Guohai Securities: Galaxis Technology (02729) received the first “buy” rating for order conversion and overseas expansion to drive growth
The Zhitong Finance App learned that Guohai Securities released a research report stating that Galaxis Technology (02729) is committed to providing “hardware+software+artificial intelligence” integrated solutions for warehousing and in-market logistics. The company is expected to benefit from the intelligent upgrading of the manufacturing industry, the increase in demand for e-commerce retail and warehousing automation, the increase in demand for intelligent logistics equipment brought about by Chinese enterprises going overseas, and the restructuring of the global supply chain. In the future, with the gradual delivery of on-hand orders, the continuous deepening of overseas localization layout, the release of benchmark project demonstration effects, and scale effects, the company's revenue is expected to maintain rapid growth, and profitability is expected to gradually improve. The bank expects the company's revenue to be 11.88/15.30/1,957 billion yuan in 2026-2028, covering it for the first time and giving it a “buy” rating.
Guohai Securities's main views are as follows:
The scale of revenue is growing rapidly, and the increase projects are mainly large-scale multi-functional integrated systems and AMR deployments
With 2026H1, the company achieved revenue of RMB 504.9 million, an increase of 45.1% over 2025H1's 348 million yuan, mainly due to an increase in the number of projects delivered in China, mainly large-scale multi-functional integrated systems and AMR deployment projects. 2026H1, the company's sales cost was RMB 416.7 million, up 45.6% from 2025H1's 286.1 million yuan. The increase in project costs was mainly driven by increased project delivery. With 2026H1, the company achieved gross profit of RMB 888.2 million, an increase of 42.7% over 2025H1's 61.8 million yuan.
Localized layout combined with ecological cooperation to effectively promote strategic expansion of overseas business
The company is a provider of integrated intelligent in-plant logistics robots, providing a wide variety of robot products based on three core product lines: multi-directional shuttle robot (MSR), autonomous mobile robot (AMR), and transportation and sorting robot (CSR). 2026H1, the company's overseas strategy has been clarified and has entered the systematic implementation stage. Overseas local teams have been formed in North America, Southeast Asia, South America, Europe, etc. The total number of overseas partners has reached 22 companies, and the business has expanded to 31 countries and regions. 2026H1, the company successfully opened the Australian market using an extremely narrow roadway autonomous mobile robot (VFR) as a market entry carrier, and obtained an order for a health products manufacturer VFR project. In terms of major customer development, 2026H1 has gone through multiple rounds of assessments by world-renowned household goods retailers in Sweden and officially entered its global shuttle bus supplier list. 2026H1, the company signed a new VFR project with Japan's leading global electronics manufacturer and local furniture retailer, respectively. The business channel for the Japanese market has been substantially opened; the company seizes the opportunity for Chinese companies to go overseas. In 2025, the company successfully won the bid for a Chinese manufacturer's factory construction project in Brazil. The project is the company's first project in the South American market and has strategic anchor significance. 2026H1, the company obtained a shuttle board project from a local Brazilian food manufacturer, and the South American regional business layout is beginning to show results.
The launch of a benchmark project in mainland China reflects technology implementation and systematic delivery capabilities in large-scale and complex projects
2026H1, the company completed the implementation of a core benchmark project in mainland China. As a national core warehousing hub with the largest customer scale, the project is equipped with industry-leading automation, and the work efficiency is 40% higher than traditional manual warehouses. The total storage capacity of the entire warehouse exceeds 800,000 boxes, and the daily warehouse processing capacity reaches 320,000 order lines. It supports a daily delivery volume of 60,000 items, and is delivered to 12 cities in the Pearl River Delta and more than 4,500 stores. The delivery accuracy and delivery timeliness rate are maintained above 99.9%. The project deployed various intelligent logistics equipment to handle the full range of on-site logistics scenarios, including 120 MSRs, 98 VFRs, and automatic transmission lines with a total length of 15 km. The efficient collaborative operation of all types of equipment fully demonstrated the company's end-to-end service capabilities from planning and design, systematic integration to delivery and implementation. The company uses a full-stack solution of “hardware+software+artificial intelligence” to help customers automate the entire process from receipt, palletizing, listing, selection, review to delivery.
2.2 billion yuan of orders to be delivered, continuing to expand overseas markets
As of June 30, 2026, the total amount of robots and systems to be delivered by the company is approximately RMB 2.2 billion, and is expected to be implemented within the next three years. Of these, 56 are ongoing overseas projects, and the total amount to be delivered is RMB 710 million. The company remains focused on enriching the robot product portfolio, expanding market share and deepening customer relationships to promote sustainable growth in domestic and international markets. Looking forward to the future, the company will adopt the following strategies: (i) maintain a leading position in product innovation through continuous investment in R&D; (ii) strengthen overseas business through carefully selected market focus and localized execution; (iii) expand into new industries and new application scenarios and deepen penetration in core vertical fields; (iv) strengthen industrial chain collaboration and build a scalable intelligent on-site logistics ecosystem; (v) continuous revenue growth; and (vi) improve management and operational efficiency.
Gross margin declined slightly, and R&D investment continued to increase
With 2026H1, the company achieved gross profit of RMB 888.2 million, an increase of 42.7% over 2025H1's 61.8 million yuan. Gross margin was 17.5% for 2026H1 and 17.8% for 2025H1. The gross margin declined slightly, mainly due to an increase in the share of revenue confirmed from multi-functional integrated systems, which generally involved higher procurement costs for third party equipment and components associated with system integration, and higher implementation costs due to more complex system design and implementation. For 2026H1, administrative expenses were RMB593 million, an increase of 45.7% over the 2025H1 RMB407 million, mainly due to the increase in professional service fees after listing. For 2026H1, sales and marketing expenses were RMB 300.8 million, an increase of 53.2% compared to 2025H1 million yuan, mainly due to increased employee benefits expenses, business development and travel expenses, and warranty-related services. 2026H1's R&D expenditure was RMB 387.7 million, up 27.3% from 2025H1's $304 million, mainly due to increased employee costs to support ongoing product and technology development.
Risk warning: High balance ratio and reliance on IPO fund-raising to repair balance sheet risks; risk of insufficient working capital due to insufficient fund-raising; risk of exchange losses in Hong Kong dollar deposits and foreign currency assets due to increased share of overseas business; risk of increasing exchange rate fluctuations; risk of gross margin falling short of expectations; risk of falling short of expectations in overseas business expansion; risk of falling short of expectations in on-going order conversion; risk of actual controllers and management falling short of expectations in compliance penalties.