As of December 17, 2025, Autozi Internet Technology (Global) Ltd. (NASDAQ: AZI) stands at a critical juncture in the rapidly evolving automotive services sector. Headquartered in Beijing, China, AZI operates as a technology-driven provider of comprehensive lifecycle automotive solutions, primarily within the automotive retail industry, a segment of the broader Consumer Discretionary sector. The company leverages advanced e-commerce platforms and supply chain systems to offer new car sales, auto parts and accessories, and automotive insurance-related services.

AZI is currently in sharp focus due to a series of significant strategic developments that underscore its ambition for global expansion and digital transformation. On December 16, 2025, the company announced a non-binding Memorandum of Understanding (MOU) for procurement intentions totaling approximately $980 million with several potential buyers. This MOU outlines a plan for centralized procurement of complete vehicles and supporting automotive parts, leveraging AZI's digital platforms. The following day, December 17, 2025, AZI disclosed a preliminary consensus to subscribe for newly issued shares of Token Cat Limited (NASDAQ: TC) for about $100 million, aiming to strengthen automotive group-buying channels and support its global strategy. Furthermore, AZI received a non-binding investment proposal from CDIB Capital International Holdings Limited for approximately $300 million, signaling significant external interest and potential capital infusion. These announcements, coupled with a recent 50-for-1 reverse stock split in December 2025 to maintain Nasdaq compliance, highlight a company in dynamic transition, balancing aggressive growth initiatives with ongoing financial and regulatory challenges.

2. Historical Background

Autozi Internet Technology (Global) Ltd. (AZI) was founded in 2010 by Mr. Hou Qi Zhang in Beijing, China, with an initial vision to become a rapidly expanding automotive service and technology platform within the domestic market. The company's early years were marked by a strategic focus on integrating online and offline channels to deliver a wide array of high-quality, cost-effective automotive products and services across China.

Early milestones included the launch of its auto parts supply chain cloud platform, which began in Shandong and expanded to Henan and Beijing. Autozi also introduced a "Smart Cabinet" platform for maintenance parts, demonstrating an early commitment to technological innovation. Strategic partnerships were crucial in its formative years, notably with Tencent for "QQ Xiupei" and with Didi Chuxing for online vehicle maintenance platforms for ride-hailing services. These collaborations helped Autozi establish a broader reach and refine its platform-based business model. The company also launched its new car and insurance supply chain cloud platforms, achieving nationwide coverage for maintenance parts through 22 Regional Distribution Centers (RDCs) and 310 Forward Deployment Centers (FDCs), and integrating its payment technology with Ping An Bank. By its early stages, the platform boasted over 50,000 registered users from auto repair shops and annual transactions surpassing 2 billion. Autozi Internet Technology (Global) Ltd. officially listed on NASDAQ on August 28, 2024.

Since its inception, AZI has undergone significant transformations, particularly in recent years, pivoting towards a more global and technologically advanced strategy:

• Evolution to E-commerce Platform: Autozi has solidified its identity as a technology-driven operator of comprehensive, solution-focused automotive e-commerce platforms. It now leverages advanced internet technologies and big data analytics to offer value-added services aimed at enhancing circulation efficiency and reducing operational costs across the automotive industry chain.
• Strategic Growth Initiatives and Capital Infusion (2025): In January 2025, AZI secured $27.5 million through a Securities Purchase Agreement, earmarked for targeted mergers and acquisitions within China's auto parts supply chain, cross-border platform development, and R&D investments in its digital platforms.
• New Business Strategy (November 2025): Autozi unveiled a new strategy focused on "Capitalization, Digitalization, and Globalization." This involves acquiring and integrating high-quality enterprises, enhancing them with its proprietary SaaS-based supply-chain system, and expanding into global markets. The strategy emphasizes building a unified digital ecosystem.
• Focus on EV Components and Special-Purpose Vehicles (November 2025): As part of its new strategy, AZI is accelerating its entry into the Electric Vehicle (EV) core components market (powertrain, battery management, thermal systems) and developing a Special-Purpose Vehicle (SPV) Group, utilizing an S2M2B supply-chain model for real-time coordination.
• Global Expansion (Late 2025): In December 2025, AZI officially launched its China-Europe cross-border supply chain platform, which achieved monthly sales of 300 to 500 Customized Passenger Vehicles (CPV) and SPVs during its trial. The company also signed a strategic cooperation agreement with Wanshan International Trading Co. for cross-border supply-chain cloud platform development and announced the non-binding $980 million procurement MOU.
• Capital Strengthening and Nasdaq Compliance (December 2025): To support its expansion and address Nasdaq listing compliance, AZI received a non-binding investment letter for approximately $300 million from CDIB Capital International Holdings Limited and completed a 50-for-1 share consolidation (reverse stock split) effective December 12, 2025.

These transformations reflect AZI's ongoing efforts to adapt to market dynamics, leverage technology, and establish a global footprint in the evolving automotive sector.

3. Business Model

As of December 17, 2025, Autozi Internet Technology (Global) Ltd. (AZI) operates a dynamic and evolving business model focused on providing comprehensive lifecycle automotive services through a technology-driven e-commerce platform. The company's strategy, rooted in "Capitalization, Digitalization, and Globalization," aims to enhance profitability and achieve global expansion.

Current Business Model Pillars:

1. Capitalization: This pillar involves leveraging its public company status for strategic mergers and acquisitions (M&A) to consolidate high-quality enterprises within the automotive sector. The recent non-binding investment proposal from CDIB Capital International Holdings Limited for approximately $300 million at $5.00 per share is a testament to this, aiming to significantly strengthen AZI's capital position for future growth.
2. Digitalization: AZI is committed to applying advanced internet technologies, big data analytics, and proprietary Software-as-a-Service (SaaS) solutions to enhance supply chain efficiency, visibility, and scalability. Its platforms connect manufacturers, distributors, service providers, and consumers, enabling smarter operations, real-time coordination, and greater transparency across the automotive value chain.
3. Globalization: A critical component of AZI's strategy is expanding its market reach beyond China. The official launch of its China-Europe cross-border supply chain platform in December 2025 is a prime example, facilitating the sale of Customized Passenger Vehicles (CPV) and Special-Purpose Vehicles (SPV) in European markets. This initiative aims to diversify revenue streams and help Chinese brands compete internationally.

Revenue Sources:

AZI's revenue streams have undergone a strategic shift, scaling down lower-margin businesses to focus on higher-potential areas:

• Auto Parts and Accessories Sales: This segment has become the primary revenue driver, contributing 98.7% of total revenues in the first half of fiscal year 2025, up significantly from 48.5% in the prior year. Revenue is generated from sales to auto parts dealers and a growing direct connection with local multi-brand service (MBS) stores.
• Complete Vehicles (CPV and SPV): While traditional new car sales are being scaled down domestically, the company generates revenue from sales of Customized Passenger Vehicles and Special-Purpose Vehicles, particularly through its expanding international operations.
• Platform-Based Services: Revenue is also derived from the utilization of its digital automotive e-commerce platforms and supply chain system for centralized procurement and coordination.
• International Sales: The newly launched cross-border supply chain platform in Europe is expected to generate substantial revenue from vehicle sales, with ambitious growth targets for 2026.

For the trailing 12 months ending March 31, 2025, Autozi reported revenues of $156.47 million, reflecting a 32.9% year-over-year growth.

Product Lines and Services:

AZI offers a comprehensive array of products and services, increasingly focusing on strategic, higher-margin areas:

• Auto Parts and Accessories: A broad portfolio of high-quality and cost-effective automotive parts and accessories forms the core product line.
• Complete Vehicles: This includes CPVs and SPVs (e.g., emergency, utility, logistics vehicles), primarily for international markets through its cross-border platform.
• EV Core Components: A new strategic focus on powertrain, battery management, and thermal systems for electric vehicles, utilizing an S2M2B supply-chain model.
• Online Supply Chain Cloud Platform and SaaS Solutions: Proprietary platforms that underpin all other services, connecting manufacturers, distributors, and service providers for efficient collaboration, order processing, payments, and logistics.
• Value-Added Services: Including parts procurement, logistics coordination, and after-sales services (e.g., maintenance technical training) for international customers.

Operating Segments:

Based on current operational focus and revenue contribution:

• Auto Parts and Accessories Sales: The dominant segment, accounting for nearly all revenue in the first half of fiscal year 2025.
• New Car Sales (including CPV and SPV): An emerging segment, particularly for international markets, while traditional new car sales are being reduced domestically.
• Technology & Platform Services: Encompasses the development and operation of its digital platforms and SaaS solutions.

Target Customer Base:

AZI serves a diverse range of stakeholders across the automotive ecosystem:

• Automotive Manufacturers and Auto Parts Manufacturers: Integrating them into the broader supply chain.
• Multi-Brand Service (MBS) Stores, Auto Dealers, and Multi-Brand Showrooms: Providing products, services, and supply chain solutions.
• Original Equipment Manufacturers (OEMs) and Aftermarket Partners: Facilitating real-time coordination through its S2M2B model.
• International Partners and Buyers: Expanding its reach to overseas markets, including European auto dealers and showrooms.

4. Stock Performance Overview

Autozi Internet Technology (Global) Ltd. (NASDAQ: AZI) commenced trading on the Nasdaq Global Market on August 28, 2024, at an initial public offering (IPO) price of $4.00 per share. Given its relatively recent listing, comprehensive 5-year and 10-year stock performance data is not available. The analysis below primarily focuses on the available history, specifically the 1-year period leading up to December 17, 2025.

AZI Stock Performance (1-Year Period as of December 17, 2025)

Over its trading history, AZI has experienced extreme volatility and a substantial decline from its initial highs. As of December 17, 2025, the stock has seen a decrease of approximately 96.66% over the last 52 weeks.

Key Price Movements within the 1-year period:

• IPO and All-Time High: While the IPO price was $4.00, the stock reached an all-time high of $202.50 on August 27, 2024, likely reflecting pre-market or early trading spikes before settling.
• 52-Week High: Within the past year, AZI achieved a 52-week high of $69.00 on April 29, 2025.
• 52-Week and All-Time Low: The stock plummeted to an all-time low of $1.62 on December 11 or 12, 2025.
• Current Trading Price: As of December 17, 2025, AZI's stock was trading around $1.87.

Significant Splits and Events

Several key events have significantly impacted AZI's stock performance:

1. Initial Public Offering (IPO): Autozi Internet Technology (Global) Ltd. went public on August 28, 2024, on the Nasdaq Global Market, offering 2,500,000 Class A ordinary shares at $4.00 per share.
2. Nasdaq Non-Compliance and Reverse Stock Split: The company faced challenges in maintaining its Nasdaq listing, receiving notification letters regarding minimum bid price deficiency and market value of publicly held shares. To address this, Autozi announced a 50-for-1 reverse stock split, which became effective on December 12, 2025. This drastic measure was intended to help the company meet Nasdaq's minimum bid price requirement and avoid delisting. Following the announcement, the stock experienced a significant drop.
3. Recent Business Developments (December 2025):
   • Cross-Border Supply Chain Platform Launch: On December 15, 2025, Autozi officially launched its China-Europe Cross-Border Supply Chain Platform, a key step in its globalization strategy.
   • Memorandum of Understanding for Sales: On December 16, 2025, Autozi announced the signing of a non-binding Memorandum of Understanding (MOU) for approximately $980 million in sales with multiple potential buyers. This agreement involves the centralized procurement of vehicles and auto parts through Autozi's e-commerce platform.
   • Investment Proposal: On December 17, 2025, Autozi disclosed receiving a non-binding investment proposal from CDIB Capital International Holdings Limited to invest approximately $300 million in stages at $5.00 per share. This represents a significant premium to the stock's then-current trading price and has led to a notable positive reaction in pre-market trading.

Summary of Available History

Autozi Internet Technology (Global) Ltd. has a relatively short but tumultuous trading history since its IPO in August 2024. In its first year, the stock has been highly volatile, experiencing a substantial decline from its initial high points. The recent reverse stock split was a critical event aimed at maintaining its Nasdaq listing, while recent announcements of a significant sales MOU and a substantial investment proposal indicate potential future developments that could impact its performance. Investors should be prepared for continued volatility given the company's financial state and the non-binding nature of some recent positive announcements.

5. Financial Performance

As of December 17, 2025, Autozi Internet Technology (Global) Ltd. (NASDAQ: AZI) presents a mixed financial picture, marked by strategic revenue growth in its core segments but also significant underlying profitability and liquidity challenges. Recent corporate actions and proposed investments could, however, dramatically alter its financial trajectory.

Recent Earnings Reports and Revenue Growth:

• First Half Fiscal Year 2025 (ended March 31, 2025): AZI reported total revenues of $79.9 million, a substantial 65.9% increase year-over-year from $48.1 million in the prior-year period. This growth was primarily driven by a strategic focus on auto parts and accessories sales, which constituted 98.7% of total revenues, up from 48.5% previously. The company has deliberately scaled down lower-margin new car sales and terminated its automotive insurance service business at the end of FY2023.
• Full Fiscal Year 2024 (ended September 30, 2024): Revenues reached $124.74 million, an increase of 9.86% from $113.54 million in 2023.
• Trailing Twelve Months (TTM) Revenue: As of March 31, 2025, TTM revenue was $156.47 million, reflecting a 32.9% year-over-year growth.

Gross and Net Margins:

Despite robust revenue growth in its core business, AZI continues to grapple with profitability:

• Gross Profit and Margin: For H1 FY2025, gross profit improved to $1.4 million from $0.1 million in H1 FY2024, with the gross margin rising to 1.7% from 0.2%. This improvement is linked to the increased contribution from the higher-margin auto parts and accessories business. For FY2024, gross profit was $1.3 million, a 152.6% increase from 2023, with a gross profit margin of 1.0%.
• Operating and Net Losses: The company still reported an operating loss of $8.1 million in H1 FY2025, widening from $2.1 million in H1 FY2024. The net loss for H1 FY2025 was $5.3 million, an 11.6% increase from a net loss of $4.7 million in the prior year period. For the full FY2024, AZI incurred a substantial net loss of -$74.47 million, a 245.1% increase from 2023. The operating margin stands at -7.36% and the net margin at -7.38% as of December 16, 2025, indicating ongoing operational losses. The TTM net profit margin as of March 31, 2025, was -8.70%.

Debt Levels and Cash Flow:

AZI's balance sheet indicates significant financial distress and liquidity concerns:

• Negative Shareholder Equity: The company has negative shareholder equity, with an accumulated deficit of $134.8 million and negative working capital of $19.0 million as of March 31, 2025. Total liabilities were $35.42 million against total assets of $16.94 million.
• Liquidity Ratios: A current ratio of 0.46 and a quick ratio of 0.42 suggest severe liquidity constraints, meaning short-term obligations significantly exceed liquid assets. The debt-to-equity ratio is -0.39, highlighting the negative equity position.
• Cash Runway: The company's cash runway is limited, estimated at approximately 5 months based on reported free cash flow, although recent capital raises could extend this. The CFO to Debt ratio of -0.748 indicates low cash flow generation relative to debt.
• Auditor Concerns: Auditors have raised "substantial doubt" about AZI's ability to continue as a going concern.

Key Valuation Metrics:

As of December 17, 2025, AZI's valuation metrics reflect its distressed financial state and extreme stock volatility:

• P/E and P/S Ratios: The P/E ratio is around 0.1 and the P/S ratio is 0.04, both near their two-year lows, suggesting potential undervaluation but also reflecting high risk.
• Market Capitalization: Approximately $3.34 million to $6.11 million.
• EPS (ttm): -0.59.

Significant Financial Trends or Changes:

• Strategic Repositioning: A successful pivot to focus on auto parts and accessories has driven revenue growth in this core segment.
• Persistent Losses: Despite revenue growth, the company continues to incur significant net and operating losses, with thin gross margins.
• Liquidity Crisis: Negative equity, low current ratios, and an accumulated deficit point to severe financial instability.
• Recent Procurement MOU: A $980 million non-binding procurement deal announced on December 16, 2025, could significantly boost future transaction scale.
• Proposed $300M Investment: The non-binding investment proposal from CDIB Capital International Holdings Limited at $5.00 per share, announced on December 17, 2025, is a potential game-changer. If finalized, this capital injection could provide crucial financial stability and support for its strategic initiatives.
• Reverse Stock Split: A 50-for-1 reverse stock split, effective December 12, 2025, was undertaken to regain Nasdaq compliance, highlighting the company's precarious listing status.

In conclusion, while Autozi Internet Technology (Global) Ltd. has shown promising revenue growth in its strategically focused auto parts business, it remains deeply challenged by ongoing losses, thin margins, and severe liquidity issues. The recent large procurement MOU and the proposed $300 million investment offer a glimmer of hope for a financial turnaround, but the company's financial health remains fragile, and its Altman Z-Score of -5.77 places it firmly in the distress zone.

6. Leadership and Management

As of December 17, 2025, Autozi Internet Technology (Global) Ltd. (NASDAQ: AZI) is steered by a leadership team focused on executing an ambitious new strategy centered on "Capitalization, Digitalization, and Globalization." The company, founded in 2010, aims to transform the automotive aftermarket through innovative digital solutions and global expansion.

Leadership Team

• Dr. Houqi Zhang: Founder, Chairman, and Chief Executive Officer. Dr. Zhang has been the driving force behind Autozi's strategic direction and innovation since its inception.
• Shirong Tong: Joint Chief Executive Officer and Director. Mr. Tong was appointed to this role in November 2025, signaling a potential shift in leadership structure and strategic focus.
• Jinming Dong: Chief Financial Officer (CPA).
• Hui H. Zhang: Chief Operating Officer.
• Haifeng Li: Chief Technology Officer.

The management team is noted for having a relatively low average tenure of approximately 1.3 years, which could suggest a newer team or significant recent changes in leadership composition.

Strategic Direction

In November 2025, AZI unveiled a comprehensive new business strategy to accelerate growth and globalization, built on three core pillars:

1. Capitalization: Leveraging its public company status to acquire and integrate high-quality enterprises within the automotive sector.
2. Digitalization: Enhancing supply chain efficiency, visibility, and scalability through proprietary SaaS-based supply-chain systems, advanced internet technologies, and big data analytics.
3. Globalization: Expanding reach beyond China to help Chinese brands compete globally and diversify revenue streams.

This strategy initially targets two high-growth verticals:

• EV Core Components: Focusing on powertrain, battery management, and thermal systems, utilizing an S2M2B (Supplier-to-Manufacturer-to-Business) supply-chain model.
• Special-Purpose Vehicles (SPVs): Integrating leading SPV manufacturers across emergency, utility, and logistics vehicle categories to optimize operations from production to maintenance.

A significant step in its globalization strategy was the official launch of its cross-border supply chain platform in Europe on December 15, 2025, with ambitious sales targets for Customized Passenger Vehicles (CPV) and SPVs.

Recent Management Decisions (as of 12/17/2025)

Recent management decisions reflect the company's proactive efforts to implement its new strategy, address financial and compliance challenges, and strengthen its operational capabilities:

• New Business Strategy Launch: On November 11, 2025, the company officially unveiled its comprehensive strategy for growth and globalization.
• European Cross-Border Platform Launch: On December 15, 2025, AZI launched its cross-border supply chain platform in Europe, a crucial step in its globalization efforts.
• Leadership Appointments: Shirong Tong was appointed as Joint Chief Executive Officer and a Director in November 2025.
• Board and Committee Changes: In September 2025, Mr. Weston Twigg resigned from the Board, and Mr. Yafu Guo was appointed as an independent director, also assuming the role of Chairman of the Compensation Committee and a member of the Audit and Nominating/Corporate Governance Committees.
• Equity Incentive Plan Amendment: On June 26, 2025, the board approved increasing the share reserve in its 2024 Equity Incentive Plan, aiming to attract and retain key employees, though this carries a risk of shareholder dilution.
• Share Consolidation and Voting Rights: In November 2025, shareholders approved increased voting rights for Class B shares and a potential share consolidation. The board subsequently approved a 50-for-1 share consolidation, effective December 12, 2025, specifically to regain compliance with Nasdaq's minimum bid price rule.
• Strategic Agreements and Investments:
  • On December 16, 2025, AZI announced a non-binding Memorandum of Understanding (MOU) for approximately $980 million in procurement intentions for vehicles and parts.
  • On December 17, 2025, AZI received a non-binding investment proposal from CDIB Capital International Holdings Limited for $300 million at $5 per share, aiming to significantly enhance the company's financial strength.

Governance Reputation

AZI's governance reputation is currently under scrutiny, primarily due to its significant financial distress and recent Nasdaq compliance issues. While the company has made efforts to enhance its board structure with the appointment of an independent director and has articulated a commitment to "governance enhancements," the challenges are substantial.

The company's reported negative total equity, high leverage, and liquidity concerns (including an accumulated deficit and auditors raising "substantial doubt" about its going concern ability) indicate significant financial management difficulties. These issues have contributed to cautious investor sentiment and an "Underperform" rating from some analysts.

Furthermore, the repeated Nasdaq non-compliance notifications (regarding minimum bid price and market value of publicly held shares) and the necessity of a drastic 50-for-1 reverse stock split are red flags for governance. Such actions, while aimed at maintaining listing, often signal underlying corporate distress and can erode investor confidence. The relatively low average tenure of the board of directors (1.3 years) might also suggest a lack of long-term stability or experience at the highest levels of governance.

In conclusion, AZI's leadership is actively pursuing an ambitious strategic overhaul. However, their ability to successfully navigate severe financial challenges, restore investor confidence, and maintain robust corporate governance amidst rapid expansion will be critical determinants of the company's long-term viability.

7. Products, Services, and Innovations

As of December 17, 2025, Autozi Internet Technology (Global) Ltd. (NASDAQ: AZI) positions itself as a technology-driven provider of lifecycle automotive services, with a strong emphasis on innovation, digitalization, and global expansion. Its offerings are designed to streamline the automotive supply chain and enhance the customer experience.

Current Products and Services:

AZI's comprehensive suite of products and services caters to various stakeholders in the automotive industry, from manufacturers to end-consumers:

• Online Supply Chain Cloud Platform and SaaS Solutions: These proprietary platforms form the backbone of AZI's operations. They facilitate online ordering, supply chain payment settlements, and IoT-based visual management of warehousing and logistics. Specific functionalities include store management, supply chain management, insurance management, and car sales.
• New Car Sales: This segment includes the sale of parallel import cars and new energy vehicles (NEVs), though the company is strategically scaling down its domestic new car sales due to lower margins.
• Auto Parts and Accessories Sales: A core product line, providing a broad portfolio of high-quality and cost-effective automotive parts and accessories. AZI primarily serves auto parts dealers and is expanding direct connections with local Multi-Brand Service (MBS) stores.
• Automotive Insurance-Related Services: While historically offered, this segment was terminated at the end of FY2023, reflecting a strategic shift towards higher-margin activities.
• Centralized Procurement: Through its digital automotive e-commerce platform, AZI facilitates large-scale, multi-category centralized procurement of complete vehicles and supporting automotive parts, as highlighted by the recent $980 million MOU.
• Cross-border Supply Chain Platform: Officially launched in Europe on December 15, 2025, this platform facilitates the sale of Customized Passenger Vehicles (CPV) and Special-Purpose Vehicles (SPV) internationally, including comprehensive after-sales services like parts supply and maintenance technical training.
• Special-Purpose Vehicles (SPVs) Group: AZI is building a group focused on integrating leading SPV manufacturers (emergency, utility, logistics vehicles) to optimize operations from production to maintenance through its digital platform.
• EV Core Components: A new strategic focus involves targeting companies specializing in powertrain, battery management, and thermal systems for electric vehicles.

R&D Efforts and Innovation Pipeline:

AZI's R&D is central to its "Digitalization" pillar and competitive strategy:

• In-house Technology Innovation: The company is committed to developing its own technology, particularly for the Chinese lifecycle automotive service industry, and engages in continuous iterative refinement and technical development.
• Strategic Verticals: The innovation pipeline is strongly driven by the new business strategy (November 2025) which prioritizes EV Core Components and SPVs. This involves developing a digital backbone for the EV ecosystem, linking suppliers, OEMs, and aftermarket partners for real-time coordination.
• Globalization Technology: R&D supports the expansion of the cross-border supply chain platform, ensuring seamless operations, logistics, and after-sales support in new markets like Europe.
• One-Stop Lifecycle Services: Long-term R&D aims to further streamline connections between automotive service shops and car owners, ultimately providing seamless "one-stop" full lifecycle services.

Patents and Intellectual Property:

AZI emphasizes robust intellectual property protection:

• As of March 31, 2023, the company held three registered patents, 79 registered trademarks, and 65 registered software copyrights.
• It employs a comprehensive IP strategy including confidentiality clauses, contractual commitments, trade secret protections, copyrights, trademarks, and patents.
• The company plans to continue filing additional patent applications to safeguard its core technology, particularly its self-developed and proprietary online SaaS platforms.

Contribution to Competitive Edge:

AZI's integrated approach to products, services, and innovation significantly enhances its competitive standing:

• Digital Ecosystem and Supply Chain Efficiency: Its advanced platforms create a dynamic ecosystem that improves collaboration, streamlines processes, and reduces operational costs across the value chain.
• Strategic Diversification: The pivot towards EV Core Components and SPVs positions AZI in high-growth, transformative segments of the automotive market, allowing it to capitalize on industry trends.
• Globalization: The cross-border platform and international partnerships enable AZI to expand its market reach, diversify revenue, and increase transaction scale globally.
• Proprietary Technology and IP: A strong IP portfolio and continuous R&D differentiate AZI, securing its technological advantages in digital supply chain management and e-commerce.
• Financial Backing for Innovation: Recent investment commitments, such as the proposed $300 million from CDIB Capital, are expected to provide crucial financial support for future R&D, technology upgrades, and strategic M&A, which are vital for consolidating industry resources and building a global end-to-end digital supply chain platform.

In essence, AZI is leveraging its technological foundation and strategic focus to innovate and expand, aiming to carve out a significant competitive advantage in the evolving global automotive lifecycle services market.

8. Competitive Landscape

Autozi Internet Technology (Global) Ltd. (NASDAQ: AZI) operates within the intensely competitive and highly fragmented automotive aftermarket in China, a market that is also undergoing significant digital transformation. As of December 17, 2025, AZI leverages an S2B2C (Supplier-to-Business-to-Consumer) business model through its online supply chain cloud platform, SaaS solutions, and a network of Multi-Brand Service (MBS) stores. The company's strategic pivot towards high-margin auto parts and accessories sales, coupled with its expansion into New Energy Vehicle (NEV) components and Special-Purpose Vehicles (SPVs) aftermarket segments, including international expansion into Europe, defines its competitive arena.

While precise market share data for all individual e-commerce platforms is not always publicly available, key players have established significant presences.

Primary Industry Rivals and Their Market Positions

1. Tuhu Car (Tuhu.cn / 途虎养车):

   • Market Position: Tuhu is a dominant independent automotive service brand in China, leading by revenue and number of service stores. As of the first half of 2025, Tuhu operated 7,205 Tuhu workshops and boasted over 150 million registered users. In 2024, its annual revenue reached approximately $2.15 billion USD.
   • Business Model: Tuhu operates a robust Online-to-Offline (O2O) model, offering online booking and offline installation services for auto parts and maintenance. It has a vertically integrated value chain, connecting manufacturers, distributors, workshops, and consumers, with a strong focus on tires and expanding into other maintenance and EV-related services.

2. Carzone (New Carzone / Qiche Chaoren / 新康众):

   • Market Position: Carzone is a prominent aftermarket brand, benefiting significantly from a strategic joint venture with Alibaba, which includes Tmall Auto Care garages. This partnership provides extensive reach and integration with Alibaba's vast e-commerce ecosystem.
   • Business Model: Carzone operates a B2B e-commerce platform and an S2B2C model, supplying auto parts and services to repair shops. As of late 2024, Tmall Auto Care expanded to over 5,000 shops, serving over 60 million customers through its O2O model.

3. Other B2B Platforms:

   • Casstime: An online B2B marketplace for auto spare parts and accessories, offering a SaaS-driven platform for repair shops and dealers.
   • Haoqipei (Good Auto Parts / Shangze Technology): An app-based B2B marketplace connecting auto repair shops directly to suppliers.
   • General E-commerce Giants (Alibaba.com, 1688, JD Business): These platforms, while not exclusively automotive, host numerous auto parts suppliers and B2B procurement, acting as significant indirect competitors due to their established infrastructure and vast user bases.

AZI's Competitive Strengths and Weaknesses Relative to Competitors

AZI's Competitive Strengths:

• Technology-Driven Ecosystem: AZI's proprietary online supply chain cloud platform, SaaS solutions, and big data analytics provide a comprehensive digital backbone, aiming to enhance efficiency and reduce costs across the automotive value chain.
• Strategic Focus on High-Margin Segments: By scaling down lower-margin new car sales and insurance services, AZI has strategically pivoted to focus on auto parts and accessories, a segment with higher growth potential and profitability.
• Expansion into NEV and SPV Aftermarket: AZI's investment in EV core components and Special-Purpose Vehicles aftermarket aligns with the global trend of electrification and specialized vehicle demand, offering significant future opportunities.
• Globalization Strategy: The recent launch of its cross-border supply chain platform in Europe and partnerships for overseas sales demonstrate an ambitious international expansion, diversifying its revenue base beyond China.
• Recent Procurement MOU: The non-binding Memorandum of Understanding for approximately $980 million in procurement intentions signals market validation of AZI's business model and technological capabilities, potentially bolstering its capital and development.

AZI's Competitive Weaknesses:

• Significant Financial Instability: AZI faces severe financial challenges, including persistent operating losses (e.g., -$74.47 million in FY2024, -$5.3 million in H1 FY2025), negative working capital, and an accumulated deficit. Auditors have raised "substantial doubt" about its ability to continue as a going concern, a stark contrast to more financially stable competitors like Tuhu.
• Low Profitability: Despite strategic shifts, AZI's gross margins remain very thin (1.7% in H1 FY2025), indicating a struggle to convert revenue growth into sustainable profits, unlike Tuhu, which has shown increasing gross margins (e.g., 25.4% in 2024).
• Small Market Capitalization and High Stock Volatility: With a market capitalization of approximately $3 million to $5.81 million, AZI is a relatively niche player. Its stock has been highly volatile, and it received a Nasdaq non-compliance warning due to low market value, indicating a lack of investor confidence compared to larger, more established rivals.
• Reliance on Non-Binding Agreements: While promising, the non-binding nature of the $980 million MOU means actual procurement amounts and timelines are not guaranteed, introducing uncertainty.
• Operational Risks in New Segments: Expansion into complex areas like EV core components and international markets carries inherent operational risks, including supply chain disruptions and regulatory hurdles, which could further strain its challenged financial health.
• Brand Recognition and Network Size: AZI does not possess the same level of widespread brand recognition, extensive physical store network (like Tuhu's 7,205 workshops or Carzone's 5,000+ Tmall Auto Care shops), or the strong backing of a major e-commerce group like Alibaba (as with Carzone).

In conclusion, Autozi Internet Technology (Global) Ltd. operates in a promising, growing market, and its strategic focus on technology-driven solutions, high-margin segments, and international expansion positions it for potential long-term growth. However, its significant financial distress, low profitability, and smaller market presence relative to leading competitors pose substantial challenges to its competitive standing as of late 2025. The company's ability to convert its strategic initiatives and non-binding MOUs into sustainable profitability and market share gains will be crucial for its future.

9. Industry and Market Trends

As of December 17, 2025, Autozi Internet Technology (Global) Ltd. (NASDAQ: AZI) operates within a dynamic and rapidly evolving automotive aftermarket and e-commerce landscape. The company's strategic direction is heavily influenced by, and aims to capitalize on, several key sector-level trends, macro drivers, and supply chain dynamics.

Company-Specific Trends Affecting AZI:

• Strategic Transformation: AZI is undergoing a significant strategic shift, prioritizing its auto parts and accessories business, which contributed 98.7% of its total revenues in H1 FY2025. This focus, coupled with scaling back lower-margin segments like new car sales and insurance services, aims to improve profitability.
• Recent Funding and Procurement Agreements: The non-binding investment proposal from CDIB Capital Group for approximately $300 million and the $980 million non-binding procurement MOU signal strong market interest and potential for significant capital infusion and increased transaction volume.
• Globalization Initiatives: The official launch of its China-Europe Cross-Border Supply Chain Platform in December 2025 is a critical step in AZI's global market penetration, with ambitious sales targets for customized passenger and special-purpose vehicles.
• Financial Performance and Challenges: While H1 FY2025 saw a 65.9% revenue increase, the company continues to report net losses and has an accumulated deficit, raising "going concern" doubts.
• Nasdaq Compliance: The 50-for-1 reverse stock split, effective December 12, 2025, was a direct response to Nasdaq minimum bid price compliance issues, highlighting regulatory pressures.

Sector-Level Trends (Automotive Aftermarket & E-commerce):

• Robust Aftermarket Growth: The global automotive aftermarket is projected for strong growth, outpacing inflation through 2028. This resilience is driven by factors like an aging vehicle parc and increased maintenance needs.
• Surging E-commerce Adoption: The e-commerce automotive aftermarket is experiencing significant expansion, projected to reach $975.5 billion by 2035 (CAGR of 14.3% from 2026-2035). This growth is fueled by digital-first consumer behavior, improved logistics, and smartphone penetration.
• Digitalization of B2B Sales: B2B adoption of online auto parts purchasing is surging, with over 60% of workshops in mature markets sourcing significant volumes online. Reliability, flexible payments, and strong support are crucial for success.
• Preference for Independent Aftermarket (IAM) Parts: Price pressure is driving consumers towards non-branded parts, with 57% now preferring IAM parts over Original Equipment (OE) brands, a 14 percentage point increase from 2024.
• Influence of Electric Vehicles (EVs) and ADAS: The increasing adoption of EVs (even if slower than initially projected) will create demand for specialized EV components (e.g., batteries, thermal systems) and new maintenance requirements. Advanced Driver Assistance Systems (ADAS) also pose new challenges for repair capabilities.

Macro Drivers:

• Economic Pressures on Consumers: High costs of auto insurance (up 14% YoY) and vehicle repairs (up 7.3%), coupled with elevated interest rates and new vehicle prices, encourage consumers to retain older vehicles longer, boosting aftermarket demand. This also drives a shift towards DIY repairs.
• Tariffs and Trade Volatility: US tariffs on automotive components are disrupting global markets, increasing costs for imported parts, and leading to projected contractions in global motor vehicle and parts production for 2025 and 2026. This creates opportunities for domestic manufacturers but also raises consumer prices.
• Technological Advancements: AI, big data, cloud computing, and IoT are foundational for enhancing supply chain management, improving customer engagement, and enabling predictive maintenance. Generative AI is also beginning to influence consumer purchasing decisions.
• Changing Consumer Behavior: Consumers are increasingly price-sensitive, convenience-driven, and rely heavily on online platforms for research and purchasing. Delivery reliability, flexible payments, and complimentary services are key differentiators.

Supply Chain Dynamics:

• Ongoing Disruptions and Resilience Focus: The automotive supply chain continues to face challenges from component shortages (e.g., semiconductors), rising raw material costs, and labor shortages. There's a strong industry emphasis on building resilience, including nearshoring and managing EV component complexities.
• Digitalization and Traceability: Digitalization is critical for efficient collaboration, streamlined processes, and enhanced visibility throughout the supply chain, including advanced tracking and warehouse management. Blockchain solutions are emerging for transparency.
• Complex Logistics for EVs: The shift to EVs necessitates specialized international logistics for batteries, cells, and modules, and robust reverse-logistics processes for recycling used EV batteries.

Cyclical Effects:

• Aging Vehicle Parc: The increasing average age of vehicles globally provides sustained demand for aftermarket parts and services, as older vehicles require more frequent maintenance.
• Economic Affordability: Economic downturns or high inflation can lead consumers to postpone new vehicle purchases, boosting the aftermarket as they invest in maintaining existing vehicles.
• Seasonal Variations: The automotive aftermarket typically experiences seasonal fluctuations, with peaks often tied to general online shopping trends and specific automotive maintenance cycles (e.g., pre-winter checks, summer travel preparations).

In summary, AZI is operating within a favorable macro environment for the automotive aftermarket, particularly with the growth of e-commerce and the long-term shift towards EVs. However, it must navigate ongoing supply chain complexities, geopolitical trade tensions, and its own significant financial challenges to fully capitalize on these trends.

10. Risks and Challenges

Autozi Internet Technology (Global) Ltd. (NASDAQ: AZI) faces a confluence of significant risks and challenges as of December 17, 2025, that could impact its operational stability, regulatory compliance, and overall market viability. These stem from its precarious financial health, ambitious strategic pivots, and the complex external environment.

Operational Risks

AZI's financial standing poses the most immediate and severe operational risk:

• Financial Sustainability and Liquidity: The company reported an accumulated deficit of US$134.8 million and negative working capital of US$19.0 million as of March 31, 2025, leading auditors to express "substantial doubt" about its ability to continue as a going concern. Its current ratio of 0.46 and quick ratio of 0.42 indicate severe liquidity constraints. Persistent operating and net losses, with low gross margins, reflect ongoing operational inefficiencies. Total equity was negative $33.74 million as of September 30, 2024, and a high leverage ratio points to substantial debt. An Altman Z-Score of -5.76 signals a high probability of bankruptcy within two years.
• Supply Chain Disruptions: AZI's business model relies heavily on its digital supply chain platform. Global supply chain vulnerabilities, including component shortages, rising raw material costs, and geopolitical disruptions, could severely impact its ability to source and deliver automotive parts and vehicles, particularly with its expansion into Europe and focus on EV components.
• Scaling and Profitability: While AZI has shown revenue growth in its core auto parts business, converting this growth into sustained profitability remains a significant challenge. Maintaining margins while rapidly scaling operations, especially in new and complex international markets, is difficult.
• High R&D and Expansion Costs: The strategic pivot towards EV core components and Special-Purpose Vehicles (SPVs) requires substantial investment in R&D and market penetration. These high costs, combined with existing operational losses, could further strain its limited financial resources.
• Dependence on Automotive Aftermarket: The company's heavy reliance on the automotive aftermarket makes it susceptible to industry-specific downturns or shifts in consumer behavior (e.g., faster adoption of new vehicles reducing aftermarket demand).

Regulatory Risks

AZI has recently encountered critical regulatory challenges, particularly concerning its Nasdaq listing:

• Nasdaq Delisting Risks: The company received multiple notifications from Nasdaq regarding non-compliance with listing rules, including failing to maintain a minimum Market Value of Publicly Held Shares (MVPHS) of $15 million and its bid price falling below $0.10. While a 50-for-1 reverse stock split (effective December 12, 2025) was implemented to address the bid price, the MVPHS compliance remains a concern until May 26, 2026. Delisting would severely impact investor confidence and liquidity.
• Evolving International Regulations: As AZI expands its cross-border operations into Europe, it will be subject to new and diverse regulatory frameworks, including GDPR for data privacy, EU automotive emissions standards, and potential new regulations for End-of-Life Vehicles. Compliance with these complex international standards adds operational costs and legal risks.
• Chinese Regulatory Landscape: Operating primarily in China, AZI is subject to strict and evolving data protection laws (CSL, DSL, PIPL) and anti-monopoly regulations (AML, AUCL). Increased enforcement and extraterritorial reach of these laws pose compliance challenges, particularly for data handling and competitive practices in the digital economy.
• Share Dilution and Capital Structure Changes: Recent financing restructuring, including a reverse stock split and potential new share issuances, while aimed at compliance and capital strengthening, can lead to significant dilution for existing shareholders and reflect ongoing efforts to manage a challenging capital structure.

Potential Controversies

While no explicit scandals are detailed, several factors could attract negative attention:

• Perceived Financial Instability: Persistent losses, negative equity, high debt, and the "distress zone" Altman Z-Score could lead to a perception of severe financial mismanagement or an unsustainable business model.
• Nasdaq Delisting Saga: The repeated non-compliance notifications and the drastic reverse stock split often trigger investor anxiety and can be seen as signs of significant corporate distress, potentially eroding trust.
• Non-Binding Agreements: The recent announcements of a $980 million procurement MOU and a $300 million investment proposal are non-binding. Failure to convert these into definitive, fruitful collaborations could lead to accusations of "hype plays" and further diminish investor confidence.
• Lack of Clear Executive Communication: Some reports suggest a "lack of clear communicative assurances by leadership" amidst financial bottlenecks, which could mystify shareholder confidence.

Market Risks

AZI operates in a dynamic and highly competitive market, exposing it to external risks:

• High Stock Volatility and Price Depreciation: AZI's stock has shown extreme volatility, with a 52-week range from $1.33 to $69.00. The stock has experienced significant depreciation, reflecting market uncertainty and potentially deterring stable investment.
• Economic Cycles: As part of the Consumer Cyclical sector, AZI is highly exposed to broader economic cycles. Economic downturns or reduced consumer spending on vehicles and automotive services can significantly impact demand.
• Intense Market Competition: The automotive service and e-commerce sector is highly competitive. AZI, as a technology platform and middleman, must continuously demonstrate value against established players like Tuhu Car and Alibaba-backed Carzone, as well as new entrants.
• Evolving Automotive E-commerce Sector: While projected for growth, the market is still evolving. AZI's ability to adapt quickly to technological advancements (especially in EVs), changing consumer preferences, and new business models will be crucial.
• Investor Sentiment: Despite some indicators suggesting undervaluation, investor sentiment remains cautious due to the company's financial challenges. Low institutional ownership further reflects limited interest from large investors, making the stock more susceptible to retail sentiment swings.

In summary, Autozi Internet Technology (Global) Ltd. is at a critical juncture. Its ability to overcome severe financial weaknesses, maintain regulatory compliance, successfully execute its ambitious globalization and EV strategies, and build sustained investor confidence will be paramount for its future viability.

11. Opportunities and Catalysts

As of December 17, 2025, Autozi Internet Technology (Global) Ltd. (NASDAQ: AZI) is positioned to capitalize on several significant opportunities and catalysts that could drive substantial growth and reshape its financial trajectory. These opportunities stem from its strategic focus on digitalization, globalization, and targeted market expansion, supported by recent partnerships and investment proposals.

Key Opportunities and Catalysts for Growth:

1. Globalization and New Market Expansion:
A primary growth catalyst is AZI's aggressive push into global markets, particularly with the official launch of its China-Europe Cross-Border Supply Chain Platform on December 15, 2025. This initiative is a direct outcome of the company's new fiscal year development strategy and aims to establish AZI as a major international player.

• Ambitious European Targets: The European expansion, supported by partner Tianjin MaShang Haoche Information Technology Ltd. (Tianjin Velocar Ltd.), targets monthly sales exceeding 5,000 Customized Passenger Vehicles (CPV) and Special-Purpose Vehicles (SPV) by 2026. This includes comprehensive after-sales services, parts supply, and maintenance training.
• Cross-Border Partnerships: AZI's strategic partnership with Wanshan International Trading Co. to jointly develop and operate a cross-border supply-chain cloud platform further solidifies its international ambitions, targeting $1 billion in cumulative overseas sales within three years.

2. Digitalization and Platform Enhancement:
AZI's core strength lies in its technology-driven ecosystem. The company is continuously leveraging its advanced supply chain cloud platform and proprietary SaaS solutions to enhance efficiency and connectivity across the automotive value chain.

• Integrated Ecosystem: By connecting manufacturers, distributors, and service providers, AZI aims to improve collaboration, streamline processes, and reduce operational costs, driving the digital transformation of the automotive industry.
• Technological Investment: Continued investment in technological innovation, platform optimization, and service enhancements is expected to support long-term growth and solidify its competitive edge.

3. Strategic Partnerships and Procurement Agreements:
Recent announcements highlight significant market recognition and potential for substantial transaction volumes.

• $980 Million Procurement MOU: On December 16, 2025, AZI signed a non-binding Memorandum of Understanding for procurement intentions totaling approximately $980 million with multiple potential buyers. This agreement for centralized procurement of complete vehicles and supporting automotive parts through AZI's digital platform could significantly expand its transaction scale and diversify product offerings, attracting considerable investor attention.

4. Potential Growth Levers:

• Focus on High-Growth Verticals: Autozi's new strategy specifically targets high-growth segments:
  • EV Core Components: Accelerating entry into this market (powertrain, battery management, thermal systems) using an S2M2B supply-chain model positions AZI to benefit from the global shift to electric vehicles.
  • Special-Purpose Vehicles (SPVs): Integrating leading SPV manufacturers (emergency, utility, logistics vehicles) and optimizing their operations through digital platforms allows AZI to tap into a specialized, high-value market.
• Expansion of Product Offerings: The procurement MOU and strategic partnerships are expected to broaden AZI's product portfolio, increasing the variety of vehicles and parts available, thereby enhancing its attractiveness to a wider customer base.
• Integrated Online and Offline Channels: Autozi's established infrastructure of integrated online and offline channels provides a robust foundation for deeper market penetration and customer engagement.

5. M&A Potential and Strategic Investments:
AZI's "Capitalization" pillar focuses on strategic investments and acquisitions to consolidate industry resources.

• CDIB Capital Investment Proposal: On December 17, 2025, AZI received a non-binding investment proposal from CDIB Capital International Holdings Limited to invest approximately $300 million in stages at a price of $5.00 per share. If completed, this investment would be a transformative event, significantly strengthening AZI's capital position, optimizing its structure, and providing robust financial backing for international expansion, brand building, and technology upgrades.
• Token Cat Limited Investment: The preliminary consensus for a $100 million equity investment in Token Cat Limited (NASDAQ: TC) aims to strengthen automotive group-buying channels and explore further collaborations in sales and after-sales services.

6. Near-Term Events:

• Upcoming Earnings Report: While AZI last reported earnings on September 5, 2025, the next earnings date is estimated to be between December 16 and December 24, 2025. A positive earnings surprise or strong forward guidance could act as a catalyst.
• Product/Platform Launches: The recent official launch of the China-Europe Cross-Border Supply Chain Platform is a significant near-term event expected to accelerate global development. Further updates on its performance will be closely watched.
• Conversion of Non-Binding Agreements: The successful conversion of the $980 million procurement MOU and the CDIB Capital investment proposal into definitive, binding agreements would be major catalysts, providing clarity and confidence to investors.

While these opportunities present significant growth potential, investors must acknowledge that some agreements are currently non-binding. However, these recent announcements collectively indicate a strong strategic direction and potential for substantial growth for Autozi Internet Technology (Global) Ltd.

12. Investor Sentiment and Analyst Coverage

As of December 17, 2025, investor sentiment surrounding Autozi Internet Technology (Global) Ltd. (NASDAQ: AZI) has experienced a dramatic shift, moving towards bullishness, primarily driven by recent strategic announcements. However, this optimism is layered over a foundation of underlying financial challenges, and analyst coverage remains somewhat limited and cautious.

Wall Street Ratings and Analyst Coverage:

Comprehensive, consolidated Wall Street analyst ratings for AZI are largely unavailable, suggesting limited coverage from major investment banks. However, technical indicators and individual analyst commentary provide some insights:

• Technical Outlook: As of December 14, 2025, technical analysis indicated a "bullish" sentiment. Earlier, in August 2024, the stock had a "sell" signal for the day and "neutral" ratings for the 1-week and 1-month outlooks. A reported "Upgrade at Wall Street Zen" on December 13, 2025, suggests a positive re-evaluation by some independent analysis platforms. The stock has shown significant upward momentum in the most recent days.
• TipRanks AI Analyst: An AI analyst from TipRanks rates AZI as "Underperform," citing weak financial performance and bearish technical indicators. This highlights the divergence between recent sentiment and fundamental concerns.

Hedge Fund and Institutional Investor Holdings:

Institutional ownership in AZI is relatively low, indicating that larger, more conservative investors have largely avoided significant positions, likely due to the company's financial instability and volatility.

• Low Institutional Ownership: Institutions hold approximately 7.19% of the company's shares, with retail investors accounting for the vast majority (92.81%).
• Key Institutional Holders (as of September 30, 2025): Four institutional investors held positions, totaling 111,660 shares (0.1% of institutional ownership). Notable holders included Virtu Financial LLC (55,570 shares), GEODE CAPITAL MANAGEMENT, LLC (38,760 shares), StoneX Group Inc. (12,840 shares), and UBS Group AG (4,500 shares).
• Recent Activity: During September 2025, GEODE CAPITAL MANAGEMENT, LLC and StoneX Group Inc. were notable buyers, while Virtu Financial LLC and UBS Group AG reduced or sold out of their positions. Overall, two of the four filers increased their positions, while two reduced their stakes, showing mixed institutional sentiment. Nasdaq data from June/September 2025 also indicated increased positions from Citadel Advisors Llc, Virtu Financial Llc, Geode Capital Management, Llc, and Hrt Financial Lp.

General Retail Investor Chatter or Notable Trends:

Retail investor sentiment has been the most volatile and reactive, showing a dramatic positive shift in mid-December 2025.

• Surging Bullish Sentiment: On December 16, 2025, retail sentiment on Stocktwits surged from "bearish" to "extremely bullish," accompanied by "extremely high" message volume. This spike was directly attributable to the announcement of AZI signing a non-binding Memorandum of Understanding (MOU) for procurement intentions totaling approximately $980 million.
• Positive Price Reaction: Further boosting sentiment, on December 17, 2025, AZI's stock rose over 21.43% in pre-market trading following the disclosure of a non-binding investment proposal from CDIB Capital International Holdings Limited for approximately $300 million at $5.00 per share. The stock had also climbed 13.96% on December 16, 2025, due to positive market sentiment regarding technological advancements and strategic partnerships.
• Valuation and Volatility: Despite the positive momentum, the stock's valuation metrics (P/E ratio of 0.09, P/S ratio of 0.03) are near two-year lows, and its RSI-14 indicates it is in oversold territory, which some retail investors might interpret as a buying opportunity. However, the stock exhibits high volatility, with a 52-week range from $1.33 to $69.00.
• Impact of Reverse Stock Split: The 50-for-1 share consolidation, effective December 12, 2025, was a strategic move to regain Nasdaq compliance. While often viewed negatively, the subsequent positive news appears to have temporarily overshadowed this.

In conclusion, AZI is currently experiencing a wave of bullish retail investor sentiment, fueled by recent announcements of significant strategic deals and investment interest. However, this positive sentiment contrasts with the company's deep-seated financial challenges and limited institutional backing. Investors should exercise caution, recognizing the highly speculative nature of the stock and the non-binding status of some of the catalysts driving recent enthusiasm.

13. Regulatory, Policy, and Geopolitical Factors

As of December 17, 2025, Autozi Internet Technology (Global) Ltd. (NASDAQ: AZI), a China-based automotive e-commerce and service platform with global expansion ambitions, operates within a complex web of regulatory, policy, and geopolitical factors. Compliance, government incentives, and international relations significantly shape its operational landscape and strategic decisions.

Regulatory Factors

1. China's Data and Cybersecurity Landscape: AZI, as a tech-driven platform handling vast amounts of data, is subject to China's stringent data protection framework:
   • Cybersecurity Law (CSL): Amended in October 2025 (effective Jan 1, 2026), the CSL strengthens enforcement, broadens regulatory reach, and links cybersecurity with data protection. Penalties have increased significantly, and the law extends extraterritorial jurisdiction.
   • Data Security Law (DSL) & Personal Information Protection Law (PIPL): These laws mandate data classification, security assessments for cross-border transfers, explicit consent for data processing, and regular compliance audits. New Network Data Security Management Regulations (effective Jan 1, 2025) further enhance data security, streamline low-risk cross-border transfers, and impose additional obligations on large-scale network platform service providers.
2. China's Anti-Monopoly and Anti-Unfair Competition Regulations: The State Administration for Market Regulation (SAMR) continues to scrutinize the digital economy and automotive sector.
   • Anti-Monopoly Law (AML) & Anti-Unfair Competition Law (AUCL): The AUCL, amended in October 2025, targets large enterprises that abuse their "advantageous position" and prohibits illegal data crawling and e-commerce fraud. AZI must navigate these to ensure fair competition.
3. NASDAQ Listing and SEC Compliance: As a NASDAQ-listed company, AZI must adhere to stringent U.S. securities regulations.
   • Stricter Listing Requirements: NASDAQ has implemented and proposed stricter rules for foreign listings, particularly for China-based companies, including increased minimum market value of publicly held shares (MVUPHS) and accelerated delisting processes.
   • Compliance Challenges: AZI recently executed a 50-for-1 reverse stock split (effective December 12, 2025) to meet NASDAQ's minimum bid price requirement, following non-compliance notifications. It also faces ongoing MVUPHS compliance challenges, highlighting the difficulty in maintaining its listing.
4. EU Regulatory Environment (for European Operations): AZI's new cross-border platform in Europe necessitates compliance with EU regulations.
   • General Data Protection Regulation (GDPR): This fundamental EU law requires explicit consent, transparency, data minimization, and robust security for personal data. Given the data generated by connected vehicles, GDPR compliance is critical to avoid significant penalties.
   • Automotive-Specific Regulations: The EU's ambitious climate targets (e.g., zero CO2 emissions from 2035 for new cars) under the European Green Deal impact vehicle sales. While Special-Purpose Vehicles (SPVs), a focus for AZI, may have some exemptions, new End-of-Life Vehicles (ELVs) regulations will introduce mandatory recycled content targets.

Policy Factors

1. Chinese Government Support for Automotive and Digital Economy: The Chinese government actively promotes the growth of the automotive industry, especially New Energy Vehicles (NEVs) and intelligent connected vehicles (ICVs), aligning with AZI's strategic focus.
   • Incentives and Subsidies: The "Work Plan for Steady Growth of the Automobile Industry (2025-2026)" targets significant NEV sales increases and emphasizes digital transformation. China renewed its car trade-in subsidy scheme for 2025, incentivizing NEV purchases.
   • Digital Economy Prioritization: China prioritizes investment in green technologies, high-end manufacturing, and the digital economy, offering significant opportunities for AZI's "Digitalization" and "Capitalization" pillars.
2. European Green Deal and Digital Policies: The EU's policy framework drives the market for electric and clean vehicles, directly impacting AZI's European expansion. Efforts to simplify GDPR and AI Act obligations could ease regulatory burdens.

Geopolitical Factors

1. US-China Tech Decoupling and Trade Tensions: As a Chinese company listed on NASDAQ, AZI is caught in the escalating US-China tech decoupling.
   • Investment and Listing Scrutiny: NASDAQ's stricter rules for China-based listings reflect broader geopolitical tensions, making it harder for Chinese companies to access US capital and increasing delisting risks.
   • Technology Restrictions: US export controls on advanced technologies (e.g., semiconductors, AI chips) could impact AZI's ability to access cutting-edge components or develop advanced AI solutions, hindering its "Digitalization" and "Globalization" strategies.
   • Data Sovereignty: Conflicts over data sovereignty create challenges for cross-border data flows.
2. EU-China Relations and Market Access Challenges: AZI's expansion into Europe is met with both opportunities and increasing scrutiny.
   • Increased Skepticism: Europe exhibits growing suspicion towards Chinese companies in critical sectors, potentially extending to tech-driven industries like automotive e-commerce.
   • Competition and Dependencies: Europe faces intense competition from China's production capacity in green technologies, while remaining dependent on Chinese critical inputs.
3. Global Supply Chain Vulnerabilities: Geopolitical conflicts and protectionist policies can disrupt global supply chains, increasing costs and affecting AZI's ability to deliver products and services globally.

In conclusion, Autozi Internet Technology (Global) Ltd. operates in a challenging global environment. Its success depends on meticulous compliance with evolving regulatory frameworks in China and the EU, while navigating the complexities of NASDAQ listing requirements and significant geopolitical risks from US-China tech decoupling and growing European skepticism. Strategic agility and robust compliance mechanisms are essential for its global growth trajectory.

14. Outlook and Scenarios

Autozi Internet Technology (Global) Ltd. (NASDAQ: AZI), a Chinese automotive service and supply-chain technology platform, faces a highly volatile and speculative outlook as of December 17, 2025. The company's future hinges on its ability to leverage recent strategic initiatives and proposed investments against a backdrop of severe financial distress and regulatory pressures. AZI provides automotive products and services, including new cars, auto parts, accessories, and maintenance, primarily in China, with ambitious plans for global expansion.

Current Snapshot (as of 12/17/2025):
AZI completed its IPO on NASDAQ on August 28, 2024. Financially, it reported revenues of $124.74 million in 2024 (up 9.86% YoY) but significant losses of -$74.47 million (up 245.1% YoY). As of September 30, 2024, total equity was negative at -$33.74 million, with current liabilities exceeding current assets. The company has a negative book value per share of $-10.47 and a debt-to-equity ratio of -72.4% as of March 30, 2025. Its cash runway is estimated at 4-5 months based on free cash flow, though recent capital raises could extend this. The stock has been extremely volatile, experiencing significant daily fluctuations. On December 16, 2025, AZI's stock rose 21.43% to $1.87, but had fallen 34.39% in the prior 10 days. On the current date, December 17, 2025, the stock jumped 15.5% in premarket trading following a major investment proposal.

Key Recent Developments Impacting Outlook:

• Strategic Investment Proposal: On December 17, 2025, AZI announced a non-binding investment proposal from CDIB Capital International Holdings Limited for approximately $300 million in stages at $5.00 per share. This could significantly bolster capital.
• Large Procurement MOU: On December 16, 2025, the company signed a non-binding Memorandum of Understanding for procurement intentions totaling approximately $980 million for complete vehicles and automotive parts.
• Globalization Initiatives: The official launch of its China-Europe Cross-Border Supply Chain Platform (December 15, 2025) and a strategic partnership with Wanshan International Trading Co. (November 19, 2025) target significant overseas sales.
• Business Strategy Shift: A new strategy (November 11, 2025) focuses on Capitalization, Digitalization, and Globalization, emphasizing EV Core Components and Special-Purpose Vehicles (SPVs).
• Share Consolidation: A 50-for-1 reverse stock split, effective December 12, 2025, was executed to regain Nasdaq compliance.

Industry Trends (Automotive Aftermarket):
The global automotive aftermarket is projected to grow from $674.61 billion in 2024 to $804.87 billion by 2030, driven by an aging vehicle parc, increased consumer maintenance spending, and cooling inflation. Digitalization and e-commerce are transforming the industry, with growing online parts purchases. The rise of EVs and ADAS creates demand for specialized services and components.

AZI Outlook and Scenarios:

Short-Term Projections (Next 3-6 Months):

• Volatile Stock Performance: AZI's stock is expected to remain highly volatile, sensitive to news regarding the CDIB investment, conversion of MOUs into firm contracts, and updates on globalization efforts. Technical signals are mixed, indicating both downtrends and recent buy signals.
• Financial Stability Focus: The immediate priority is to stabilize its precarious financial position. Successful completion of the CDIB investment is crucial for improving capital and liquidity.
• NASDAQ Compliance: Maintaining Nasdaq listing compliance after the reverse stock split is a critical short-term goal.
• Initial Globalization Traction: The newly launched China-Europe Cross-Border Supply Chain Platform and the Wanshan partnership could begin to show initial sales results, particularly if ambitious targets for CPVs and SPVs materialize.

Long-Term Projections (Next 1-5 Years):

• Market Share in Aftermarket: Long-term success depends on capturing a significant share of the growing global automotive aftermarket, leveraging its digitalization and cross-border supply chain strategies.
• Diversification into EV/SPV: Successful acquisition and integration of enterprises in EV core components and SPVs, and effective use of its SaaS-based supply chain system, will be vital for growth in these high-potential segments.
• Financial Health Improvement: Sustained profitability and positive cash flow are essential to overcome current financial challenges. The $300 million CDIB investment, if fully realized, could provide the necessary capital for long-term stability.
• Analyst Predictions: Long-term stock price predictions vary widely, with some forecasts for 2026 around $0.25-$0.28 and for 2030 around $0.36, reflecting bearish views from some sources, while others predict 2030 prices of $1.40-$1.75.

Bull Case Scenario:
In a bull case, AZI successfully executes its "Capitalization, Digitalization, and Globalization" strategy.

• Successful Funding & Strategic Partnerships: The $300 million CDIB investment is fully realized, providing robust capital and alleviating liquidity concerns. The $980 million procurement MOU converts into concrete, high-margin contracts, significantly boosting revenue.
• Rapid Globalization & Market Penetration: The China-Europe Cross-Border Supply Chain Platform surpasses sales targets (e.g., 5,000+ units/month in Europe by 2026), and the Wanshan partnership achieves its $1 billion overseas sales target, establishing AZI as a major global player.
• Strong Performance in EV/SPV: AZI's entry into EV core components and SPVs gains significant traction through successful acquisitions and integration, positioning it favorably in these high-growth segments.
• Financial Turnaround: Increased revenues from international expansion and new verticals, coupled with improved operational efficiency, lead to sustained profitability and a strengthening balance sheet. The company achieves positive shareholder equity and a healthy cash runway.
• Market Confidence: Positive financial results and successful strategic execution lead to a significant increase in investor confidence, driving stock price appreciation as short sellers reduce positions.

Bear Case Scenario:
In a bear case, AZI struggles to overcome its financial hurdles and execute its ambitious plans.

• Funding Falls Through or is Insufficient: The non-binding CDIB investment either does not materialize or is significantly reduced, leaving AZI with insufficient capital to address negative equity and fund growth. The procurement MOU fails to translate into substantial revenue.
• Globalization Challenges: The China-Europe Cross-Border Supply Chain Platform and other international ventures face intense competition, regulatory hurdles, or supply chain disruptions, failing to meet sales targets. Global expansion proves more costly and complex than anticipated.
• Limited Traction in New Verticals: Entry into EV core components and SPVs does not generate expected returns due to fierce competition, technological obsolescence, or ineffective integration of acquired entities.
• Continued Financial Deterioration: Losses persist, and the company's negative shareholder equity and high debt levels worsen. This could lead to further Nasdaq compliance issues, potential delisting, or highly dilutive financing.
• Negative Market Sentiment: Persistent financial struggles and unmet strategic goals lead to continued bearish sentiment, further stock price decline (some predictions suggest drops to as low as $0.000001 long term), and sustained high short interest.

Conclusion:
Autozi Internet Technology (Global) Ltd. is at a critical juncture. While recent announcements of significant investment interest and strategic partnerships offer a glimmer of hope for a bullish turnaround, the company's underlying financial health remains a serious concern with negative equity and substantial losses. The automotive aftermarket industry offers growth opportunities, particularly with digitalization and EV trends. However, AZI's ability to capitalize on these trends will depend heavily on its capacity to convert non-binding agreements into tangible revenue, secure the proposed investment, and effectively execute its new globalization and diversification strategy while addressing its fundamental financial weaknesses. Investors should proceed with extreme caution, as evidenced by the highly volatile stock performance and the wide range of analyst predictions.

15. Conclusion

As of December 17, 2025, Autozi Internet Technology (Global) Ltd. (NASDAQ: AZI) stands as a company navigating a pivotal and highly uncertain phase. Its ambitious strategic vision for global expansion and digital transformation in the automotive aftermarket is compelling, but it is deeply shadowed by significant financial distress.

Summary of Key Findings:

AZI's business model is centered on leveraging technology—specifically its proprietary online supply chain cloud platform and SaaS solutions—to connect various stakeholders across the automotive lifecycle. The company has strategically shifted its focus towards higher-margin auto parts and accessories sales, which now constitute the vast majority of its revenue, while also making aggressive moves into the Electric Vehicle (EV) core components and Special-Purpose Vehicles (SPV) markets, complemented by a bold globalization strategy exemplified by its new China-Europe Cross-Border Supply Chain Platform.

Financially, AZI presents a high-risk profile. While it has demonstrated robust top-line revenue growth in its core segments (65.9% year-over-year in H1 FY2025), it continues to struggle with profitability, reporting persistent operating and net losses. Its balance sheet is severely strained, marked by negative shareholder equity, an accumulated deficit of over $134 million, and critical liquidity constraints (current ratio of 0.46). An Altman Z-Score deep in the distress zone signals a high probability of bankruptcy. The company also recently underwent a 50-for-1 reverse stock split to regain Nasdaq compliance, highlighting its precarious listing status.

However, recent developments offer potential catalysts for a turnaround. The non-binding investment proposal for $300 million from CDIB Capital International Holdings Limited at a significant premium to its current stock price, if finalized, could be transformative, providing much-needed capital to stabilize its finances and fuel its strategic initiatives. Similarly, the non-binding $980 million procurement Memorandum of Understanding signals significant potential for increased transaction volume and market recognition.

Balanced Perspective:

Bullish Case: Should AZI successfully finalize the proposed CDIB investment, convert the large procurement MOU into concrete, profitable contracts, and effectively execute its globalization strategy—especially in the high-growth EV and SPV segments—it could achieve a remarkable turnaround. The company's technology-driven approach and strategic focus align with favorable industry trends in digital transformation and EV adoption. A successful pivot could lead to sustained profitability, improved financial health, and significant stock price appreciation from its current depressed levels.

Bearish Case: Conversely, if the proposed investment falls through or is insufficient, if the MOUs fail to translate into substantial revenue, or if its ambitious global expansion encounters insurmountable operational, regulatory, or competitive headwinds, AZI's severe financial vulnerabilities could lead to further deterioration. Continued losses, persistent liquidity issues, and potential delisting from Nasdaq would severely impact investor confidence and could ultimately lead to significant capital loss for shareholders. Geopolitical tensions and stringent regulatory environments in both China and Europe add layers of complexity and risk.

What Investors Should Watch:

Investors considering AZI must exercise extreme caution and closely monitor the following critical factors:

1. Investment Finalization: The completion and terms of the proposed $300 million investment from CDIB Capital are paramount.
2. Nasdaq Compliance: Continued adherence to Nasdaq's listing requirements, particularly concerning market value and bid price, is crucial.
3. Path to Profitability: A clear and demonstrable improvement in operating and net margins, moving towards sustained profitability, will be essential.
4. Cash Flow and Debt Management: Evidence of improved cash flow generation and effective management of its high debt load and negative equity.
5. Strategic Execution: Tangible results from its globalization efforts (e.g., sales figures from the Europe platform) and progress in the EV core components and SPV verticals.
6. Conversion of Agreements: The successful conversion of non-binding MOUs into definitive, revenue-generating contracts.

In summary, AZI is a highly speculative investment. While its strategic vision is compelling and recent events suggest potential for a significant pivot, the company's deep financial distress and operational challenges cannot be overstated. Only a successful and sustained execution of its strategic plan, supported by robust capital infusion, will determine its long-term viability and unlock any potential shareholder value.

This content is intended for informational purposes only and is not financial advice