XCC Group (603667.SH) announced on June 16 its plan to issue A-shares to specific investors, aiming to raise up to 1 billion yuan. The funds will primarily support R&D and industrialization projects for embodied intelligent robots and core automotive smart-driving components, while also supplementing working capital.

**Full Industrial Chain Advantages Drive Strategic Transformation, Targeting Core Sectors of New Quality Productivity**

With over two decades of expertise in precision manufacturing, XCC Group is one of the few domestic companies with a complete industrial chain covering bearings and precision components, including precision forging, tube manufacturing, cold forming, machining, heat treatment, grinding, and assembly. In recent years, leveraging its traditional precision component business as a foundation, the company has expanded into high-value-added sectors, successfully entering fields such as new energy vehicle components, wind power rollers, and core actuator parts for embodied intelligent robots.

The fundraising project, located in Xinchang, Zhejiang, involves a total investment of 1.055 billion yuan (with 700 million yuan to be raised), and has a three-year construction period. Upon full production, the project is expected to achieve an annual output of 980,000 planetary roller screws, 2.1 million micro ball screws, 70,000 sets of specialized bearings for general-purpose robots, 1 million automotive steering system screws, and 4 million parking brake system screws, comprehensively addressing the demand for core transmission components in humanoid robots and smart vehicles.

**Seizing the Window for Domestic Substitution, Pioneering the High-End Transmission Component Market**

XCC Group believes that humanoid robots and smart vehicles, as industries prioritized under China's new quality productivity strategy, present vast market opportunities for high-end screws and bearings due to their rapid development and the trend of domestic substitution for core components. By implementing this project, the company aims to capitalize on this critical period for domestic substitution, gain a first-mover advantage, and establish new growth drivers to solidify its long-term sustainability.

In terms of customer expansion, the company established a Motion Control Transmission Division in 2023 to focus on high-end screw products. It has already partnered with several leading humanoid robot and automotive manufacturers, supplying components for industrial robots and new energy vehicles, creating synergies between existing clients and new business lines.

Financially, XCC Group reported revenue of 3.265 billion yuan in 2024, up 5.1% year-on-year, while net profit attributable to shareholders fell 33.88% to 91.37 million yuan. In Q1 2025, revenue grew 15.06% to 889 million yuan, with net profit edging up 0.05% to 37.85 million yuan.

The company stated that this project aligns with China's 14th Five-Year Plan for intelligent manufacturing and new energy vehicle industry policies. As the project progresses, it will facilitate XCC's transformation from a traditional precision component supplier to a provider of core component solutions for high-end equipment, enhancing its overall competitiveness.