Sensetime Group, Inc. Class B · HKEX:20
Sensetime Group, Inc. Class B — FY2022 Earnings Presentation
39 slides from Sensetime Group, Inc. Class B's earnings presentation, March 2023
Slide 1: 2022 Annual Results Presentation
SenseTime Group Inc. 2022 Annual Results Presentation 2023.03
Slide 2: Strong Foundation for Technology Breakthrough: SenseCore + Large Models
Strong Foundation for Technology Breakthrough: SenseCore + Large Models 2022 Highlights Revenue Breakdown by Business Segments RMB 3.8bn RMB 2.5bn (67%) FY2022 FY2021 Revenue (yoy -19%） Gross profit Smart Smart Life Smart Smart Life 9% Smart Life + Smart Auto revenue yoy +108% (gross margin %） Busin
Slide 3: The Race for Larger Models has Begun
The Race for Larger Models has Begun Over the past five years, numerous large-scale models have emerged in the fields of CV, NLP and multimodal. The number of parameters of the models increasing almost by an order of magnitude each year 1011 1012 SenseChat SenseTime GPT-3 OPT (32Bn) (180Bn) PaLM DAL
Slide 4: SenseTime's Path to AGI
SenseTime’s Path to AGI 2019 2020 2021 2022 2023 Future 1 billion 2 billion 8 billion 32 billion parameters parameters parameters parameters Large Multimodal AGI Model 2 billion parameters 3 billion parameters ~180 billion Visual Perception parameters Natural Language Processing 1 billion AI Content
Slide 5: SenseCore - Unique Infrastructure for Large Models
SenseCore - Unique Infrastructure for Large Models High computing power Parallel Computing with Domestically-produced super node computing power Support concurrent training of 1 Collaborate with domestic GPU producers on domestic training cluster of 1,000 chips Build a large-scale model infrastructu
Slide 6: Comprehensive Support of Domestic Large Model Training
Comprehensive Support of Domestic Large Model Training Leveraging our infrastructure to build China’s AGI with industry partners Multimodal large model CV large model CV large model NLP large model NLP large model NLP large model NLP large model NLP large model NLP large model 67,000+ commercialized
Slide 7: Natural Language Processing
Natural Language Processing Product naming and promotional copy generation Hello, I’m a LLM chat bot, good talking to you! You are a team member of SenseTime’s marketing team, please name the digital human platform that the company is launching soon Ruying Digital Human Platform Why this name? The n
Slide 8: Natural Language Processing
Natural Language Processing Product naming and promotional copy generation The Digital Human Platform is an intelligent digital human generation platform developed by SenseTime, aimed at providing efficient and convenient digital human production and application services for enterprise users.This pl
Slide 9: Natural Language Processing
Natural Language Processing Product naming and promotional copy generation Still not rhyming enough, how about a longer one? Digital human creation, follows you like a shadow, making your virtual image more real and lifelike, bringing you a richer and more interesting digital life! How about a poeti
Slide 10: Natural Language Processing
Natural Language Processing Could you please write a 100-word summary for this announcement? 1. SenseCore and high-performance computing: The Company continues to make breakthroughs in its AI computing infrastructure – SenseCore. SenseCore achieves a computing power output of 5.0 exaFLOPS based on t
Slide 11: AI Generated Content (AIGC)
AI Generated Content (AIGC) Generated art based on Chinese poetry 君不见黄河之水天上来，奔流到海不复回。 故垒西边，人道是，三国周郎赤壁。 北国风光,千里冰封,万里雪飘 君不见高堂明镜悲白发，朝如青丝暮成雪。 11
Slide 12: AI Generated Content (AIGC)
AI Generated Content (AIGC) Realistic-style painting 12
Slide 13: AI Generated Content (AIGC)
AI Generated Content (AIGC) Real model generation Training pictures 13
Slide 14: AI Generated Content (AIGC)
AI Generated Content (AIGC) Digital Human 14
Slide 15: AI Generated Content (AIGC)
AI Generated Content (AIGC) Digital Human 15
Slide 16: AI Generated Content (AIGC)
AI Generated Content (AIGC) Digital Human 16
Slide 17: Promoting the Development of Domestic AI Hardware and Software Ecology
Promoting the Development of Domestic AI Hardware and Software Ecology Actively adapting and optimizing domestic GPU chips Compatible with 500+ PFLOPs wide-range of chips AI computing cluster of Heterogeneous computing system domestic chips 33 brands, 58 chips 5 types Working with domestic chip make
Slide 18: Business Review
O71 Business Review
Slide 19: Large Models Strengthen Our Product Suite Across Business Segments
Large Models Strengthen Our Product Suite Across Business Segments Smart Life Smart Auto Smart Business Smart City Revenue yoy +130% Revenue yoy +59% Revenue yoy -25% Revenue yoy -49% Revenue, # of customers Growth of mass production Proactively allocating Moderately reducing the and ARPU al
Slide 20: Smart Life: Beneficiary AIGC breakthrough, AI Sensors and SenseCare
Smart Life: Beneficiary AIGC breakthrough, AI Sensors and SenseCare Breakthrough across Multiple Multiple business lines achieved significant growth Business Lines leveraging on Large Models RMB mn 130% 955 415 SenseMARS Mobile Devices Full-stack offerings in Significant revenue growth in AIGC multi
Slide 21: Smart Life: SenseMARS Platform Based on AIGC Capabilities
Smart Life: SenseMARS Platform Based on AIGC Capabilities AIGC multimodal full-stack offerings enabling commercial breakthrough and revenue growth Empowering the online and offline metaverse AIGC digital human generation Encompassing text, audio, images, videos and 3D scenes Full-stack capabilities
Slide 22: Smart Life: SenseME Platform for Mobile Devices
Smart Life: SenseME Platform for Mobile Devices Achieving technology and commercialization breakthroughs and significant revenue growth Delivered 6 AI sensors; successfully completed RGBW AI 2*2 OCL commercial transformation Delivery to a Continue to charge IP licensing fees, with high vivo X80
Slide 23: Smart Auto: Pilot-Cabin-Cloud Intelligent Services Empowering Automobile Companies
Smart Auto: Pilot-Cabin-Cloud Intelligent Services Empowering Automobile Companies Mass production breakthrough Car OEMs and Car Models Serviced with significant revenue growth RMB mn 59% 293 184 2021 2022 Revenue 4% 8% …… Contribution 500k+ 8m+ Additional mass Additional vehicles produced vehicles
Slide 24: Smart Auto: SenseAuto Cabin
Smart Auto: SenseAuto Cabin Develop various innovative product features to increase the per vehicle value Completed 10+ Industry’s First Product Launch Emergency Sentry Air Alert Mode Touch Multimodal Intelligent AR Interaction Screensaver Karaoke Driver Identification Gesture Recognition Driv
Slide 25: Smart Auto: SenseAuto Pilot
Smart Auto: SenseAuto Pilot Achieving mass production of L2++ products and Large Model continuing to strengthen autonomous driving technology Deployment of full-stack intelligent driving software algorithm + data closed-loop cloud services, the solutions Cross-City Expressway widely adapted to high,
Slide 26: Smart Business: Driving Digital Transformation across Industries
Smart Business: Driving Digital Transformation across Industries Business Transformation with Increasing Demand for SenseCore SenseCore Increasing Revenue from SenseCore RMB mn AI infrastructure capability for External Services 1,958 25% enterprise clients 20%+ 1,464 Large Model % of Smart Business
Slide 27: Smart City: Driving Urban Transformation & Digitization
Smart City: Driving Urban Transformation & Digitization Focusing on serving top customers and continuously Based on Resolves urban long-tail demands optimizing cash flow Smart City Enables country-wide digitalization RMB mn CV Large Model 2,143 49% 1,096 Focus on Key Customers Business Repositioning
Slide 28: Financial Review
02 Financial Review -
Slide 29: 2022 Financial Overview
2022 Financial Overview Revenue Gross Profit Net Profit (RMB million) (RMB million) (RMB million) Adjusted net profit(1) Net profit (1,037) (878) (1,418) (4,736) 4,700 3,278 3,809 2,542 3,446 2,432 3,027 (4,968) (6,093) 1,719 (12,158) (17,177) 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2
Slide 30: 2022 Financial Overview – Revenue Breakdown
2022 Financial Overview – Revenue Breakdown Smart Smart City Smart Life Smart Auto Business Revenue Contribution Revenue Contribution Revenue Contribution Revenue Contribution 38% 29% 25% 8% (2021: 42%) (2021: 46%) (2021: 9%) (2021: 4%) yoy growth: -25% yoy growth: -49% yoy growth: +130% yoy growth:
Slide 31: Operating Expenses
Operating Expenses R&D Expenses G&A Expenses Selling Expenses Opex(1) Growth (excl. SBC) (RMB million) (RMB million) (RMB million) Opex (excl. SBC) Opex (excl. SBC) Opex (excl. SBC) SBC SBC SBC 101.5% 4,014 3,614 218 553 2,454 2,298 286 1,916 35.7% 73 3,796 1,590 983 1,568 3,061 177 568 2,167 901 1,
Slide 32: Working Capital
Working Capital Turnover Days – Period Ending Method(1) Provision for Impairment (as % of gross trade receivables) Cash Conversion Cycle 33.1% 16.3% 16.2% 206 398 401 434 8.1% 2019 2020 2021 2022 500 395 Net Impairment Losses on Financial Assets 332 290 (RMB million) 258 244 204 192 9.2% 15.1% 11.0%
Slide 33: Capex and Cash Balance
Capex and Cash Balance Capex(1) Total Cash(2) Equity & Bond Investment(4) (RMB million) (RMB million) (RMB million) Net Cash Equity Investment 29.7% 37.9% 26.9% 135.7% Total Borrowings Bond Investment 21,793 340 6,677 5,167 17,812 1,523 1,017 15,080 4,311 12,244 3,229 3,739 3,357 21,453 2,901 16,795
Slide 34: Strategic Outlook
03 Strategic Outlook -
Slide 35: Focus on Key AI Development Areas to Build Core Capabilities for AGI
Focus on Key AI Development Areas to Build Core Capabilities for AGI 1 2 3 4 Large Computing Power Large Multimodal Model AI Hardware & Chips + AI for All Research Collaboration Invest in high-performance Optimize model architecture Partner with leading chip Reduce the cost and computing inf
Slide 36: Focus on Key AI Development Areas to Build Core Capabilities for AGI (Cont'd)
Focus on Key AI Development Areas to Build Core Capabilities for AGI (Cont’d) 5 Deepen AIGC's multimodal full-stack capabilities to empower online and offline metaverse Promote the application of digital human generation products Continue to innovate product portfolio of AI SDK, AI sensors Upg
Slide 37: SenseTime Product Day Shanghai
sensetime SenseTime Product Day Shanghai SenseTime Artificial Intelligence Data Center 2023.04 , co | in 2 = CO < : [ oi Poster Generated by SenseTime Al Technology a sa 8 ol _ ws
Slide 38: Bin
Bin sensetime
Slide 39: THANKS
THANKS TO CREATE AN AI-EMPOWERED FUTURE THROUGH INNOVATION 2023.03