total current assets		4,682,656		4,822,268		673,161
Non-current assets:
Property and equipment, net		944,218		1,014,431		141,609
Long-term investments		31,798		131,776		18,395
Intangible assets, net		76,554		89,844		12,542
Land-use rights, net		39,879		39,447		5,507
Right-of-use assets		114,260		92,580		12,924
Other non-current assets		100,246		71,739		10,014
Total non-current assets		1,306,955		1,439,817		200,991
TOTAL ASSETS		5,989,611		6,262,085		874,152
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Short-term borrowings		345,253		478,230		66,758
Notes payable		10,096		120,498		16,821
Accounts payable		345,011		461,879		64,476
Contract liabilities		32,994		31,669		4,421
Amounts due to related parties		335,253		—		—
Accrued warranty liability		43,607		57,605		8,041
Accrued expenses and other current liabilities		516,726		365,951		51,084
Total current liabilities		1,628,940		1,515,832		211,601
Non-current liabilities
Operating lease liabilities		98,370		77,313		10,792
Long-term borrowings		269,438		273,435		38,170
Other non-current liabilities		61,132		40,271		5,622
Total non-current liabilities		428,940		391,019		54,584
TOTAL LIABILITIES		2,057,880		1,906,851		266,185
Shareholders’ Equity
Class A Ordinary shares		19		17		2
Class B Ordinary shares		70		73		11
Additional paid-in capital		7,577,113		7,651,112		1,068,054
Subscription receivables		(292,721)		—		—
Accumulated other comprehensive income (loss)		56,975		87,220		12,175
Accumulated deficit		(3,409,725)		(3,383,188)		(472,275)
TOTAL SHAREHOLDERS’ EQUITY		3,931,731		4,355,234		607,967
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY		5,989,611		6,262,085		874,152

HESAI GROUP UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (All amounts in thousands, except share and per share data and otherwise noted)
		Three months ended June 30,
		2024		2025
		RMB		RMB		US$
Net revenues		458,862		706,388		98,608
Cost of revenues		(252,036)		(405,910)		(56,663)
Gross profit		206,826		300,478		41,945
Operating expenses:
Sales and marketing expenses		(55,745)		(42,311)		(5,906)
General and administrative expenses		(66,146)		(63,720)		(8,895)
Research and development expenses		(198,609)		(199,219)		(27,810)
Other operating income, net		17,898		27,624		3,856
Total operating expenses		(302,602)		(277,626)		(38,755)
(Loss)/income from operations		(95,776)		22,852		3,190
Interest income		23,597		20,967		2,928
Interest expenses		(3,334)		(6,545)		(914)
Foreign exchange income, net		3,545		6,936		968
Other income/(loss), net		283		(19)		(3)
Net (loss)/income before income tax and share of loss in equity method investments		(71,685)		44,191		6,169
Income tax expense		(367)		(94)		(13)
Share of loss in equity method investment		(7)		(11)		(2)
Net (loss)/income		(72,059)		44,086		6,154
Net (loss)/income attributable to ordinary shareholders of the Company		(72,059)		44,086		6,154
Net (loss)/income per share:
Basic		(0.56)		0.33		0.05
Diluted		(0.56)		0.32		0.04
Weighted average ordinary shares used in calculating net loss per share:
Basic		129,079,779		132,413,850		132,413,850
Diluted		129,079,779		139,194,205		139,194,205
Net (loss)/income		(72,059)		44,086		6,154
Other comprehensive income/(loss):
Foreign currency translation adjustments		2,933		(1,653)		(231)
Comprehensive (loss)/income		(69,126)		42,433		5,923

HESAI GROUP UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (All amounts in thousands, except share and per share data and otherwise noted)
		Six months ended June 30,
		2024		2025
		RMB		RMB		US$
Net revenues		817,982		1,231,690		171,937
Cost of revenues		(471,934)		(711,977)		(99,388)
Gross profit		346,048		519,713		72,549
Operating expenses:
Sales and marketing expenses		(97,709)		(92,857)		(12,962)
General and administrative expenses		(134,913)		(117,807)		(16,445)
Research and development expenses		(393,011)		(382,525)		(53,398)
Other operating income, net		45,354		62,880		8,778
Total operating expenses		(580,279)		(530,309)		(74,027)
Loss from operations		(234,231)		(10,596)		(1,478)
Interest income		56,392		41,488		5,792
Interest expenses		(5,620)		(11,552)		(1,613)
Foreign exchange income, net		5,038		7,960		1,111
Other income/(loss), net		71		(713)		(100)
Net (loss)/income before income tax and share of loss in equity method investments		(178,350)		26,587		3,712
Income tax expense		(615)		(27)		(4)
Share of loss in equity method investment		(19)		(23)		(3)
Net (loss)/income		(178,984)		26,537		3,705
Net (loss)/income attributable to ordinary shareholders of the Company		(178,984)		26,537		3,705
Net (loss)/income per share:
Basic		(1.40)		0.20		0.03
Diluted		(1.40)		0.19		0.03
Weighted average ordinary shares used in calculating net loss per share:
Basic		128,208,174		131,937,885		131,937,885
Diluted		128,208,174		138,952,264		138,952,264
Net (loss)/income		(178,984)		26,537		3,705
Other comprehensive income:
Foreign currency translation adjustments		6,021		30,245		4,222
Comprehensive (loss)/income		(172,963)		56,782		7,927

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 June 30,
	2024		2025
	RMB		RMB		US$
(Loss)/income from operations	(95,776)		22,852		3,190
Add: Share-based compensation expenses	28,505		29,198		4,076
Non-GAAP (loss)/income from operations	(67,271)		52,050		7,266
Net (loss)/income	(72,059)		44,086		6,154
Add: Share-based compensation expenses	28,505		29,198		4,076
Non-GAAP net (loss)/income	(43,554)		73,284		10,230
Net (loss)/income attributable to ordinary shareholders of the Company	(72,059)		44,086		6,154
Add: Share-based compensation expenses	28,505		29,198		4,076
Non-GAAP net (loss)/income attributable to ordinary shareholders of the Company	(43,554)		73,284		10,230
Weighted average shares used in calculating net (loss)/earnings per share
Basic	128,208,174		132,413,850		132,413,850
Diluted	128,208,174		139,194,205		139,194,205
Non-GAAP net (loss)/earnings per share
Basic	(0.34)		0.55		0.08
Diluted	(0.34)		0.53		0.07

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 six months ended June 30,
	2024		2025
	RMB		RMB		US$
Loss from operations	(234,231)		(10,596)		(1,478)
Add: Share-based compensation expenses	66,305		55,384		7,731
Non-GAAP (loss)/income from operations	(167,926)		44,788		6,253
Net loss	(178,984)		26,537		3,705
Add: Share-based compensation expenses	66,305		55,384		7,731
Non-GAAP net (loss)/income	(112,679)		81,921		11,436
Net (loss)/income attributable to ordinary shareholders of the Company	(178,984)		26,537		3,705
Add: Share-based compensation expenses	66,305		55,384		7,731
Non-GAAP net (loss)/income attributable to ordinary shareholders of the Company	(112,679)		81,921		11,436
Weighted average shares used in calculating net (loss)/earnings per share
Basic	128,208,174		131,937,885		131,937,885
Diluted	128,208,174		138,952,264		138,952,264
Non-GAAP net (loss)/earnings per share
Basic	(0.88)		0.62		0.09
Diluted	(0.88)		0.59		0.08