本文源自：财华网 【财华社讯】浦林成山(01809.HK)公布，公司全资附属公司浦林成山轮胎(泰国)有限公司(Prinx Thailand;)近期收到泰国工业园区管理局(IEAT;)就其位于泰国的轮胎生产基地发出的暂时停产通知，主 要原因为炭黑包装袋的处理涉嫌违反泰国工业废弃物处理法规和扩产生产线的废物排放待验收。Prinx Thailand已因此暂时让其轮胎生产基地停产，以待采纳整改措施和解决该事宜。Prinx Thailand已委任律 师代为处理该事宜。同时，Prinx Thailand正与IEAT积极协商，以尽快澄清和解决该事宜，并预计在一 至两周內就停产期限有更清晰的了解。公司仍在评估该通知对集团财务状况的影响(尽管如停产时间不 长，预计不会对集团财务状况构成任何重大影响)。 ...

Core Viewpoint - Prinx Thailand, a wholly-owned subsidiary of浦林成山, has received a temporary suspension notice from the Thailand Industrial Estate Authority regarding its tire production facility due to alleged violations of industrial waste handling regulations and pending acceptance of waste emissions from an expansion production line [1] Group 1 - The suspension is primarily due to issues related to the handling of carbon black packaging bags [1] - Prinx Thailand has temporarily halted operations at its tire production base while it implements corrective measures to address the situation [1] - The company has appointed a lawyer to manage the legal aspects of the matter [1] Group 2 - Prinx Thailand is actively negotiating with the Industrial Estate Authority of Thailand (IEAT) to clarify and resolve the issues as quickly as possible [1] - A clearer understanding of the suspension duration is expected within one to two weeks [1]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告之內容概不負責，對其準確 性或完整性亦不發表任何聲明，並明確表示，概不就因本公告全部或任何部分內容而產生或 因倚賴該等內容而引致之任何損失承擔任何責任。 Prinx Chengshan Holdings Limited 浦林成山控股有限公司 – 1 – 本公司仍在評估該通知對本集團財務狀況的影響（儘管如停產時間不長，預計 不會對本集團財務狀況構成任何重大影響）。本公司將適時根據上市規則的規 定披露復產進度及相關情況。 （於開曼群島註冊成立的有限公司） （股份代號：1809） 內幕消息 泰國輪胎生產基地暫時停產 本公告乃由浦林成山控股有限公司（「本公司」，連同其附屬公司，「本集團」） 根據香港聯合交易所有限公司證券上市規則（「上市規則」）第13.09(2)條及香港 法例第571章證券及期貨條例第XIVA部項下內幕消息條文而作出。 本公司全資附屬公司浦林成山輪胎（泰國）有限公司（「Prinx Thailand」）近期收 到泰國工業園區管理局（「IEAT」）就其位於泰國的輪胎生產基地發出的暫時停 產通知（「該通知」），主要原因為炭黑包裝袋的處理涉嫌違反泰國工業 ...

Financial Performance - The company's revenue for the year ended December 31, 2024, was RMB 10,973.9 million, representing a year-over-year increase of 10.3%[10]. - Net profit for the same period was RMB 1,311.9 million, with a net profit margin of 12.0%, up from 10.4% in the previous year[10][15]. - Gross profit margin slightly decreased to 21.2% from 21.3% year-over-year[15]. - Total assets increased to RMB 11,024.7 million, compared to RMB 10,602.4 million in 2023[13]. - The company's equity attributable to shareholders rose to RMB 6,543.5 million, reflecting a significant increase of 20.4% year-over-year[17]. - Basic earnings per share for the year was RMB 2.06, up from RMB 1.62 in 2023, marking a 26.9% increase[10][17]. - EBITDA for 2024 was RMB 1.99 billion, an increase of 16.4% year-on-year, while net profit attributable to shareholders was RMB 1.31 billion, up 26.9% year-on-year, resulting in a basic earnings per share of RMB 2.06, a growth of 27.2%[28]. - The total revenue for 2024 reached RMB 10,974 million (+10.3%), with a gross profit of RMB 2,330 million (+9.8%) and a net profit attributable to the owners of the company of RMB 1,312 million (+26.9%)[41]. - Revenue from sales to distributors increased from approximately RMB 8,707.3 million in 2023 to approximately RMB 9,862.3 million in 2024, representing a growth of about 13.3%[100]. - Revenue from sales to automobile manufacturers rose from approximately RMB 1,020.3 million in 2023 to approximately RMB 1,107.7 million in 2024, an increase of 10.7%[100]. Market Expansion and Strategy - The company maintains a global operational strategy with manufacturing bases in China and Thailand, and sales centers in China, North America, and Europe[19][20]. - The company plans to establish a second overseas tire production base in Malaysia, with a total investment of approximately USD 380 million, aiming for an annual production capacity of 6 million semi-steel tires and 600,000 all-steel tires, expected to generate an annual output value of USD 270 million upon reaching full capacity[31]. - The company is launching an off-the-road (OTR) tire project in Shandong Province, with a total investment of approximately RMB 1.17 billion, targeting an annual production capacity of 840,000 high-performance engineering tires and 10,000 giant engineering tires, projected to achieve an annual output value of RMB 1 billion upon reaching design capacity[31]. - The company aims to enhance its global capacity layout and strengthen sales and R&D as core drivers, leveraging market insights to drive innovation and improve customer experience[30]. - The company expanded its international marketing channels, adding 7 new sovereign markets and developing 66 new customers, resulting in a 22% year-on-year increase in sales to existing customers[52]. - The company is actively pursuing mergers and acquisitions to strengthen its market position and drive growth[161]. Product Development and Innovation - The company has established two R&D centers in Qingdao and Rongcheng to enhance product development capabilities[20]. - The company offers a comprehensive range of products including all-steel radial tires, semi-steel radial tires, and bias tires, catering to various vehicle types[21]. - The company achieved significant technological breakthroughs in product development, with two projects awarded the second prize in the Shandong Province Rubber Industry Science and Technology Award, and six projects recognized as meeting international advanced or domestic leading standards[29]. - The company’s high-end brand PRINX launched a new truck tire product "Fuel-saving • Smart Travel" S01, which meets EU label grade A standards for rolling resistance, resulting in an 8.28% reduction in fuel consumption compared to conventional products[29]. - The company launched multiple new products, including the "Fuel-saving Smart Travel" series and the new ice and snow tires, enhancing market competitiveness[60]. - The company has developed new tire products, including a new generation of all-season and winter tires, enhancing its product lineup[71]. - The company launched several all-steel tire products, such as the S10/S15 and D20/D25 series, incorporating advanced technologies for high durability and low rolling resistance[83]. Operational Efficiency and Management - The company completed 139 Lean Six Sigma projects in 2024, with 3,775 rationalization suggestions implemented[44]. - The company is enhancing its supply chain through automation and digitalization, utilizing big data for precise market demand forecasting[45]. - The company achieved significant advancements in smart manufacturing and information technology, optimizing production efficiency and reducing inventory costs through projects like APS and MPS[78]. - The company received the CSUA Golden Dragon Award for its digital transformation project focused on cost analysis, marking a key step in its digitalization efforts[79]. - The company is focused on enhancing organizational management and corporate culture to improve operational efficiency and team cohesion[74]. - The group implemented a performance management system with a coverage rate of over 90% for 124 positions across five major sequences, enhancing employee capability evaluation[149]. Sustainability and Compliance - The company has joined the UN Global Compact in September 2024, emphasizing its commitment to sustainable development[89]. - The company invested RMB 12.5 million in 2024 for the upgrade of waste gas treatment facilities, further reducing VOC emissions[89]. - The introduction of a green supply chain system aims to promote sustainable practices among suppliers, focusing on environmental protection and social responsibility[46]. - The company is actively managing climate change risks, including developing emergency plans for natural disasters and ensuring stable supply of raw materials[139]. - The company is committed to complying with various legal and regulatory requirements that significantly impact its operations, including environmental protection and foreign investment laws[140]. Human Resources and Talent Development - As of December 31, 2024, the group had a total of 6,818 employees, an increase from 6,532 employees as of December 31, 2023[146]. - Employee benefits expenditure for the year ended December 31, 2024, was approximately RMB 746.7 million, compared to approximately RMB 725.5 million for the year ended December 31, 2023[146]. - The group launched a digital learning platform to facilitate knowledge sharing and improve employee training, adapting to the demands of the digital age[147]. - The group has a strong focus on talent development, with ongoing initiatives to strengthen the professional talent pool and ensure sustainable corporate growth[149]. - The company aims to attract and retain key management personnel through the share option plan, aligning their interests with the company's performance[184]. Leadership and Governance - Mr. Jiang Xizhou appointed as Executive President starting December 30, 2024, with extensive experience in tire production and management[158]. - Mr. Che Hongzhi, the founder, serves as the Chairman of the Board and has over 20 years of experience in the tire production industry[159]. - The management team includes professionals with diverse backgrounds in finance, law, and corporate governance, ensuring comprehensive oversight[164]. - The board is committed to providing strategic guidance and professional advice to navigate market challenges[159]. - The company emphasizes the importance of compliance and governance, with independent directors overseeing key committees[165].

Group 1 - The company reported annual revenue of 10.974 billion RMB for the year ending December 31, 2024, representing a year-on-year increase of 10.3% [1] - Shareholder profit reached 1.312 billion RMB, an increase of 26.94% year-on-year, with basic earnings per share at 2.06 RMB [1] - The company plans to distribute a final dividend of 0.5 HKD per share [1] Group 2 - In 2024, the company sold 28 million tires, an increase of 11.7% year-on-year, with specific sales figures of 8 million for radial tires (down 1.7%), 19.5 million for semi-radial tires (up 18.6%), and 500,000 for bias tires (up 3.7%) [1] - The company generated approximately 2.326 billion RMB from domestic distributors and 7.537 billion RMB from international distributors, accounting for about 21.2% and 68.7% of tire revenue, respectively [1] - Direct sales to automobile manufacturers amounted to approximately 1.108 billion RMB, representing 10.1% of total tire revenue [1] Group 3 - The company systematically expanded its international marketing channels in 2024, adding 7 sovereign markets and developing 66 new customers [2] - Sales volume for international marketing business reached 19.931 million tires, a year-on-year increase of 14.8%, with revenue of 7.537 billion RMB, up 19.1% year-on-year [2] - The company conducted in-depth market research in 18 key countries to optimize product mix and sales policies, addressing regional market pain points and driving a 22% year-on-year increase in sales volume for existing customers [2]

Financial Performance - The company's revenue for the year ended December 31, 2024, was RMB 10,973.9 million, representing a year-over-year increase of 10.3%[12] - Net profit for the same period was RMB 1,311.9 million, with a net profit margin of 12.0%[19] - Gross profit margin slightly decreased to 21.2% from 21.3% in the previous year[17] - Total assets increased to RMB 11,024.7 million, up from RMB 10,602.4 million in 2023[15] - The company's equity attributable to shareholders rose to RMB 6,543.5 million, reflecting a year-over-year growth of 20.4%[19] - Basic earnings per share increased to RMB 2.06, up 26.9% compared to the previous year[19] - EBITDA for 2024 was RMB 1.99 billion, an increase of 16.4% year-on-year, while net profit attributable to shareholders was RMB 1.31 billion, up 26.9% year-on-year, resulting in a basic earnings per share of RMB 2.06, a growth of 27.2%[30] - The total revenue for 2024 reached RMB 10,974 million (+10.3%), with a gross profit of RMB 2,330 million (+9.8%) and a net profit attributable to the company's owners of RMB 1,312 million (+26.9%) [43] Manufacturing and Production - The company operates two major manufacturing bases in China and Thailand, and has established sales centers in China, North America, and Europe[21] - The company plans to establish a second overseas tire production base in Kedah, Malaysia, with a total investment of approximately USD 380 million, aiming for an annual production capacity of 6 million semi-steel tires and 600,000 all-steel tires, expected to generate an annual output value of USD 270 million upon reaching full capacity[33] - The company is launching an off-the-road (OTR) tire project in Shandong, with a total investment of approximately RMB 1.17 billion, targeting an annual production capacity of 840,000 high-performance engineering tires and 10,000 giant engineering tires, projected to achieve an annual output value of RMB 1 billion by 2029[33] - The Shandong tire production base's annual capacity for semi-steel tires is 330,000 units, with a utilization rate of 97.8% in 2024[71] - The Thailand tire production base has an annual capacity of 2 million units for semi-steel tires, with a utilization rate of 87.1% in 2024[71] Research and Development - The company plans to continue investing in research and development to enhance its product offerings and market presence[21] - The company has achieved significant technological breakthroughs in product development, with two projects awarded the second prize of the Shandong Province Rubber Industry Science and Technology Award, and six projects reaching international advanced or domestic leading standards[31] - The company is committed to improving organizational management and corporate culture to enhance operational efficiency[76] - The company is investing in R&D for new technologies, with an allocated budget of $50 million for the upcoming year[163] - Research and development expenses grew from approximately RMB 240.0 million in 2023 to approximately RMB 250.7 million in 2024, an increase of about 4.5%[107] Market Expansion and Sales - The company aims to enhance its global production capacity and strengthen sales and R&D as core drivers, focusing on high-quality products and services to meet market demands[32] - The company expanded its international marketing channels, adding 7 new sovereign markets and developing 66 new customers, resulting in a 22% year-on-year increase in sales to existing customers[54] - The sales volume in the international marketing business reached 19.93 million units, a year-on-year increase of 14.8%, with revenue of RMB 7,536.8 million, up 19.1%[54] - The company aims to enhance its market presence by deepening cooperation with OEMs and targeting high-value customer segments in the commercial vehicle tire market[96] - The company is actively expanding its international market presence, launching new products tailored for North America and Europe, including all-season and high-performance tires[84] Sustainability and Environmental Initiatives - The company is committed to green and sustainable development, promoting the use of environmentally friendly materials and enhancing tire recycling technologies[98] - The company invested RMB 12.5 million in 2024 for the upgrade of waste gas treatment facilities, further reducing VOC emissions[91] - The company achieved EcoVadis bronze certification, ranking in the top 35% globally for sustainability practices[91] - The introduction of a green supply chain system aims to promote sustainable practices among suppliers, enhancing supply chain resilience [48] Corporate Governance and Management - The company has a robust management team with members holding advanced degrees and professional certifications, enhancing its operational capabilities[175] - The company has a history of appointing experienced professionals to its board, ensuring strong governance and oversight[172] - Mr. Jiang Xizhou appointed as Executive President effective December 30, 2024, after serving in various management roles since 2019[160] - The company appointed Mr. Huang Xiaolei as Chief Financial Officer starting June 2023, who has extensive experience in financial management from previous roles in various companies[174] Employee Development and Engagement - The group has implemented a performance management system with a coverage rate of over 90% for 124 positions across five major sequences, enhancing employee capability evaluation[151] - The group has established a digital learning platform to facilitate knowledge sharing and improve employee training, adapting to the demands of the digital age[149] - The group has a strong focus on talent development, with over 90% coverage in technical certification for skilled workers[151] - The company has granted a total of 35,050,000 stock options under the 2021 Stock Option Plan, with additional grants in subsequent years[153] Future Outlook - Future outlook indicates a projected revenue growth of 15% for the next fiscal year, driven by new product launches and market expansion strategies[162] - The company is exploring potential acquisitions to enhance its product portfolio, with a focus on companies in the tech sector[165] - A new product line is set to launch in Q2 2025, expected to contribute an additional $20 million in revenue[166] - The board has approved a new risk management strategy to mitigate potential market volatility impacts[168]

Investment Rating - The report indicates that the company is a leading player in the domestic tire industry, with a focus on overseas production capacity and improving earnings quality [2][3]. Core Insights - The company has established a significant overseas production capacity, which enhances its profitability due to lower tax rates [2][3]. - The company’s earnings quality has steadily improved, with a notable increase in net profit and revenue in the first half of 2024 [14][24]. - The company has a stable shareholding structure, with the largest shareholder holding 69.63% of the shares [6][8]. Company Overview - The company, Prinx Chengshan Holdings, is headquartered in Rongcheng, Shandong, China, and has been in operation since 1976, focusing on tire design, R&D, manufacturing, and sales [3]. - It has developed production bases in China and Thailand, along with sales centers in China, North America, and Europe, forming a global development layout [3][4]. Financial Performance - In the first half of 2024, the company achieved a revenue of 5.363 billion yuan, a year-on-year increase of 23.74%, and a net profit of 811 million yuan, up 148.04% year-on-year [14][24]. - The gross margin and net margin for the first half of 2024 were 24.62% and 15.08%, respectively, indicating a strong profitability trend [24][25]. Market Position - The company has a significant market share in the domestic tire industry, with a continuous increase in the market share of Chinese tire companies, reaching 17.52% in 2023 [49]. - The company’s sales in the Americas accounted for 33.14% of total sales in the first half of 2024, reflecting its successful expansion into North America [14]. Strategic Initiatives - The company has implemented a differentiated brand strategy with four well-known tire brands: PRINX, Chengshan, Austone, and Fortune [10]. - It has expanded its market presence in North America through partnerships, such as becoming the official tire sponsor for USA Pickleball [12]. Operational Efficiency - The company maintains a high asset turnover ratio of 1.0 and an inventory turnover ratio of 5.4, indicating strong operational efficiency compared to peers [40].

Financial Performance - Revenue for the six months ended June 30, 2024, reached RMB 5,363.4 million, a 23.7% increase year-over-year from RMB 4,336.2 million[9]. - Profit before tax for the same period was RMB 892.3 million, up 148.0% compared to RMB 378.1 million in 2023[9]. - Net profit attributable to shareholders was RMB 811.4 million, representing a 148.0% increase from RMB 327.1 million in the previous year[9]. - The gross profit margin improved to 24.6%, an increase of 7.6 percentage points year-over-year[13]. - Revenue for the reporting period reached approximately RMB 5,363.4 million, an increase of 23.7% year-on-year, with a gross profit of approximately RMB 1,320.5 million, up 60.4%[21]. - The profit attributable to the owners of the company was approximately RMB 811.4 million, reflecting a significant year-on-year increase of 148.0%[21]. - EBITDA for the period was approximately RMB 1,195.3 million, marking an 82.5% year-on-year growth, with an EBITDA margin of 22.3%, up 7.2 percentage points[21][23]. - The company's operating profit for the six months ended June 30, 2024, was approximately RMB 911.3 million, a 120.9% increase from RMB 412.5 million in the same period of 2023[96]. - Total comprehensive income for the period rose from approximately RMB 438.0 million to about RMB 832.7 million, an increase of 90.1% year-on-year, primarily due to a net profit increase of approximately RMB 484.3 million[101]. Assets and Liabilities - Total assets as of June 30, 2024, amounted to RMB 10,654.7 million, compared to RMB 10,028.4 million at the end of 2023[10]. - The company’s total liabilities decreased to RMB 4,575.9 million from RMB 5,251.2 million in 2023[10]. - As of June 30, 2024, the company's cash and cash equivalents amounted to approximately RMB 574.1 million, a decrease of about RMB 151.9 million from RMB 726.0 million as of December 31, 2023[102]. - The company's inventory increased to approximately RMB 1,730.0 million as of June 30, 2024, up about RMB 92.5 million from RMB 1,637.5 million as of December 31, 2023, due to business expansion[104]. - Trade receivables increased to approximately RMB 2,216.7 million as of June 30, 2024, an increase of about RMB 356.4 million from RMB 1,860.4 million as of December 31, 2023, attributed to higher sales revenue[106]. - The company's bank borrowings as of June 30, 2024, were approximately RMB 868.8 million, down from RMB 1,211.3 million as of December 31, 2023[102]. - The current ratio improved to approximately 1.3 as of June 30, 2024, compared to 1.1 as of December 31, 2023[103]. - The capital debt ratio as of June 30, 2024, was 5.1%, down from 8.7% as of December 31, 2023[114]. Market and Sales Performance - In the first half of 2024, China's rubber tire production increased by 10.5% year-over-year, reaching approximately 526 million units[16]. - The domestic automobile ownership reached 345 million vehicles by June 2024, with new energy vehicles accounting for 24.72 million units, a 30.1% increase year-over-year[17]. - The company sold approximately 13.8 million tires during the reporting period, representing a year-on-year growth of 19.3%[21]. - Domestic dealer channel revenue was approximately RMB 1,244.6 million, a year-on-year increase of 10.3%, while international dealer channel revenue was approximately RMB 3,511.9 million, up 28.8%[22]. - International marketing achieved revenue of approximately RMB 3,511.9 million, representing a year-on-year increase of about 28.8% from RMB 2,727.0 million in 2023[42]. - Revenue from direct sales to automobile manufacturers was approximately RMB 606.9 million, up 26.3% from RMB 480.7 million in the same period of 2023, driven by increased supply to medium and heavy-duty trucks and passenger vehicles[44]. - Sales of all-steel radial tires generated revenue of approximately RMB 3,063.1 million, a 10.4% increase from RMB 2,774.8 million, driven by a 10.8% increase in sales volume[80]. - Sales of semi-steel radial tires increased by 47.6% to approximately RMB 2,205.4 million, primarily due to a 24.1% increase in sales volume and a rise in average selling price[80]. Product Development and Innovation - The company launched the "H Load Series" commercial tires, utilizing new technologies to enhance performance for complex domestic transport environments[32]. - The "PRO Premium Series" was introduced, targeting the high-end market with eight new patterns and twelve products, aiming to become a leader in high-end commercial tires[35]. - The company has increased R&D investment in new materials, focusing on bio-based, renewable, and high-performance rubber, enhancing tire safety, durability, and fuel economy[57]. - The company has developed new products including a new type of all-season tire and winter tires, with a total of 429 intellectual property rights obtained, including 21 invention patents[58]. - The company launched 300 new products during the reporting period, including 14 all-steel radial tires and 286 semi-steel radial tires, enhancing its product line and market competitiveness[65]. - The company achieved significant breakthroughs in low rolling resistance technology, with the S01 product reaching the EU label A standard, contributing to energy savings in the commercial vehicle industry[68]. - The company is actively expanding its international market presence with new product launches in North America and Europe, including the introduction of the "Hua Ren PLUS" ultra-high-performance tire[66]. Operational Efficiency and Cost Management - The company implemented 2,025 rationalization suggestions in the first half of 2024, enhancing operational efficiency through Lean Six Sigma projects[25]. - The company optimized its supply chain system using big data analysis to predict market demand and improve procurement efficiency[26]. - The company optimized logistics costs by locking in shipping prices and managing logistics expenses effectively, alleviating cost pressures[41]. - The company has implemented a cost automation system to enhance financial management and decision-making, marking a step towards intelligent financial operations[63]. - The company will continue to optimize its operational efficiency and deepen cost awareness across all levels[78]. Strategic Initiatives and Market Expansion - The company is expanding its international presence by establishing overseas production bases to enhance competitiveness amid rising trade barriers[20]. - The company developed 37 new overseas dealers during the reporting period and launched key new products in overseas markets, enhancing global competitiveness[41]. - The company signed a strategic cooperation agreement with Marangoni, aiming to improve the lifespan of commercial vehicle tires and reduce CO2 emissions[50]. - The company is focusing on digitalization and smart transformation in the tire industry to achieve high-quality development amid global economic challenges[76]. - The company plans to enhance brand influence and sales of mid-to-high-end products in the domestic commercial vehicle tire replacement market[77]. - The company aims to strengthen its presence in weak and blank international markets, focusing on increasing sales of all-steel products[77]. Employee and Governance - The group had a total of 6,252 employees as of June 30, 2024, down from 6,532 employees as of December 31, 2023[138]. - Employee benefit expenses for the six months ended June 30, 2024, were approximately RMB 351.5 million, compared to RMB 316.6 million for the same period in 2023[138]. - The group organized 7 safety training sessions and conducted 77 special drills and 4 emergency drills during the reporting period to enhance employees' emergency response capabilities[131]. - The company has implemented a performance management system and a value-oriented compensation system to align employee remuneration with performance outcomes[138]. - The group has established partnerships with several universities for talent development and training, enhancing its employer brand in the academic community[140]. - The company has adopted a stock option plan to attract and retain key management personnel, granting a total of 35,050,000 stock options under the new plan initiated in 2021[143]. - The company has established an audit committee consisting of three independent non-executive directors to oversee financial reporting and internal controls[187]. - The company has complied with the Corporate Governance Code during the reporting period[182]. Shareholder Information and Dividends - The company has proposed an interim dividend of HKD 0.15 per share, totaling approximately HKD 96 million, expected to be paid around October 23, 2024[184]. - As of June 30, 2024, the controlling shareholders hold a combined 69.63% of the company's issued share capital[180]. - Major shareholder China National Heavy Duty Truck Group holds 54,873,500 shares, representing 8.62% of the company[196]. - Chengshan Group holds 436,600,000 shares, accounting for 68.57% of the company[196]. - Beijing Zhongmingxin Investment Co., Ltd. has a controlling interest in 443,359,500 shares, which is 69.63% of the company[196]. - The company has a significant concentration of ownership, with the top three shareholders controlling over 69% of the shares[196]. Risk Management and Compliance - The company has integrated climate risk management into its overall risk management framework, focusing on both physical and transition risks associated with climate change[131]. - The company is closely monitoring the international economic and political environment to adjust its development strategy for the Thailand tire production base, ensuring stable operations[129]. - The average anti-dumping tax rate applicable to Prinx Thailand's products is 4.95%, following the preliminary ruling from the U.S. Department of Commerce on August 9, 2024, with a final ruling expected in early 2025[125]. - The company is actively participating in anti-dumping investigations to reduce export tax rates, significantly lowering the tax rate for exports to the U.S. since 2019[124]. Future Outlook - The company anticipates a slight decrease in orders due to domestic market conditions and international shipping costs, with strong demand for semi-steel radial tires expected to weaken in the second half of 2024[73]. - The report indicates that there are no significant changes in the governance structure or executive compensation as of June 30, 2024[195]. - The company has not provided specific future guidance or performance outlook for the upcoming quarters[195].

Investment Rating - Buy (Maintained) [1] Core Views - The company achieved significant revenue and profit growth in the first half of 2024, with revenue reaching 5.381 billion yuan, a year-on-year increase of 23.74%, and net profit attributable to the parent company reaching 811 million yuan, a year-on-year increase of 148.04% [2] - The gross profit margin improved to 24.62%, an increase of 5.64 percentage points year-on-year, and the net profit margin reached 15.08%, an increase of 7.56 percentage points year-on-year [2] - The company's tire sales increased by 19.3% year-on-year, with semi-steel tire sales growing by 24.1% and all-steel tire sales growing by 10.8% [2] - The company's production capacity utilization rates are high, with semi-steel tire utilization rates at 97.6% in Thailand and 96.5% in Shandong [3] - The company is expected to achieve a CAGR of 16.3% in net profit attributable to the parent company from 2024 to 2026 [7] Financial Performance - Revenue for 2024E is projected to be 10.878 billion yuan, with a growth rate of 9.35% [8] - Net profit attributable to the parent company for 2024E is expected to be 1.314 billion yuan, with a growth rate of 27.18% [8] - EPS for 2024E is forecasted to be 2.06 yuan, with a P/E ratio of 3.54 [8] - The company's ROE is expected to be 21.58% in 2024E, up from 19.02% in 2023A [8] Production and Capacity - The company's production capacity in Thailand and Shandong is steadily increasing, with all-steel tire capacity at 2 million and 7.4 million units, and semi-steel tire capacity at 10 million and 11.53 million units, respectively [3] - The company completed the optimization and upgrade of the semi-steel radial tire production line in Shandong in Q2 2024, and the third-phase project in Thailand is expected to reach full production by Q4 2024 [3] Market and Industry Trends - Domestic rubber tire production increased by 10.1% year-on-year in the first seven months of 2024, while exports grew by 9.7% [2] - The company is focusing on green and high-performance products, launching 300 new products in the first half of 2024, including 14 all-steel radial tires and 286 semi-steel radial tires [7] Profitability and Cost Management - The company's profitability was less affected by cost pressures in the first half of 2024, with raw material prices increasing by 6.5% in Q2 compared to Q1 [2] - The company implemented price increases in Q1 and Q2 to pass on cost pressures, maintaining strong profitability [2]

研究报告 Research Report 25 Aug 2024 浦林成山 Prinx Chengshan Holdings (1809 HK) 2024H1 净利同比增长 148%，重点项目为公司增长奠定基础 2024H1 Net Profit +148% YoY & Key projects lay the foundation for company growth [Table_yemei1] 观点聚焦 Investment Focus | --- | --- | |-----------------------------------------------|---------------------| | [Table_Info] 维持优于大市 Maintain OUTPERFORM | | | 评级 | 优于大市 OUTPERFORM | | 现价 | HK$7.98 | | 目标价 | HK$9.43 | | HTI ESG | 5.0-5.0-5.0 | E-S-G: 0-5, (Please refer to the Appendix for ESG comments) | --- | -- ...