The other side of VIEO's IPO: Salvaging a certain cash flow in the deep waters of AI.

On March 31, in the announcement section of HKEX, the prospectus of Weiyi Intelligent Manufacturing lay quietly there. This prospectus, which is intended to be listed on the Hong Kong Stock Exchange, not only holds the growth secrets of Siasun Robot&Automation, a leading industrial intelligent enterprise, but also symbolizes the combination of "hardware + AI" in the Chinese technology industry. At the critical crossroad where AI and Siasun Robot&Automation transition from "show-off" to "real action", by 2025, Weiyi Intelligent Manufacturing has quietly completed a thrilling leap from "expansion in scale" to "operational quality". The second half of the combination of AI and Siasun Robot&Automation industry has arrived, belonging to the "feasibility verification" phase, focusing on deep scenario exploration, cost control, stable delivery, and ecological co-creation. Achieving "positive cash flow": The ultimate touchstone of operational quality For high-tech enterprises with high R&D investment, the profit and loss statement may be "drawn" but the cash flow is the actual "flow" of funds. The highlight of Weiyi Intelligent Manufacturing in 2025 lies in the historic positive cash flow from operating activities, reaching 141 million RMB, compared to -105 million RMB in 2023 and -154 million RMB in 2024. This reversal indicates a reduced dependence on external funds and the formation of a benign mechanism for internally generated profits. If one reads the prospectus carefully, it is understood that in 2023-2024, to seize the opportunity in intelligent automation, the company had to invest heavily in technology reserves and market development, which put pressure on cash flow. However, with the commercialization of products in 2025, the return of operating cash flow began to emerge. Another aspect of the positive cash flow is the continued high growth in revenue of Weiyi Intelligent Manufacturing. From 4.34 billion RMB in 2023 to 7.96 billion RMB in 2025, the compound annual growth rate exceeded 35%, positioning the company in the top tier of the industry. Of particular significance is the continuous increase in gross profit margin over three years, from 42.4% to 48.4%, significantly leading the industry. Behind this financial performance is an achievement worth noting: achieving profitability individually in the technology and capital-intensive fields of "AI" and "Siasun Robot&Automation" is not easy, but the track of "AI + Siasun Robot&Automation" that Weiyi Intelligent Manufacturing has deeply cultivated is a combination of challenges - it requires continuous high-intensity research and development to maintain algorithmic cutting-edge, as well as overcoming engineering challenges in precise hardware manufacturing, cost control, and scale delivery. Being able to achieve high revenue growth and optimal profit quality in such a challenging fusion track not only proves the technical effectiveness of Weiyi Intelligent Manufacturing's technology path but also represents a crucial turning point for industrial intelligence from "technology validation" to a business closed loop. "Rejuvenating the cage with new birds" of revenue structure: EIIR products drive volume and price increase If one only looks at revenue, they may overlook the true underlying change in the commercialization process. The transformation of Weiyi Intelligent Manufacturing lies in its structure. The company's flagship product, EIIR (Industrial Intelligent Siasun Robot&Automation), is becoming the absolute ruler. In 2025, EIIR products contributed 57.0% of revenue (compared to 26.3% in 2023), rightfully becoming the top growth driver. Behind this is a thrilling "volume and price increase": In terms of volume, the sales of EIIR products increased from 211 units in 2023 to 623 units in 2025, with a compound annual growth rate of 71.8%. This indicates that Weiyi's products are no longer just "prototype" in the laboratory but are now the "standard configuration" on factory production lines; The increase in price is even more meaningful. The average selling price of EIIR products in 2025 rose to 72.8 thousand RMB per unit (compared to 54.1 thousand RMB in 2023), indicating that the company is not only selling products but also offering high-value-added complex process solutions, rather than just hardware devices. This structural shift directly led to an increase in the company's overall gross profit margin. In 2025, the company's overall gross profit margin remained at a high level of 48.4%, with the gross profit margin of the EIIR business line reaching 53.5%. The reason why Weiyi Intelligent Manufacturing can achieve "volume and price increases" lies in the essential difference between EIIR and traditional Siasun Robot&Automation. If the traditional Siasun Robot&Automation is "automated equipment with arms", then EIIR is an "AI life form with arms and eyes". Traditional Siasun Robot&Automation relies on preset programs to complete repetitive actions, lacking autonomous decision-making and environmental adaptation abilities. Weiyi Intelligent Manufacturing has built a complete "perception-learning-decision-execution" closed-loop system, where motion planning, path generation, and adaptive execution are all driven in real-time by AI and have learning and evolutionary capabilities. By relying on the "human-in-loop" fast-slow thinking architecture, the delivery cycle has been compressed from a monthly to a daily basis, solving the pain points of slow implementation of factory AI; through training models with over 23TB of multimodal embodied data, focusing on process actions rather than just image recognition; continuously iterating algorithms through a cloud-edge-end architecture, transforming Siasun Robot&Automation from a one-time asset into a continuously evolving production element. These four core differences are the technological foundations for rapid scalability, high gross margin, and strong repeat purchases. The "triple improvement" of accounts receivable: in-depth insight into risk management capabilities If cash flow is considered the blood, then accounts receivable is the health of the blood vessels. Weiyi Intelligent Manufacturing showed three positive signals in its management of accounts receivable in 2025. In terms of the aging structure of accounts, despite the expansion of business scale, the total amount of accounts receivable and notes decreased from 6.15 billion RMB at the end of 2024 to 4.64 billion RMB at the end of 2025. The aging structure has significantly improved, with a higher proportion of accounts receivable due within one year, and the recovery of longer-term receivables also showing improvement; Efficiency has significantly improved. With the enhancement of supply chain negotiation capabilities and refined customer receivables management, the company's accounts receivable turnover days have decreased significantly. This not only releases funds but also improves the efficiency of asset utilization. With the improvement in expected collections and optimization of customer credit conditions, the company made net allowances of 1552.5 million RMB for financial assets and contract assets in credit losses in 2025 (compared to a net allowance of 1082.1 million RMB in 2024). If one only looks at the net profit figure - a net profit of 506.6 million RMB in 2025, a decrease from 2024 - they may overlook the strategic investments that Weiyi Intelligent Manufacturing is making. However, after adjusting for non-cash and one-time factors such as listing expenses and share-based payments, the company's adjusted net profit (Non-IFRS) reached 48.73 million RMB in 2025, demonstrating strong profit potential. The fluctuation in net profit is actually the company preparing for the future. In 2025, Weiyi Intelligent Manufacturing invested heavily in R&D, amounting to 2.35 billion RMB, accounting for almost 30% of revenue. This substantial fund flows in two main directions: A computational power arms race: To train the "brain" of Siasun Robot&Automation, the company invested heavily in purchasing related equipment and research personnel. This money is buying future core competitiveness - enabling the continuous evolution of the "intelligence" of Siasun Robot&Automation. The second focus is the impact of the consolidation of J-Bot. By acquiring J-Bot, Weiyi Intelligent Manufacturing has complemented the core capabilities of Siasun Robot&Automation's main body and underlying motion control. While this has increased management costs in the short term, in the long run, it has achieved a full-stack self-developed closed-loop system using both hands and brain. The third focus is the listing expenses. This expense is a one-time "entry fee". When calculating the core operating profit of the company, this expense must be removed. This is the company's "coming-of-age" in financing growth and internationalization. Therefore, do not be misled by the nearly 50 million RMB adjusted net profit. Once these strategic, one-time, or non-cash influences are excluded, the profit potential of the company's core business becomes clear, highlighting the data moat built behind the 2.35 billion R&D expenditure. This is the core anchor point of Weiyi Intelligent Manufacturing's future valuation.