Automotive Author：Xiangqun Ji Editor：Tao Ni Apr 21, 2022 09:52 AM (GMT+8)

Jingwei Hirain announces that proceeds raised from the IPO will be used to build an automotive electronics manufacturing base, boost R&D, and improve digitization.

Autonomous driving summary report

Beijing Jingwei Hirain Technology (Chinese: 经纬恒润), which specializes in the development, production and sale of automotive electronics, has listed on the Sci-Tech Innovation board (STAR Market) yesterday, issuing 30 million common shares priced at  CNY 121 apiece.   

The prospectus shows that Jingwei Hirain’s core product, its Advanced Driver Assistance System (ADAS), is installed on more than 10 car models. 

Between 2018 to 2020, the ADAS sales increased from 68,000 to 307,000 units and another 272,000 units were sold in the first half of 2021. The company’s intelligent driving products include electronics components for intelligent networking, chassis control and power system.

Moreover, Jingwei Hirain’s ADAS took 30% of the domestic heavy-duty truck market, the highest among all players, and 16.7% of the market for homegrown auto brands in 2020, second only to Bosch.

Based on the 2021 annual report, the firm’s  net profit attributable to shareholders grew to CNY 146 million in 2021, with a CAGR of 91.56% from 2018 to 2021, while its revenue enlarged to CNY 3,262 million, with a CAGR of 28.46% during the same period.  

By the end of 2021, Jingwei Hirain has 3,570 employees, of which 669 are  research personnel. The company is increasing R&D spending and investment in talent, with a goal to raise its R&D expenditure to CNY 145-165 million in Q1 2022, up 63.1%-85.6% from the same period last year. 

China’s ADAS market is intensively competitive. As one of the leading firms in the industry, Jingwei Hirain is facing a formidable challenge from competitors such as Hesai Tech (Chinese: 禾赛科技), RoboSense (Chinese: 速腾聚创), LS LiDAR (Chinese: 镭神智能) and iSureStar (Chinese: 北科天绘).