A：The main business of Cathay Pacific is automobile intelligence, especially the intelligent service of automobile intelligent cockpit, which is the core business of the company. At the same time, the company is also actively expanding AI-related businesses, and takes the four directions of soft and hard core cloud as the strategic direction, including software, hardware, chips and cloud platform services.

A：In 2025, Cathay Pacific's overall performance was strong, with revenue of about 3.5 billion yuan, up 37% year-on-year. Among them, the revenue in the direction of automobile intelligence reached 3.4 billion yuan, up 40% year on year. Smart cockpit pre-controlled delivery volume also increased by 40% year-on-year, with gross profit margin of 12.4, up 0.6 year-on-year.

A：In the first quarter of 2026, Cathay Pacific's revenue grew by more than 100 percent year-on-year, significantly higher than the 40 percent growth rate in 2025. In addition, the quarter's operating margin is also improving year-on-year, showing a good momentum of top line's strong growth and margin improvement.

A：There are four main strategic directions and growth momentum for Cathay Pacific: high-end, global expansion, AI business expansion and chip business layout. Especially in terms of high-end, with the landing of Qualcomm's next-generation chip solution 8397 platform, it will bring about the first large-scale application of AI large models in the cabin of automobiles, thus pushing the intelligent process of the entire automobile industry into the industry dividend stage of rising volume and price. Cathay Pacific Auto United has a leading edge in this field and is expected to fully benefit from the high-end trend of the industry.

A：According to the projects or fixed-point situation we have currently obtained, it is expected that by 2026, the company's market share in Hongmeng Zhixing may increase from 50% to nearly 70%, and its performance in the high-end field is particularly outstanding. This is mainly due to the high-volume landing of Qualcomm's cutting-edge chip solutions and the expansion of the market share of Kirin chip solutions, which will not only lead to an increase in the overall selling price (ASP), but also to an increase in gross margin.

A：In our customer structure in overseas markets, we have successfully established cooperative relations with Porsche and Korean head car companies, and have obtained the acceptance of post-loading projects and the exclusive supply qualification of regional projects in China. It is expected that there will be a process of volume and landing this year. In particular, Korean customers will enter the stage of mass production and delivery this year, and may achieve greater growth in the next two years, becoming one of the company's important sources of income. In addition, we are also working with a world-renowned luxury car brand to use Qualcomm's flagship chip solution, which also reflects our ability to land high-end chip solutions.

A：AI software and cloud intelligence revenue is expected to reach about 95 million by 2026, a significant growth of several times over this year. The growth of AI-related businesses this year mainly comes from three aspects: first, to build and optimize AI research and development platforms to improve customer research and development efficiency; The second is to continue and enhance AI networking services, including renting cloud AI servers such as Tencent Ali to provide car networking services for customers. The third is to launch AI box product, which is based on Qualcomm 8397 chip platform and Avida chip and can help car companies to quickly deploy large AI models on the bus, meet their need to enhance their technology attributes and create product differentiation, as well as the need for large model vendors to extend their capabilities to the end side.

A：We are committed to working with AI large model technology and automakers to integrate it into in-vehicle systems to achieve vehicle-level standards, multi-interface compatibility, and functional connectivity. The goal is to build an end-test AI agent with memory, planning, and tool invocation capabilities to provide proactive human-computer interaction services. For example, the air conditioner is turned on in advance in summer, the door opening direction is automatically adjusted according to the external environment of the car, or it is recommended to use the normal driving mode instead of the sports mode on rainy days. The advantages of this end-side implementation are data privacy protection, fast learning and agile response capabilities.

A：AI box, as an embodiment of AI related products, has already obtained a designated customer, and the cooperation with other customers is also in progress. It is expected to start delivery as soon as the fourth quarter of this year. With the increase in customer demand, next year will achieve a larger scale volume, become an important part of the company's AI related business sectors.

A：Cathay Pacific Auto Federation has formulated a strategic plan in the chip field. It will focus on soft and hard cloud-related technologies and synergies, especially through endogenous development and extension mergers and acquisitions, aiming at the licenses and patents left in overseas markets due to the withdrawal of the chip market from the Chinese market. In order to achieve good coordination with the company's core business and capabilities, and carry out related businesses.

A：The competitive pattern of intelligent cockpit pre-control intelligent direction is relatively stable. In the domestic market, there are not many competitors and the degree of competition is not fierce. There is a certain tacit understanding among enterprises, and they all hope to maintain sufficient gross margin space for positive R & D investment. In the overseas market, the competition is more reflected in the cooperation with overseas TOY, and the company's competitive advantage in this field is more obvious. The company's main competitor is not Horizon, which focuses on smart driving chips, while we focus on smart cockpit pre-control solutions. Although there is a cooperative relationship between us, they play different roles. They provide chip solutions. We are responsible for landing these chip solutions inside car companies and transforming them into intelligent cockpit pre-control products.

A：Our development focus this year is on high-end growth, overseas related business growth, AI related business explosive growth, and strategic layout in the direction of chips.

A：The specific proportion of these directions in the current combined order rate of positions is not clearly stated, but it is emphasized that the landing of the most cutting-edge chip scheme of Qualcomm and Kirin is the priority, which meets the customer's demand for flagship models.

A：It is suggested to ask Horizon or refer to Huawei's relevant ideas. Cathay Pacific Auto Association mainly provides intelligent solutions. The specific chip selection is decided by car companies. Cathay Pacific Auto Association will provide mature and reliable product landing solutions.

A：The revenue side is expected to be 3.5 billion in 2025, with a year-on-year growth rate of 40 per cent and a gross profit margin of 12.4 per cent, an increase of 0.6 percentage points over the same period last year; AI-related revenue is 95 million per cent, with adjusted net loss narrowing by more than 30 per cent year-on-year. The target for 2026 is for revenue to maintain a high growth rate (well over 50%), gross margin to rise, and adjusted losses to fall sharply; revenue is expected to continue to grow strongly in 2027, with high orders in hand and guaranteed three-year growth certainty, which may be leveled or slightly profitable after adjustment.

A：Last night's announcement showed that revenue grew by more than 100 per cent in the first quarter compared with the same period last year, and operating profit margins improved compared with the same period last year, in line with the current trend.

A：There are two key points in the overseas business plan: first, China's afterloading project has passed the acceptance, and it is expected that the delivery volume this year can refer to the sales volume in the Chinese market; Second, a South Korean car company has already obtained a fixed point. It is expected to start mass production and delivery in the fourth quarter of this year and will be delivered throughout the year next year. This customer will grow in magnitude and will become one of the top 10 customers in 2027, with greater contribution.