Summary of the Conference Call for Yuan Zheng Technology Company Overview - **Company**: Yuan Zheng Technology - **Industry**: Automotive diagnostic equipment and software Key Financial Metrics - **Revenue**: - H1 2025 revenue was CNY 0.7 billion, but adjusted for deferred income, it should be CNY 1.016 billion, a 14% increase YoY [2][4] - Net profit reached CNY 1.96 billion, a 28% increase YoY, with a net profit margin improvement of 3 percentage points [2][4] - Adjusted net profit, considering foreign exchange losses, would be CNY 2.4 billion, maintaining a 28% growth rate [2][4] - **Product Shipments**: - Total device shipments were 167,000 units, a 16% increase YoY, driven by overseas markets (17% growth) and e-commerce channels (30% growth) [2][5] - DIY device shipments decreased slightly, while tire pressure sensors saw a significant increase of 87%, reaching 630,000 units [2][6] Expense Management - Total expenses increased by CNY 54 million, with financial expenses rising by over CNY 12 million [7][8] - R&D and management expenses were controlled within reasonable limits, with R&D expenses increasing by CNY 7 million [7][8] Business Segment Performance - **Self-developed Equipment**: Revenue was CNY 720 million, a 13% increase YoY, with a target of CNY 2 billion for the year [9] - **OEM Equipment**: Revenue decreased by 15% to CNY 100 million, with a stable gross margin [9] - **Software Business**: Reported revenue of CNY 70 million, a 13% decline YoY, but adjusted for deferred income, it shows a 28% growth [10] Service and Data Business - Strong performance in service and data segments, with remote diagnostic services and big data revenues growing by 53% and 61% respectively [11] - Expected to achieve a total of CNY 40 million in service and data revenue for the year [11] Market and Regional Performance - **Tire and New Energy Sector**: Revenue of CNY 28 million, a 51% increase YoY, but still short of the annual target of CNY 110 million [12] - **Overseas Market**: Revenue reached CNY 750 million, a 19% increase YoY, with a gross margin of 51% [13] - **Domestic Market**: Revenue decreased to CNY 210 million, primarily due to a drop in OEM equipment sales [14] Strategic Initiatives - Plans to introduce new energy equipment and data processing on-chain, adopting RWA models to expand the new energy equipment business [15] - Strategies to mitigate US tariffs include changing product codes and relocating some production to Vietnam [28] Future Outlook - The company is optimistic about achieving its revenue targets for the second half of the year, particularly in the new energy and tire sectors [12][22] - Anticipates a significant increase in sales from new products, with a target of CNY 80 million in revenue for the second half [22] Investment Considerations - The company maintains a high market share in domestic diagnostic equipment, exceeding 70% [29] - The overall growth target for the year is CNY 2.184 billion, with a 20% YoY increase expected [20] - The company is viewed as a solid investment opportunity with a P/E ratio of approximately 10 times and a dividend yield of around 8% [37]

证券时报·数据宝统计，元征科技在港交所公告显示，8月5日以每股11.230港元至12.030港元的价格回购 43.35万股，回购金额达515.26万港元。该股当日收盘价12.030港元，下跌4.60%，全天成交额9222.65万 港元。 今年以来该股累计进行24次回购，合计回购349.10万股，累计回购金额3486.99万港元。（数据宝） 元征科技回购明细 （文章来源：证券时报网） | 日期 | 回购股数（万股） | 回购最高价（港元） | 回购最低价（港元） | 回购金额（万港元） | | --- | --- | --- | --- | --- | | 2025.08.05 | 43.35 | 12.030 | 11.230 | 515.26 | | 2025.04.24 | 31.45 | 10.780 | 10.500 | 337.02 | | 2025.04.23 | 3.90 | 10.400 | 9.970 | 39.97 | | 2025.04.22 | 16.70 | 10.480 | 9.630 | 163.60 | | 2025.04.17 | 15.35 | 10.060 | 9.710 ...

元征科技(02488)公布，2025年8月5日耗资约515.26万港元回购43.35万股股份。 ...

格隆汇8月5日丨元征科技(02488.HK)公告，8月5日耗资515万港元回购43.35万股。 ...

智通财经APP讯，元征科技(02488)公布，2025年8月5日耗资约515.26万港元回购43.35万股股份。 ...

FF305 翌日披露報表 (股份發行人 ── 已發行股份或庫存股份變動、股份購回及/或在場内出售庫存股份) 表格類別： 股票 狀態： 新提交 第 1 頁 共 7 頁 v 1.3.0 公司名稱： 深圳市元征科技股份有限公司 呈交日期： 2025年8月5日 如上市發行人的已發行股份或庫存股份出現變動而須根據《香港聯合交易所有限公司（「香港聯交所」）證券上市規則》(「《主板上市規則》」)第13.25A條 / 《香港聯合交易所有限公司GEM證券 上市規則》(「《GEM上市規則》」)第17.27A條作出披露，必須填妥第一章節 。 | 第一章節 | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | | 1. 股份分類 | 普通股 | 股份類別 | H | 於香港聯交所上市 | 是 | | | | 證券代號 (如上市) | 02488 | 說明 | | | | | | | A. 已發行股份或庫存股份變動 | | | | | | | | | | | | 已發行股份（不包括庫存股份）變動 | 庫存股份變動 | | | | | | 事件 | 已發行股份 ...

Group 1 - Xindong Company (02400) reported a positive earnings forecast, expecting revenue of at least RMB 3.05 billion for the first half of 2025, a year-on-year increase of approximately 37%, and a net profit of at least RMB 790 million, a year-on-year increase of about 215% [1] - Yimai Sunshine (02522) also announced a positive earnings forecast, expecting revenue between RMB 450 million to 480 million for the first half of the year, a year-on-year increase of approximately 8.77% to 16.03%, and a net profit of RMB 14.5 million to 16.5 million, a year-on-year increase of about 1350% to 1550% [1] - Tianli International Holdings (01773) plans to repurchase shares up to a total of HKD 200 million based on market conditions, believing that the share buyback plan is in the best interest of the company and its shareholders [2] Group 2 - Liaogang Co., Ltd. (02880) reported a total operating revenue of RMB 5.693 billion for the first half of 2025, a year-on-year increase of 5.93%, and a net profit attributable to shareholders of RMB 956 million, a year-on-year increase of 110.78% [2] - Yuan Zheng Technology (02488) reported a revenue of RMB 982 million for the first half of 2025, a year-on-year increase of 9.75%, and a net profit of RMB 195 million, a year-on-year increase of 27.74% [2] - Geekplus Technology (02590) expects revenue between RMB 995 million to 1.03 billion for the first half of the year, a year-on-year increase of 27% to 32%, while the net loss is expected to narrow significantly [3] Group 3 - Lee & Man Paper Manufacturing (02314) and other leading companies in the paper industry have initiated a price increase for various products starting August 1, indicating a significant acceleration in price adjustment frequency within the industry [3] - Xinda Biopharmaceutical (01801) announced that its innovative oral small molecule GLP-1R agonist IBI3032 has received IND approval from the FDA [4] - Heyu-B (02256) reported a revenue of RMB 612 million for the first half of the year, a year-on-year increase of 23.1%, and a net profit of RMB 328 million, a year-on-year increase of 58.84% [4] Group 4 - Bilibili (BILI.US) is expected to achieve a revenue growth of 20% year-on-year to RMB 7.3 billion in the second quarter, driven by stable performance in mobile games [5][6] - Li Auto (LI.US) launched the Li Xiang i8, with deliveries starting on August 20, and received positive outlooks from multiple institutions [6] - Xpeng Motors (XPEV.US) achieved a new monthly delivery record in July, delivering 36,717 smart electric vehicles, a year-on-year increase of 229% [7]

Core Insights - The company reported a revenue of 982 million yuan for the first half of 2025, representing a 10% year-on-year growth, and a net profit of 196 million yuan, which is a 28% increase [1] - The automotive industry in China continues to grow, with production and sales reaching approximately 15.62 million and 15.65 million vehicles respectively in the first half of the year, providing a favorable market environment for the company [1] Financial Performance - In 2024, the company achieved a total revenue of 1.882 billion yuan, a 17.8% increase from 1.598 billion yuan in 2023, with shareholder profit reaching 340 million yuan, a significant increase of 101.2% [3] - The gross profit margin improved from 42.47% in 2023 to 46.94% in 2024, indicating enhanced product profitability [3] - The return on equity surged from 15.79% in 2023 to 29.46% in 2024, reflecting a notable improvement in asset operational efficiency [3] - The operating cash flow per share increased from 0.39 yuan in 2023 to 0.94 yuan in 2024, indicating a significant improvement in cash flow [3] Asset and Liability Structure - The company's debt-to-asset ratio decreased from 52.07% in 2021 to 37.70% in 2024, with current and quick ratios reaching 2.10 and 1.73 respectively, showing enhanced solvency and financial stability [6] - However, the accounts receivable turnover period extended from 53 days in 2023 to 58 days in 2024, while the accounts payable turnover period decreased from 46 days to 36 days, suggesting a potential weakening of the company's bargaining power in the supply chain [6] - Cash and cash equivalents decreased from 620 million yuan at the end of 2023 to 548 million yuan at the end of 2024, which requires close monitoring given the company's rapid business growth [6] Strategic Transformation - The company aims to transition from a manufacturing entity to an intelligent enterprise, leveraging AI technology in the automotive sector to become a global leader in automotive AI [7] - The strategy includes enhancing overseas business scale, increasing super remote diagnostic transaction volume, and developing the company's AI capabilities [7] - The company has a strong foundation for this transformation, with 30 years of experience in the automotive diagnostics field and significant investments in R&D, with fixed assets growing from 478 million yuan in 2021 to 508 million yuan in 2024, and intangible assets increasing from 102 million yuan to 201 million yuan [7] - Nonetheless, the company faces challenges in executing this transformation, as sales and distribution expenses rose from 120 million yuan in 2021 to 254 million yuan in 2024, indicating intensified market competition [7]

Group 1 - The core viewpoint of the article is that Yuan Zheng Technology (02488) experienced a decline in stock price despite reporting positive mid-year financial results for 2025, with a revenue increase of 9.75% year-on-year and a net profit increase of 27.74% [1] - As of the report, the stock price fell by 7%, trading at HKD 11.79, with a transaction volume of HKD 11.0035 million [1] - The company announced a mid-term dividend of HKD 0.31 per share, reflecting its commitment to returning value to shareholders [1] Group 2 - The revenue for the first half of 2025 reached RMB 982 million, driven by the application of smart algorithms and AI technology [1] - Overseas business, including e-commerce, achieved a record high revenue of RMB 746 million, accounting for approximately 76% of total revenue [1] - The use of AI technology allowed the company to analyze user behavior and implement smart pricing, resulting in a 28% year-on-year increase in software purchases, totaling RMB 104 million [1]

Core Viewpoint - Yuan Zheng Technology (02488) experienced a decline of 7% post-earnings announcement, with a current price of HKD 11.79 and a trading volume of HKD 11.0035 million [1] Financial Performance - For the first half of 2025, the company reported a revenue of RMB 982 million, representing a year-on-year increase of 9.75% [1] - The net profit attributable to shareholders was RMB 195 million, showing a year-on-year growth of 27.74% [1] - Basic earnings per share were RMB 0.469, and the company proposed an interim dividend of RMB 0.31 per share [1] Growth Drivers - The growth in performance is primarily attributed to the application of smart algorithms and AI technology [1] - The overseas business, including e-commerce, achieved a record high revenue of RMB 746 million, accounting for approximately 76% of total revenue [1] - The use of AI technology allowed the company to analyze user behavior and implement smart pricing, effectively increasing the customer payment ratio, with software purchases amounting to RMB 104 million, a year-on-year increase of 28% [1]