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    Tony Shen • SPDB International

    Tony Shen's questions to Ecarx Holdings Inc. (ECX) leadership

    Tony Shen's questions to Ecarx Holdings Inc. (ECX) leadership • Q4 2024

    Question

    Tony Shen from SPDB International asked for guidance on 2025 revenue, gross margin, and the breakeven timeline. He also questioned the opportunities in cockpit and driving solutions given rising ADAS penetration, and followed up on the 2025 gross margin outlook.

    Answer

    Chairman and CEO Ziyu Shen stated that achieving full-year breakeven in 2025 is the top priority, ahead of revenue growth, to ensure a healthy financial position for global expansion. CFO Phil Zhou added that while pricing pressure exists, the company aims to maintain margins around 20% through supply chain optimization, economies of scale, and improved operational efficiency, with OpEx as a percentage of revenue expected to fall.

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    Tony Shen's questions to Ecarx Holdings Inc. (ECX) leadership • Q3 2024

    Question

    Tony Shen of SPDB International asked for the gross margin outlook for 2025, the potential impact of increased in-house manufacturing, and an update on overseas business expansion, including the revenue outlook for 2025.

    Answer

    Chief Financial Officer Phil Zhou stated that while pricing pressure on hardware persists, the company aims to maintain an overall gross margin above 20% by balancing the sales mix with high-margin software and services, and confirmed that in-house manufacturing should positively impact margins. Chief Operating Officer Peter Cirino added that while the company is engaged in RFQs with European OEMs, significant revenue is not expected until late 2025 or 2026, with vehicle production likely in 2027 due to long development cycles.

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