Unitree Reports First Post-IPO Earnings: Revenue Up Nearly 70%, Net Profit Falls Due to AI R&D Surge

Chinese robotics manufacturer Unitree Robotics released its first quarterly financial report following its listing on the Shanghai Stock Exchange on October 28. The data shows that for the third quarter ending September 30, the company's revenue reached 665 million yuan (approximately US$99.7 million), a year-on-year increase of 69.93%. However, net profit excluding non-recurring items fell 17.42% to 105 million yuan.

The primary driver of the profit decline was a sharp increase in research and development spending. Unitree's R&D expenses jumped 249.58% year-on-year to 127.04 million yuan, accounting for about 19% of revenue. According to filings with the Shanghai Stock Exchange, this investment is focused on developing the software "brains" of its robots and associated computing power, aiming to enhance the intelligence of its industry-leading robotic hardware.

Despite the pressure on single-quarter profitability, Unitree's overall performance for the first three quarters remained strong. Net profit attributable to shareholders reached 387 million yuan, a significant year-on-year increase of 270.54%. The company attributed this growth partly to revenue expansion and partly to a high base of "significant" one-off expenses incurred during the same period last year. Excluding these non-recurring items, net profit for the first three quarters decreased by 18.78% year-on-year.

In terms of market reaction, Unitree shares rose 8.74% to 695.90 yuan before the earnings release, fueled by optimism in the Chinese robotics sector following recent breakthroughs in AI models like OpenAI's GPT-6 Astra, which demonstrated surprising robotics manipulation capabilities. Prior to this rally, the stock had plummeted more than 60% from its peak after its August trading debut.