Hesai Q3 Revenue Up 34% but Below Guidance as Robotics Lidar Slips

Hesai reported third-quarter revenue of RMB1,068.3 million ($159.3 million), up 34.3% from a year earlier but roughly 3% below the low end of its own RMB1,100–1,150 million guidance. The Shanghai-based lidar maker, which released results on Tuesday, had set that range in August. It now guides fourth-quarter revenue to the same band, RMB1,100–1,150 million ($164–172 million).

Total lidar shipments rose 65.3% year on year to 729,673 units. The driver was automotive: shipments of ADAS lidar for passenger cars climbed 67.6% to 638,055 units. Robotics lidar told a different story, falling to 91,618 units from 142,371 in the second quarter, even though the figure was still up 51.1% from a year earlier. The takeaway: Hesai's growth engine remains car lidar, while its robotics business is moving in the opposite direction quarter to quarter.

Where the profit went

Net income fell 68.5% to RMB80.8 million, but the comparison is distorted. The year-ago quarter included RMB185.1 million of one-time income, so the underlying decline is smaller than the headline suggests. Gross margin slipped to 41.0% from 42.1% a year earlier, though it improved from 40.1% in the second quarter.

Operating income came in at RMB62.6 million, down 19.1% from a year ago but sharply higher than the RMB2.2 million posted in Q2. Cash reserves stood at RMB6,977.1 million ($1,040.7 million) at September 30. Hesai converts its figures at RMB6.7045 to the dollar. In plain terms, the company remains profitable and well capitalized, just less so than a quarter flattered by one-time gains.

"We delivered net income of RMB81 million and our sixth consecutive quarter of GAAP profitability," CFO Andrew Fan said.

What is the new SGI segment costing?

Hesai now reports lidar separately from its Strategic Growth Initiatives (SGI) segment, which sells robotic actuation modules and Kosmo 3D spatial-data services to robot makers. The split shows where money is being made and where it is being spent.

• Lidar operating income rose 88.0% to RMB145.5 million.
• SGI revenue reached RMB90.5 million in the quarter, against an operating loss of RMB82.9 million.
• Actuation-module shipments nearly doubled from the second quarter to 23,405 units.
• SGI revenue for the first nine months hit RMB135.5 million, already past the original RMB100 million full-year target.

The core lidar business is funding a loss-making robotics buildout, and management is keeping its raised 2026 SGI revenue range of RMB200–300 million.

How the quarters compare

Hesai's own releases frame the trend across three quarters:

RMB million	Q3 2026	Q2 2026	Q3 2025
Net revenues	1,068.3	860.8	795.4
Lidar units	729,673	628,275	441,398
Gross margin	41.0%	40.1%	42.1%
Operating income	62.6	2.2	77.4
Net income	80.8	70.6	256.2

Revenue has grown for at least three straight quarters and unit volumes are compounding fast. Margins and operating income, however, remain below year-ago levels.

What to watch next

The fourth-quarter guidance of RMB1,100–1,150 million repeats the range Hesai just missed, which puts execution pressure on the ADAS pipeline. Robotics lidar demand must also recover from its sequential drop if the 2026 SGI target of RMB200–300 million is to stay credible. The next quarter will show whether car lidar volume alone can carry Hesai past a guidance line it failed to clear this time.