Core Viewpoint - The report highlights the financial performance of Kaisheng Technology for the year 2024, indicating a slight decline in revenue but significant improvement in net profit, driven by better margins in display materials and strategic partnerships [2][3]. Financial Performance - In 2024, Kaisheng Technology achieved revenue of 4.89 billion and net profit of 140 million, with a year-on-year change of -2.3% and +30.8% respectively, while the net profit excluding non-recurring items showed a loss narrowing to -20 million [2]. - The operating cash flow for 2024 was 140 million, reflecting an increase of 8.2% year-on-year [2]. Profitability Improvement - The company's gross margin improved to 17.0%, up by 3.7 percentage points year-on-year, primarily due to higher margins in the display materials segment [3]. - The final net profit margin reached 4.0%, an increase of 1.0 percentage points year-on-year [3]. Segment Performance - Display materials revenue grew to 3.52 billion, a year-on-year increase of 7.7%, while application materials revenue declined to 1.16 billion, down 26.6% [4]. - Sales of new display material products reached 25.47 million units, marking a 22.5% increase year-on-year, with the company becoming a key supplier for flexible cover glass in foldable smartphones [4]. Subsidiary Performance - Shenzhen Guoxian, holding 75.6% stake, reported revenue and net profit of 3.08 billion and 140 million respectively, with net profit margin improving to 4.4% [4]. - The subsidiary Bengbu Zhongheng experienced a revenue decline of 7.6% to 900 million and a net profit decrease of 11.7% to 80 million, with a net profit margin of 8.4% [5]. - Kaisheng Yingcai, holding 62.6% stake, saw revenue drop by 10.6% to 580 million and net profit decrease by 51.7% to 60 million, with a net profit margin of 10.5% [5].

Core Insights - The company reported a revenue of 4.89 billion and a net profit attributable to shareholders of 140 million for the year 2024, with a year-on-year change of -2.3% and +30.8% respectively, indicating a narrowing of losses in non-recurring net profit [1] - In Q4 alone, the company achieved a revenue of 1.32 billion and a net profit of 30 million, reflecting a year-on-year increase of +7.35% and +154.6% respectively [1] - The operating cash flow for 2024 was 140 million, up by 8.2% year-on-year, and the company proposed a dividend of 0.05 yuan per share, resulting in a dividend yield of 0.4% [1] Financial Performance - The gross margin improved to 17.0% in 2023, an increase of 3.7 percentage points year-on-year, primarily due to the higher gross margin from the display materials business [1] - The final net profit margin was 4.0%, up by 1.0 percentage points year-on-year [1] - The company’s R&D expense ratio increased to 6.0%, reflecting higher investment in new product development [1] Business Segments - Display materials revenue reached 3.52 billion, up by 7.7% year-on-year, while application materials revenue fell to 1.16 billion, down by 26.6% [2] - The sales volume of new display material products was 25.47 million pieces, a year-on-year increase of 22.5%, with the company becoming a core supplier for flexible cover glass for foldable phones [2] - The gross margins for display materials and application materials were 17.4% and 15.9% respectively, with display materials showing a significant improvement due to product structure enhancement [2] Subsidiary Performance - Shenzhen Guoxian, holding 75.6% by the company, reported revenue and net profit of 3.08 billion and 140 million respectively, with a net profit margin of 4.4%, up by 2.6 percentage points year-on-year [2] - The subsidiary Bengbu Zhongheng reported a revenue of 900 million, down by 7.6% year-on-year, and a net profit of 80 million, down by 11.7% [3] - Kaisheng Yingcai, holding 62.6% by the company, saw a revenue of 580 million, down by 10.6%, and a net profit of 60 million, down by 51.7% [3] Future Outlook - The company has slightly raised its net profit forecast for 2025-2026 to 262 million and 319 million respectively, reflecting an increase of 13% and 11% compared to previous estimates [3] - The company introduced a net profit forecast for 2027 at 362 million, maintaining a "buy" rating [3]

Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected investment return exceeding the market benchmark by more than 15% over the next 6-12 months [4]. Core Views - The company is expected to see operational improvements as capacity is set to be released, with a focus on the growth of its display materials segment and the anticipated production ramp-up of the UTG project [1][2]. - The financial performance for 2024 shows a slight decline in revenue but a significant increase in net profit, indicating improved profitability despite challenges in certain segments [1][3]. Summary by Sections Financial Performance - In 2024, the company achieved revenue of 4.89 billion, a decrease of 2.3% year-on-year, while net profit attributable to shareholders increased by 30.8% to 140 million [1]. - The gross margin improved to 17.0%, up by 3.7 percentage points, primarily due to better margins in the display materials business [1][10]. Segment Analysis - Display materials revenue grew by 7.7% to 3.52 billion, with a notable increase in sales volume of new display materials by 22.5% [2]. - Application materials faced a decline in revenue by 26.6% to 1.16 billion, attributed to falling prices of high-purity quartz sand [3]. Profitability and Cash Flow - The operating cash flow for 2024 was 144 million, reflecting an 8.2% increase year-on-year [1]. - The company plans to distribute a dividend of 0.05 per share, yielding a dividend rate of 0.4% as of the announcement date [1][11]. Future Projections - The net profit forecasts for 2025 and 2026 have been slightly adjusted upwards to 2.62 billion and 3.19 billion, respectively, with a new forecast for 2027 set at 3.62 billion [3]. - The report anticipates continued growth in the display materials segment and successful ramp-up of the UTG project, which is expected to reach operational status by October 2025 [2][3].

Core Viewpoint - 凯盛科技 reported a revenue of 4.894 billion yuan and a net profit of 140 million yuan for 2024, marking a year-on-year growth of 30.76% in net profit, driven by improvements in its display materials business and successful product adjustments [1] Group 1: Business Performance - The company achieved a total revenue of 4.894 billion yuan and a net profit of 140 million yuan, with a basic earnings per share of 0.1484 yuan [1] - Display materials business showed positive growth trends, with successful product adjustments and market recognition leading to improved profitability [1] - International business revenue increased by 21.66%, with international business accounting for a 17.4 percentage point increase year-on-year [2] Group 2: Industry Position and Strategy - 凯盛科技 is a key R&D and manufacturing platform under the state-owned 凯盛科技集团, focusing on display materials and application materials, both of which are national strategic emerging industries [2] - The company is actively adjusting its product lines and R&D paths to capture growth opportunities in the digitalization and information technology sectors, particularly in new energy vehicles and commercial displays [2][7] - The automotive sector is identified as a significant growth area, with increasing demand for multi-screen displays in vehicles [7] Group 3: R&D and Innovation - R&D expenses reached 293 million yuan in 2024, a year-on-year increase of approximately 34%, leading to numerous technological and product innovations [4] - The company has developed new products such as UTG cold-coated ITO and flexible glass, and has received multiple patents, including 71 new authorizations in 2024 [5][4] - The company is advancing various new technologies, including screen directional sound and high-purity synthetic silica, to enhance its innovation capabilities [5] Group 4: Manufacturing and Digital Transformation - 凯盛科技 is promoting digital industrialization and the digital transformation of its manufacturing processes, with several projects recognized as exemplary in digital transformation [6] - The company has improved its overall delivery efficiency by 100% and design quality by 50% through integrated parameterization and agile development [6] - The establishment of a unified data center and big data analysis systems is aimed at enhancing operational efficiency [6] Group 5: Future Outlook - The company aims to enhance its core competitiveness through technological innovation and industrial transformation, aligning with national policies encouraging high-performance new materials [9] - By 2025, 凯盛科技 plans to continue its strategic initiatives to achieve high-level technological self-reliance and strengthen its governance capabilities [9] - The company is positioned to replace some imports with its synthetic quartz sand project, which will produce high-purity silica for various applications [8]

Investment Rating - The report maintains a "Buy" rating for the company, with a target price not specified [5]. Core Views - The company is entering a performance realization phase as new production capacity gradually comes online, with a projected revenue of 4.9 billion yuan in 2024, a year-on-year decrease of 2.3%, and a net profit of 140 million yuan, reflecting a year-on-year increase of 30.8% [1]. - The display business segment achieved a revenue of 3.66 billion yuan in FY24, an increase of 11.9% year-on-year, with a gross margin of 17.3%, up 6.1 percentage points year-on-year, driven by national policies promoting digitalization and demand growth in the new energy vehicle and commercial display sectors [2]. - The company has made significant advancements in the UTG (Ultra-Thin Glass) field, including the successful trial run of a new production line and the development of innovative products, which are expected to enhance its competitive edge and domestic substitution capabilities [4]. Financial Data and Valuation - The company’s projected financials show a net profit of 260 million yuan in 2025, 340 million yuan in 2026, and 420 million yuan in 2027, with corresponding P/E ratios of 44, 34, and 27 times [4]. - The total revenue is expected to grow from 4.89 billion yuan in 2024 to 7.07 billion yuan in 2027, with a compound annual growth rate (CAGR) of approximately 7.74% [4]. - The company’s EBITDA is projected to increase from 872.71 million yuan in 2024 to 1.29 billion yuan in 2027, indicating improving operational efficiency [4].

Investment Rating - The investment rating for the company is "Buy" with a target price of 16.59 RMB [8][9]. Core Views - The company reported a revenue of 489 million RMB and a net profit attributable to the parent company of 14 million RMB for 2024, showing a year-on-year change of -2.3% and +30.8% respectively. The Q4 results showed a revenue of 132 million RMB and a net profit of 3 million RMB, with year-on-year growth of +7.4% and +154.6% [1]. - The company is optimistic about the growth potential of its UTG and high-purity quartz sand products, as new products have entered the stage of large-scale introduction [1]. - The company has successfully built and trialed new production lines for UTG and high-purity synthetic quartz sand, which are expected to drive new growth [4]. - The company has improved its cash flow significantly, with operating cash flow reaching 140 million RMB, a year-on-year increase of 8.2% [3]. Summary by Sections Financial Performance - For 2024, the company achieved revenues of 352 million RMB from display materials and 116 million RMB from application materials, with year-on-year changes of +7.7% and -26.6% respectively. The gross margin for display materials was 17.4%, an increase of 6.2 percentage points year-on-year [2]. - The company’s main subsidiaries reported varying net profits, with notable improvement in Guoxian Technology, which saw a 151.1% increase in net profit [2]. Research and Development - The company’s R&D expense ratio increased to 6.0%, reflecting higher investment in new product development [3]. Growth Projections - The company expects net profits attributable to the parent company to reach 270 million RMB, 330 million RMB, and 380 million RMB for 2025, 2026, and 2027 respectively, indicating a significant upward revision in profit forecasts [5]. - The target price of 16.59 RMB is based on a PEG ratio of 1.3 for 2025, reflecting confidence in the company’s long-term growth potential [5]. Market Position - The company has established itself as a core supplier for major end customers in the flexible cover glass market, particularly for foldable smartphones [4].

Core Viewpoint - In a challenging global economic environment, Kaisheng Technology (600552) is committed to its mission of "materials create a better world" and is advancing its ESG practices across the entire value chain, demonstrating steady progress in high-quality development [1] Group 1: Innovation Breakthrough - In 2024, Kaisheng Technology's R&D investment reached 433 million yuan, accounting for 8.84% of its revenue, significantly higher than the manufacturing industry average [2] - The company has accumulated 582 effective patents, including 108 new applications and 71 granted patents, covering key areas such as ultra-thin electronic glass and flexible materials [2] - The company is accelerating the localization of key materials, with zirconia grinding balls achieving mass production in the 0.1mm-0.3mm specifications, comparable to foreign products [2] Group 2: Green Development - In 2024, the company's total environmental investment reached 31.51 million yuan, achieving 100% coverage of ISO 14001 environmental management system [3] - The total greenhouse gas emissions amounted to 313,885 tons of CO2 equivalent, with energy consumption per unit of output reduced to 0.1568 tons of standard coal per 10,000 yuan, continuing to decline year-on-year [3] - The company has installed 17.58 MW of distributed photovoltaic capacity, with annual power generation increasing by 50.1%, saving 3.32 million yuan in electricity costs [3] Group 3: Responsibility Governance - Kaisheng Technology has established a four-tier ESG governance structure, integrating ESG issues into corporate strategy and performance evaluation [5] - The company conducted 11 legal compliance training sessions during the reporting period, with zero major compliance violations [5] - Employee satisfaction reached 90.69%, with 1,028 safety training sessions held throughout the year [6] Group 4: Sustainable Supply Chain - The company has 6,858 suppliers, with 25.77% certified for sustainability, and a local procurement ratio of 36.84% [6] - By implementing a dynamic evaluation mechanism and training, the company aims to enhance ESG performance across the supply chain [6] - Kaisheng Technology plans to continue advancing its ESG efforts from compliance to value creation by 2025 [6]

Core Viewpoint - The recent financial reports from ten display companies indicate varied performance, with some companies showing significant growth while others face declines in revenue and profit margins [1]. Group 1: Company Performance - BOE Technology Group reported revenue of 125.61 billion RMB, a 25% increase year-on-year, but a net profit decline of 18% to 3.65 billion RMB [3][5]. - Xinli International achieved revenue of 166.63 billion RMB, up 14.4%, with net profit increasing by 14.9% to 2.82 billion RMB, driven by smartphone business growth [6][8]. - Deep Textile reported revenue of 33.35 billion RMB, an 8.3% increase, and net profit of 89.37 million RMB, up 12.75% [10]. - Lens Technology saw revenue rise to 698.97 billion RMB, a 28.27% increase, with net profit of 36.24 billion RMB, up 19.94% [12]. - Puyang Huicheng's revenue was 14.11 billion RMB, a modest 2.31% increase, but net profit fell by 18.53% to 1.92 billion RMB [14]. - Landai Technology reported revenue of 35.35 billion RMB, a 25.93% increase, and a significant net profit increase of 134.04% to 1.24 billion RMB [16][18]. - Kaisheng Technology's revenue decreased by 2.32% to 48.94 billion RMB, while net profit rose by 30.76% to 1.4 billion RMB [19][20]. - Nanjing Panda reported a revenue decline of 9.15% to 26.46 billion RMB, with a net loss of 14.14 million RMB [21][24]. - Tiande Yu achieved a revenue of 21.02 billion RMB, a 73.88% increase, with net profit rising by 143.61% to 2.75 billion RMB [25][26]. - GoerTek reported revenue of 1009.5 billion RMB, a 2.41% increase, with net profit soaring by 144.93% to 2.67 billion RMB [27][29]. Group 2: Industry Trends - The display materials industry is undergoing a restructuring, with OLED materials demand increasing due to the growth of OLED panel production [14]. - The touch display panel industry is recovering, with traditional consumer products showing signs of rebound, particularly in automotive and large-size displays [18]. - The demand for smart devices, including VR/MR and wearables, is driving growth in the precision components and smart hardware sectors [29].

Core Insights - The company reported a total revenue of 4.894 billion yuan and a net profit of 140 million yuan for the year, marking a year-on-year growth of 30.76% [1] - The display materials business showed positive development trends, with improved profitability due to product structure adjustments and market recognition of new products [1] Business Segments Display Materials - The company is a key supplier of flexible cover glass for foldable smartphones and has developed the world's first car-mounted sliding rollable display screen [2] - The company deepened its strategic cooperation with LG, expanding its market share in traditional consumer electronics like tablets and laptops [2] - The international business revenue increased by 21.66%, with a 17.4 percentage point rise in the proportion of international business [2] Application Materials - The zirconium-based products have been pivotal, with a 24.4% increase in sales, while the sales of nano-zirconia surged by 232.89% [3] - The company successfully entered the supply chain of brake pad manufacturers with its electric melting zirconia products [3] - Sales of polishing powder increased by 50.2%, demonstrating strong demand across various sectors [3] R&D and Innovation - The company invested 293 million yuan in R&D, a 34% increase year-on-year, leading to numerous technological and product innovations [4] - The company has developed a yellow light anti-glare technology and achieved mass production of zirconia grinding balls in specific sizes [5] - A total of 71 new patents were authorized in 2024, including 34 invention patents, reflecting the company's commitment to innovation [5] Industry Trends - The display industry is expected to grow driven by advancements in big data, cloud computing, and AI, with increasing demand for human-machine interaction terminals [7] - The automotive sector, particularly in electric and intelligent connected vehicles, is anticipated to drive demand for in-car display systems [7] - The application materials sector is seeing a growing demand for high-performance new materials, with a focus on domestic production to reduce reliance on imports [8] Strategic Direction - The company aims to enhance its core competitiveness through technology innovation and industrial transformation, aligning with national strategic priorities [8] - By 2025, the company plans to continue its strategic leadership, focusing on high-level technological self-reliance and integrating new technologies and platforms [8]

关于召开 2024 年年度股东大会的通知 本公司董事会及全体董事保证本公告内容不存在任何虚假记载、误导性陈 述或者重大遗漏，并对其内容的真实性、准确性和完整性承担法律责任。 重要内容提示： 证券代码：600552 证券简称：凯盛科技 公告编号：2025-012 一、 召开会议的基本情况 凯盛科技股份有限公司 (一) 股东大会类型和届次 2024 年年度股东大会 召开的日期时间：2025 年 4 月 18 日 14 点 00 分 召开地点：蚌埠市黄山大道 8009 号 公司办公楼三楼会议室 (五) 网络投票的系统、起止日期和投票时间。 网络投票系统：上海证券交易所股东大会网络投票系统 网络投票起止时间：自 2025 年 4 月 18 日 至 2025 年 4 月 18 日 采用上海证券交易所网络投票系统，通过交易系统投票平台的投票时间为股 东大会召开当日的交易时间段，即 9:15-9:25,9:30-11:30，13:00-15:00；通过 互联网投票平台的投票时间为股东大会召开当日的 9:15-15:00。 (六) 融资融券、转融通、约定购回业务账户和沪股通投资者的投票程序 股东大会召开日期：2025年4月1 ...