Deep Robotics Files for $367M STAR Market IPO Following First Profitable Year

Key Takeaways

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• Deep Robotics plans to raise CNY 2.5 billion ($367.4 million) on the Shanghai Stock Exchange's STAR Market, valuing the company at over $1.5 billion.
• The company posted its first profitable year in 2025, recording $4.2 million in net profit on $49.6 million in revenue—a sevenfold increase from 2023.
• Following a $68 million Series C round last December, the IPO proceeds will fund embodied AI algorithms, large models, and expanded manufacturing.
• The filing confirms a broader industry trend observed when Deep Robotics completed its shareholding reform, marking a pivot from pure quadruped systems to multi-form "embodied AI."

The race to capitalize on China's humanoid and intelligent robotics boom is officially hitting the public markets. Deep Robotics, a Hangzhou-based developer of embodied AI and autonomous systems, has had its application for an initial public offering (IPO) accepted by the Shanghai Stock Exchange.

According to a prospectus filed recently and summarized by Yicai Global, the company plans to raise CNY 2.5 billion (approximately $367.4 million) on the Nasdaq-style STAR Market. The filing sheds new light on the financial health of one of China's most prominent robotics startups, revealing a company that has successfully transitioned from heavy R&D expenditure to commercial profitability—a rare milestone in the capital-intensive robotics hardware sector.

A Financial Turning Point

Founded in 2017 by Zhejiang University professor Zhu Qiuguo and PhD graduate Li Chao, Deep Robotics has spent the last several years carving out a lucrative niche in hazardous and industrial environments.

The prospectus indicates that the company turned a profit for the first time last year. Deep Robotics reported a net profit of CNY 28.7 million ($4.2 million) on operating revenue of CNY 337 million ($49.6 million). This represents a massive sevenfold revenue increase compared to 2023. The company's gross margin widened significantly, jumping from 33.5 percent to 52.8 percent in 2025.

Much of this growth appears driven by actual field deployments rather than pilot programs. The company’s "embodied AI" business segment surged almost fourfold, accounting for over 95 percent of its core business income. Deep Robotics also demonstrated growing international traction, with overseas revenue reaching CNY 61 million, representing just over 18 percent of its total income.

Funding the Humanoid Pivot

The IPO filing represents the culmination of a strategic trajectory we observed when the company prepared to go public late last year. While Deep Robotics built its reputation on the "Jueying" line of quadruped robot dogs—deployed in power grid inspections, emergency response, and security patrols—the company is rapidly diversifying.

This IPO will provide a massive capital injection following their $68 million Series C last December. According to the prospectus, the $367.4 million in anticipated IPO proceeds are earmarked for the research and development of embodied AI algorithms and large models, the design of new robot bodies, and the expansion of manufacturing capacity.

This capital is essential as the company scales production of the DR02 humanoid, an all-weather bipedal platform designed to push the company's hardware into more complex manipulation tasks. Developing humanoids and the generalized world models required to operate them demands exponentially more R&D investment than quadrupeds. Last year, Deep Robotics spent 25 percent of its revenue (CNY 84.3 million) on R&D, maintaining a workforce where 40 percent of employees are dedicated research staff.

The Competitive Landscape

Deep Robotics—often cited as one of Hangzhou’s "Six Little Dragons" of fast-rising tech startups—enters a public market that is becoming increasingly crowded with robotics firms.

The company currently boasts a valuation north of CNY 10 billion ($1.5 billion). Founder Zhu Qiuguo maintains tight control with a 15.6 percent direct stake and 31.1 percent of voting rights, backed by major institutional players like the National Artificial Intelligence Industry Investment Fund.

However, maintaining this momentum as a public entity will invite intense scrutiny. The company faces stiff competition from local rivals like Unitree Robotics, which filed for its own STAR Market listing in March, as well as fast-moving competitors like AGIBOT and EngineAI. Overseas, well-capitalized firms like Boston Dynamics and Figure are setting the pace for advanced manipulation and AI reasoning.

The question moving forward is whether Deep Robotics can sustain its impressive 52.8 percent margins as it shifts focus from specialized four-legged inspection tools to the fiercely competitive, generalized humanoid market. For now, the IPO acceptance proves that industrial robotics, when targeted at clear, hazardous-environment pain points, can build a highly profitable business model.