SenseTime has reported significant progress in its artificial intelligence sector, reducing losses and achieving substantial growth in the first half of 2025. The company’s revenue reached 2.36 billion yuan, a 35.6% increase compared to the previous year, while gross profit rose by 18.4% to 907.8 million yuan. However, the gross margin decreased to 38.5% due to increased costs in hardware and data centers. The adjusted net loss was cut in half to 1.16 billion yuan. The generative AI division saw a remarkable 72.7% revenue increase, now accounting for 77% of total sales. This surge is attributed to the rising demand for AI model training and development. SenseTime’s stock price has increased by 48.2% this year, reflecting positive market sentiment. CEO Xu Li highlighted the industry’s focus on multimodal reasoning and AI agents driving widespread adoption.
Is SenseTime’s AI growth leading China’s national initiative?
