On the logistics side, fees paid to a single service provider increased from RMB 94 million to RMB 158 million, and the company operated 16 overseas warehouses. On the production side, it adopted a dual self-operated factory model in China and Thailand, emphasizing in-house R&D and manufacturing to control quality—but this also raised its fixed-cost base. In 2024, net profit margin was below 2%, leaving limited room for earnings leverage.
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Cue the hot takes. AI skeptics declared victory: foundation models aren’t ready for legal work. AI bulls shrugged it off as growing pains. Both sides missed what that screenshot actually revealed about where this market is heading.