Core Viewpoint - The domestic semiconductor equipment industry is accelerating its development, with significant growth in revenue and R&D investment, positioning companies like Zhongwei to become leaders in the global market by 2035 [1][2]. Group 1: Company Performance - Zhongwei achieved a revenue of 9.065 billion yuan in 2024, a year-on-year increase of 44.73%, maintaining an average annual growth rate of over 40% for nearly four years [1]. - The company's net profit attributable to shareholders, excluding non-recurring items, was approximately 1.388 billion yuan, up 16.51% year-on-year [1]. - In the first quarter of 2025, Zhongwei continued to show high growth in performance [1]. Group 2: R&D Investment - In 2024, Zhongwei's R&D investment reached 2.452 billion yuan, a year-on-year increase of 94.31%, accounting for about 27.05% of its revenue [1]. - The company has over 20 new devices in development, including advanced etching and deposition equipment [2]. - R&D spending has shifted focus from etching equipment, which previously accounted for 70%-75% of investments, to increasing efforts in film equipment [2]. Group 3: Market Strategy - Zhongwei aims to increase its market coverage from approximately 30% to 60% in the high-end integrated circuit equipment market over the next 5-10 years [2]. - The company emphasizes the importance of developing differentiated, proprietary high-end equipment to avoid low-end competition [4]. - Zhongwei has invested in 40 companies in the supply chain since its listing, with eight of these companies successfully listed on the A-share market [4]. Group 4: External Environment and Supply Chain - The global semiconductor industry is experiencing new growth opportunities, with increasing competition in the domestic semiconductor equipment sector [3]. - Zhongwei is enhancing its supply chain by developing high-quality suppliers and increasing the localization rate of key components [5]. - The company is committed to maintaining strong relationships with international semiconductor clients and adapting to external policy changes [5].

Core Viewpoint - The company aims to become a leading global semiconductor equipment company by 2035, focusing on scale, product competitiveness, and customer satisfaction [2] Company Overview - Founded in 2004 and listed on the STAR Market in 2019, the company has become a leading player in high-end micro-processing equipment in China [4] - The company's profitability has been continuously improving, making it a significant example of growth in the Chinese semiconductor equipment industry [4] Industry Development - The Chinese semiconductor equipment industry has seen rapid technological advancements, with domestic equipment gaining advantages in cost-performance, after-sales service, and customer proximity [6] - As the largest semiconductor consumer market globally, China's demand is driving the shift of global production capacity towards the country, creating opportunities for domestic equipment manufacturers [7] Research and Development - In 2024, the company's R&D investment is expected to increase by 94.31% to 2.452 billion yuan, accounting for 27.05% of its revenue [7] - The company has significantly reduced the time required to develop new products from 3-5 years to approximately 18 months, with mass production achievable within 6 to 12 months [7] Competitive Strategy - The company focuses on developing differentiated, proprietary high-end equipment products to avoid low-end competition and fulfill social responsibilities [9] - The company is currently working on over 20 new equipment projects, including advanced plasma etching devices [9] Mergers and Acquisitions - Since its listing in 2019, the company has invested in over 30 upstream and downstream semiconductor equipment companies, achieving over 5 billion yuan in floating profits [10] - The company has established partnerships with over 800 global suppliers, emphasizing the development and management of key component suppliers to enhance domestic supply chain control [10] Market Performance - As of May 28, the company's stock price was 170.93 yuan per share, with a total market capitalization of 106.8 billion yuan [11]

Core Viewpoint - The legal opinion letter from Shanghai Jintiancheng Law Firm confirms that the company, Zhongwei Semiconductor Equipment (Shanghai) Co., Ltd., has fulfilled the necessary approvals and conditions for the implementation of its 2023 restricted stock incentive plan, including the cancellation of certain restricted stocks due to the disqualification of some incentive targets [1][9]. Group 1: Approval and Authorization of Implementation - The company held its 11th meeting of the 2nd Board of Directors on March 30, 2023, where it approved the 2023 restricted stock incentive plan and related proposals [2]. - The company disclosed the public solicitation of voting rights from independent directors on March 31, 2023, to gather shareholder votes on the incentive plan [3]. - The company conducted an internal public notice regarding the names and positions of the proposed incentive targets from April 4 to April 13, 2023, with no objections received [4]. Group 2: Conditions and Achievements of the Second Vesting Period - The second vesting period for the granted restricted stocks is defined as the period from June 12, 2025, to June 11, 2026, following the grant date of June 12, 2023 [5]. - The conditions for the second vesting period have been met, including the absence of adverse audit reports and the fulfillment of performance targets based on revenue growth compared to benchmark companies [6][7]. Group 3: Cancellation of Restricted Stocks - A total of 318,432 shares of restricted stock will be canceled due to 88 incentive targets no longer qualifying as they have left the company or do not meet the criteria [9]. - The reasons for the cancellation and the number of shares are in compliance with relevant laws and regulations [9]. Group 4: Conclusion - The legal opinion concludes that the cancellation of restricted stocks has received the necessary approvals and that the conditions for the second vesting period have been achieved, aligning with the relevant laws and regulations [9].

Core Viewpoint - The report discusses the achievement of the second vesting period conditions for the 2023 Restricted Stock Incentive Plan of Zhongwei Semiconductor Equipment (Shanghai) Co., Ltd, indicating that the necessary approvals and conditions have been met for the vesting of restricted stocks [1][3][4]. Summary by Sections Approval Process - The 2023 Restricted Stock Incentive Plan has undergone necessary approval procedures, including resolutions from the board and supervisory committee, and independent opinions from independent directors [1][3][4]. Conditions for Vesting - The second vesting period for the restricted stocks is defined as the period from the first trading day after 24 months from the grant date to the last trading day within 36 months from the grant date, specifically from June 12, 2025, to June 11, 2026 [3][4]. - The conditions for vesting have been met, including no adverse audit opinions, no administrative penalties on the incentive objects, and compliance with the required employment duration [3][4]. Performance Assessment - The company’s performance assessment for the vesting is based on the cumulative revenue growth rate compared to benchmark enterprises, with the 2023 revenue reported at 6,263.51 million yuan and the 2024 target at 9,065.17 million yuan, achieving a growth rate of 223.40% [3][4]. - The individual performance assessment for the incentive objects will determine the actual number of shares vested, categorized into five performance levels [4][5]. Conclusion - The independent financial advisor confirms that the vesting conditions for the second period have been achieved, and all necessary approvals have been obtained, complying with relevant laws and regulations [4][5].

Group 1 - The core point of the announcement is the self-examination report regarding insider trading related to the 2025 restricted stock incentive plan of Zhongwei Semiconductor Equipment (Shanghai) Co., Ltd. [1] - The company conducted a self-examination of insider trading activities among individuals with knowledge of the incentive plan prior to its public disclosure, confirming that no insider trading occurred [2][3] - A total of 9 individuals were found to have trading records during the self-examination period, but their transactions were based on independent market judgments and not related to insider information [2] Group 2 - The company adhered to relevant regulations and internal confidentiality measures during the planning of the incentive program, ensuring that only a limited number of personnel had access to insider information [2] - No instances of insider information leakage were identified prior to the public announcement of the incentive plan [2] - The self-examination concluded that all individuals with insider knowledge did not engage in insider trading or leak any related information [2]

Core Points - The company has reviewed the list of 1210 eligible participants for the 2023 restricted stock incentive plan and confirmed their qualifications according to relevant laws and regulations [1][2] - The total number of shares to be granted to these eligible participants is 1.210379 million shares, which complies with legal and regulatory requirements [2] Summary by Sections - **Eligibility Review** - The 1210 participants meet the qualifications set forth by the Company Law, Securities Law, and other relevant regulations, confirming their eligibility for the incentive plan [1] - **Stock Allocation** - The corresponding number of shares for the eligible participants is 1.210379 million shares, and this allocation does not harm the interests of the company or its shareholders [2]

Group 1 - The third meeting of the supervisory board of Zhongwei Semiconductor Equipment (Shanghai) Co., Ltd. was held on May 28, 2025, with all three supervisors present, confirming the legality and validity of the meeting [1] - The supervisory board approved the proposal to cancel part of the restricted stock from the 2023 incentive plan, stating that it complies with relevant laws and does not harm shareholder interests [1] - The board also approved that the second vesting period of the 2023 restricted stock incentive plan has met the vesting conditions, allowing 1,210 incentive recipients to vest 1.210379 million shares [1]

Meeting Overview - The shareholders' meeting was held on May 28, 2025, at the company's office in Shanghai [1] - A total of 503 ordinary shareholders attended, holding 278,059,871 voting rights, which represents 44.4898% of the company's total voting rights [1] Voting Results - All non-cumulative voting proposals were approved with significant majority support, including: - Proposal 1: 99.8466% in favor [1] - Proposal 2: 99.8459% in favor [1] - Proposal 3: 99.7408% in favor [1] - Proposal 4: 99.8332% in favor [1] - Proposal 5: 98.3661% in favor [1] - Proposal 6: 99.8423% in favor [1] - Proposal 7: 99.8408% in favor [2] - Proposal 8: 99.7899% in favor [2] - Proposal 9: 99.8149% in favor [2] - Proposal 10: 94.9379% in favor [2] - Proposal 11: 93.5924% in favor [2] - Proposal 12: 94.4019% in favor [2] - Proposal 13: 93.6142% in favor [2] Related Matters - Certain shareholders were required to abstain from voting on specific proposals due to conflicts of interest [3] - The legal representatives confirmed that the meeting's procedures and voting results complied with relevant laws and regulations [3]

Group 1 - The legal opinion letter was issued by Shanghai Jintiancheng Law Firm regarding the 2024 annual general meeting of Zhongwei Semiconductor Equipment (Shanghai) Co., Ltd. [1][2] - The meeting was convened by the company's board of directors on April 24, 2025, and the notice for the meeting was publicly disclosed on April 25, 2025, meeting the 20-day notice requirement [3][4] - The meeting took place on May 28, 2025, at 14:30, combining both on-site and online voting methods [3][5] Group 2 - A total of 503 shareholders and their proxies attended the meeting, representing 278,059,871 shares, which accounts for 44.4898% of the total voting shares [4][5] - The qualifications of the attendees, including shareholders, proxies, and company executives, were verified and deemed valid [4][5] Group 3 - The meeting reviewed 13 proposals, including the 2024 annual report, financial statements, profit distribution, and the appointment of the auditing firm for 2025 [5][6] - The voting process was conducted according to legal and regulatory requirements, with results announced immediately after the voting [6][7] Group 4 - The legal opinion concluded that the convening and conducting of the 2024 annual general meeting complied with relevant laws and regulations, and the voting results were valid [7]

Core Viewpoint - The company aims to expand its business layout through a three-dimensional development strategy, focusing on key equipment in the integrated circuit sector and exploring opportunities in emerging fields, while achieving stable and healthy growth [1] Group 1: Business Strategy and Investments - Since its listing, the company has invested over 2 billion yuan in approximately 40 upstream and downstream enterprises, achieving a floating profit of over 5 billion yuan [1] - The company has a comprehensive R&D team of over 1,000 people, significantly reducing the time required to develop new products from three to five years to about 18 months, with mass production achievable within six months to a year [1][2] - The total R&D investment for 2024 is projected to be 2.452 billion yuan, a year-on-year increase of 94.31%, accounting for approximately 27% of revenue [1] Group 2: Product Development and Market Position - The company is developing competitive new-generation equipment for integrated circuit micro-manufacturing, including high-energy CCP plasma etching equipment and various other advanced devices [2] - The company's plasma etching equipment is widely used by leading domestic and international clients, covering etching applications from 65nm to 5nm and beyond [2] - The company has been continuously expanding its layout in the semiconductor micro-manufacturing field, including MOCVD equipment for GaN-based LEDs and SiC power devices [2] Group 3: Financial Performance - The company achieved an operating income of approximately 9.065 billion yuan in 2024, a year-on-year increase of about 44.73%, maintaining an annual growth rate of over 40% for nearly four years [3] - In the first quarter of this year, the company reported an operating income of 2.173 billion yuan, a year-on-year increase of 35.4%, with a net profit of 313 million yuan, up 25.67% [3] Group 4: Competitive Landscape and Industry Outlook - The company welcomes competition and focuses on developing differentiated, proprietary high-end equipment, particularly in the electronic beam detection sector [4] - The domestic semiconductor equipment market is primarily occupied by foreign companies, but the increasing technical level of domestic equipment is enhancing its competitiveness [4] - The long-term vision is to become a leading semiconductor equipment company by 2035, aiming to be in the top tier globally in terms of scale, product quality, competitiveness, and customer satisfaction [5]