Hesai Group, a Cayman Islands holding company with main operations in mainland China, files its annual report on Form 20-F for the year ended December 31, 2025. It reports 156,145,167 ordinary shares outstanding, split between Class A and Class B shares.
The report highlights a complex China-based structure, extensive intra-group cash movements, and strict internal controls over fund transfers. Hesai details heavy R&D investment in LiDAR and in-house ASICs, growing accounts receivable, and reliance on Chinese tax incentives.
Regulatory and geopolitical risk is a major theme, including PRC data and cybersecurity oversight, possible CSRC filing requirements for future overseas offerings, HFCAA-related delisting risk, U.S.–China trade tensions and tariffs on LiDAR exports, the U.S. Outbound Investment Program, and Hesai’s inclusion on the U.S. Department of Defense’s Section 1260H “Chinese Military Companies” list, which has already hurt customer relationships and share price.
Hesai Group filed a Form 6-K sharing a supplemental announcement about its continuing connected transactions with Sharpa under a Supply of Products Framework Agreement. The company explains how prices for robotic actuators and related manufacturing and support services will be set and monitored.
The consideration for both products and services will follow a cost-plus basis, with margin rates agreed after arm’s length negotiation. These margins will reference the median of the interquartile range of three-year weighted average cost-plus margins of comparable companies, as identified in an independent transfer pricing analysis report.
The board considers the margin ranges and the annual cap for transactions through December 31, 2026 to be fair and reasonable and in the interests of shareholders. Hesai also outlines internal control measures designed to ensure the transactions follow the framework terms, remain on normal commercial terms, and stay within the approved annual cap.
Xiang Shaoqing reported acquisition or exercise transactions in this Form 4 filing.
Hesai Group director and Chief Technology Officer Xiang Shaoqing received a grant of 157,000 restricted share units. Each unit represents the right to receive one Class B ordinary share when it vests. The award was granted on March 25, 2026 as equity-based compensation.
The 157,000 restricted share units vest in four equal annual installments over a four-year period, beginning on the first anniversary of May 31, 2026, so long as Xiang continues in service through each vesting date. Following this grant, the Form 4 shows 157,000 restricted share units held directly.
Wang Hui (Jasmine) reported acquisition or exercise transactions in this Form 4 filing.
Hesai Group director Wang Hui (Jasmine) received a grant of 6,565 restricted share units on March 25, 2026. Each unit gives the right to one Class B ordinary share when it vests. All 6,565 units are reported as held directly after the grant.
The award vests in three installments, subject to her continued service: 2,188 units on March 25, 2027, 2,188 units on December 24, 2027, and 2,189 units on December 23, 2028. The restricted share units do not have expiration dates.
Li Yifan reported acquisition or exercise transactions in this Form 4 filing.
Hesai Group Chief Executive Officer Li Yifan reported receiving a grant of 157,000 restricted share units. Each unit represents the right to receive one Class B ordinary share when it vests, so this award equates to 157,000 Class B ordinary shares if fully vested.
The grant was made on March 25, 2026 and vests in four equal annual installments over a four-year period, starting on the first anniversary of May 31, 2026, as long as Li Yifan continues in service through each vesting date. Following this grant, he holds 157,000 restricted share units directly.
Sun Kai reported acquisition or exercise transactions in this Form 4 filing.
Hesai Group reported that Chief Scientist and significant shareholder Kai Sun received a grant of 157,000 restricted share units on March 25, 2026. Each unit gives the right to receive one Class B ordinary share upon vesting, so this award ties directly to future equity ownership.
The RSUs vest in four equal annual installments over a four-year period, starting from the first anniversary of May 31, 2026, and require Kai Sun to remain in service through each vesting date. Following this grant, he holds 157,000 RSUs, reflecting a compensation-related equity award rather than any open-market purchase or sale.
Hesai Group reported two main developments. The company granted an aggregate of 785,356 restricted share unit awards, representing the same number of Class B ordinary shares, to four directors and 70 employees under its 2021 equity incentive plan, following approval by independent directors within Hong Kong Listing Rules limits.
Separately, Hesai entered into a Supply of Products Framework Agreement with Sharpa, under which it will supply LiDAR products and robotic actuators from March 25, 2026 to December 31, 2026, with an annual transaction cap of RMB100 million. Sharpa is a connected person as the co-founders collectively hold majority voting rights, so these continuing transactions are subject to reporting, annual review and announcement requirements but are exempt from circular and independent shareholder approval.
Hesai Group reported a strong turnaround for 2025, achieving its first full-year GAAP profitability as a lidar company. Net revenues reached RMB3,027.6 million (US$432.9 million), up 45.8% year-over-year, with lidar shipments tripling to 1,620,406 units.
Full-year net income was RMB435.9 million (US$62.3 million), compared with a net loss of RMB102.4 million in 2024; non-GAAP net income rose to RMB550.5 million (US$78.7 million). Q4 2025 net revenues were RMB1,000.5 million with net income of RMB153.2 million.
Gross margin for 2025 was 41.8%. Cash reserve stood at RMB7,511.0 million (US$1,074.1 million) and shareholders’ equity at RMB8,958.8 million. Hesai guides Q1 2026 net revenues of RMB650–700 million, implying 24%–33% year-over-year growth, and received approximately US$6.4 million from a resolved IP arbitration.