Wetour Robotics Limited (NASDAQ: WETO) announced that its wholly owned U.S. subsidiary, Wetour Travel Tech LLC, is pursuing a cooperation agreement with an unnamed company specializing in warehouse automation and logistics robotics.

The proposed partner would support implementation of the company's previously announced multi-site Orchestra commercial project, covering robotic-system integration, hardware deployment, onsite implementation, worker onboarding and technical support.

Management preliminarily estimates that a full project rollout could generate approximately $5.0 million in project-level gross profit, assuming definitive agreements are executed and contemplated customer sites are separately authorized, completed, accepted and paid for. The estimate is preliminary and unaudited and does not represent cash received, recognized revenue, backlog or guaranteed profit.

Project-level gross profit, a non-GAAP measure, reflects estimated project revenue less direct hardware, partner, integration, deployment, logistics, onboarding and support costs. It excludes corporate overhead, stock-based compensation, interest, taxes and other company-level expenses.

"This proposed cooperation is intended to strengthen our ability to execute and scale Orchestra deployments," said Nan Zheng, Chief Executive Officer of Wetour Robotics. "Working with an experienced warehouse robotics company would support a more efficient and repeatable implementation model."

No cooperation agreement has been executed as of the date of the announcement. The proposed cooperation remains subject to negotiation, technical evaluation, internal approvals and definitive documentation. The proposed partner would serve as an implementation partner and is not the customer under the existing commercial project.