On the morning of May 25, 2026, Shenzhen Inovance Technology Co., Ltd. (hereinafter referred to as “Inovance Technology” or the “Company”) announced that it had held a number of investor relations activities recently.
During the interaction with investors, the company analyzed the driving factors for the recovery of the industrial control industry in this round, and admitted frankly that the industry is currently facing rising raw material prices and tight supply cycles.
The company took advantage of the trend to adjust product prices and made every effort to make up for the delivery gap.
In addition, the company plans technological innovation and new product expansion, and many types of precision parts are gradually implemented. However, overseas business is affected by factors such as market structure and brand recognition, and the pace of expansion is slow.
The company has also locked in three new growth tracks: intelligent robots, digital energy, and AI intelligent manufacturing, and simultaneously promoted the research and development of computing power center-related products to steadily tap into the incremental space for long-term development.
Investors asked the company how it views the reasons for this round of industrial control recovery. Innovative Technology responded that this round of industrial automation growth is mainly driven by three aspects.
First, it is driven by emerging industries. AI drives the demand for the entire industrial chain from materials, PCBs, chips, liquid crystals to machine tools. Energy storage, humanoid robots, etc. have also formed new industry pulls. Second, driven by the start of the “15th Five-Year Plan”, national-level investment projects across regions and local governments have increased, such as water conservancy, transportation, energy and other related strategic projects, which have stronger investment efficiency and industry pull. Third, there is demand for independent controllable industries, with rising demand for independent controllable products in petrochemical, transportation, energy and other fields.
Recently, the industrial automation industry has experienced price increases and tight delivery times.
Inovance Technology stated that the supply side of the industrial automation industry has changed significantly this year, with rising raw material prices, tight delivery times and price adjustments in the industrial chain.
The company has made price adjustments based on the increase in raw material prices, and price transmission in the industrial automation field has been relatively smooth.
The company’s orders in the first quarter were good, but due to insufficient production capacity preparations, deliveries fell short of expectations. In the second quarter, the company is accelerating to catch up.
When talking about future automation product layout, Inovance Technology said that the company must continue to improve the company’s market position through new architecture and new technologies to reconstruct the competition method.
The first is to use technological trends such as digitalization, intelligence, and wirelessness to form new product and solution architectures; the second is to leverage the advantages of China’s complete manufacturing scenarios and use Chinese manufacturing and Chinese technology for global industrial manufacturing upgrades; the third is to promote the implementation of AI in industrial scenarios, giving priority to scenarios such as predictive maintenance and inspections.
Inovance Technology revealed that the company has deployed many new products under the industrial automation segment, including screw guides, pneumatics, sensors, high-performance motors, etc.
For example, precision machinery/screw guide rails, the company began its layout in 2016, and has a leading position in the all-electric injection molding machine heavy-duty market, SCARA and other segments.
At present, the machine tool industry has good demand for precision machinery, and in the future it can also be extended to humanoid robots, planetary roller screws, intelligent chassis and other directions.
Pneumatic product companies have begun to lay out their plans in recent years. The current core product is solenoid valves. The scale this year is expected to be about 100-200 million yuan, and it still needs time to cultivate.
In the future, the company will rely more on multi-category, multi-industry and multi-product solutions to support overall scale growth.
Investors are concerned about the reason why the proportion of overseas revenue has not exceeded 10%. Huichuan Technology said that there are three main reasons for the slow expansion of overseas business.
First, in terms of industrial structure, the global industrial automation market is highly fragmented. Each country has different customers, industries, channels and service networks. It cannot rely on a single agent or simple direct sales to quickly start production. At the same time, the company replaces European, American and Japanese brands, and customer brand inertia is strong, which takes time.
Second, in terms of company strategy, the company adheres to the route of “going global in industry lines”. It usually takes time for customers to recognize and contact customers and then purchase in bulk, and short-term volume is slow to start.
Third, in terms of product adaptation, the company will copy mature domestic multi-product solutions overseas, but it cannot simply copy them. It needs to adapt to local user habits and standards, especially product standards in the European market. Therefore, servo, inverter, PLC and other products need to be continuously upgraded.
Overall, the company adheres to brand marketing and solution marketing. The short-term speed is slow but the long-term growth potential is greater.
Investors asked which businesses may succeed new energy vehicles as the next growth curve. Inovance Technology stated that intelligent robots, digital energy and AI intelligent manufacturing may be the new curve driving the company’s growth.
Intelligent robots empower industries through the technical advantages of humanoid robot core components, and rely on rich industrial scene resources to promote the implementation of humanoid robot solutions in the industrial field; digital energy is based on core technology accumulation in the field of power electronics and digitalization and a rich manufacturing customer base, seizing the expansion trend of dual carbon and AI computing power to promote the development of digital energy management and new power systems; AI intelligent manufacturing relies on Chinese manufacturing technology and scenarios, and relies on the full-stack layout of automation software and hardware to promote the deep integration of “Al + automation and digitalization + Made in China” to empower industrial intelligent manufacturing.
As for the reasons why the company’s business expanded from servo to industrial robots and then to intelligent robots, Inovance Technology stated that intelligent robots are the most important physical carrier for the implementation of AI in industrial scenarios.
Traditional industrial robots originate from automobile manufacturing scenarios and are suitable for single-variety, large-volume, and long-cycle stable production. However, general industrial manufacturing is more of a multi-variety, small-volume, and flexible scenario, and the scope of application of traditional industrial robots is limited.
In the future, intelligent robots will significantly replace manual operations in industrial scenarios.
Taking the company’s own manufacturing scenarios as an example, among the current more than 500 types of scenarios, traditional industrial robots can cover less than 50 categories, while in the future intelligent robots are expected to cover 70% – 80% of jobs.
The company will actively promote 2-3 industrial scenarios to enter the practical stage this year.
The company believes that the humanoid robot industry is still in a very early stage, with components and complete machines in a stage of rapid evolution, and there will be good opportunities in the future.
The company will empower the industry through the technical advantages of humanoid robot core components, and rely on its rich industrial scene resources to promote the implementation of humanoid robot solutions in the industrial field.
Inovance Technology also revealed that the company is conducting research and development of AIDC-related products, including PSU and SST directions.
In the future, AI data centers will evolve toward prefabrication, standardization, and modularization, gradually getting rid of the traditional engineering construction model, thereby reducing deployment and long-term operation and maintenance costs.
The company does not want to just make a single power supply or a single point of hardware, but hopes to form an overall smart energy solution around AIDC.
