Core Viewpoint - Shenzhen Water New Materials Co., Ltd. held an online roadshow on August 25, 2025, attracting over 50 securities, fund, and investment institutions, showcasing its strong performance in the first half of 2025 with significant revenue and profit growth [1] Group 1: Company Performance - In the first half of 2025, the company achieved operating revenue of 906 million yuan, a year-on-year increase of 12.29%, with special high polymer materials accounting for 48.93% of revenue [1] - The net profit attributable to shareholders and the net profit after deducting non-recurring gains and losses increased by 23.94% and 39.54% respectively [1] - Operating cash flow reached 63.99 million yuan, up 87.41% year-on-year, indicating strong cash generation capabilities [1] - R&D expenses amounted to 55.98 million yuan, a 17.29% increase, representing 6.18% of total revenue, reflecting the company's commitment to innovation [1] Group 2: Capacity Expansion - The company has commenced production of its Chongqing base's 20,000 tons per year LCP resin project and a 1,000 tons per year PAEK resin project, achieving batch sales [2] - Continuous optimization of modified production lines has improved product quality and production capacity [2] - The company has leveraged its dual-base layout for fluorine materials, enhancing its product offerings in various fields [2] - The new thermosetting carbon fiber composite production line has been put into use, providing new business growth opportunities [2] Group 3: Material Applications - In the low-altitude aircraft sector, the company maintains a technological advantage in UAV flight control materials, with related materials now in mass production [3] - The company's PEEK materials are undergoing testing with multiple clients in the robotics sector, and its high-flow motor stator encapsulation materials have received recognition from international clients [3] - Following the acquisition of Water Huaben, the company has integrated its semiconductor materials business, achieving breakthroughs and recognition from leading global clients [3] - The PTFE films developed by the company have been recognized by domestic and international high-frequency PCB clients, and collaborations with high-speed cable enterprises are underway [3] - The first phase of the PEEK resin project has entered formal production and achieved batch sales, showcasing a complete industrial chain advantage [3] - The newly added LCP production capacity is expanding into various applications, including server cooling materials and mobile phone cooling fan materials, positioning the company as an industry innovator [3]

Financial Performance - The company achieved a revenue of CNY 906 million in the first half of 2025, representing a year-on-year growth of 12.29% [3] - Revenue from specialty polymer materials accounted for 48.93% of total revenue, maintaining a high level [3] - Net profit attributable to shareholders increased by 23.94%, while the net profit after deducting non-recurring gains and losses rose by 39.54% [3] - Operating cash flow reached CNY 63.99 million, up 87.41% year-on-year [3] - R&D expenses for the first half of 2025 were CNY 55.98 million, a 17.29% increase, constituting 6.18% of total revenue [3] Production Capacity and Product Development - The Chongqing base's annual production capacity for liquid crystal polymer (LCP) resin materials is 20,000 tons, with the first and second phases of the project now in production [3] - The company has also initiated production for a 1,000-ton annual capacity project for PAEK resin materials [3] - The company has enhanced its production capabilities and product quality through continuous optimization of the modified production line [4] Market Applications - The company has successfully applied PTFE films and fluoropolymer products in various sectors, including semiconductors and high-frequency data transmission [4] - The newly launched thermosetting carbon fiber composite materials are being utilized in industries such as drones, electronics, and robotics, addressing the demand for lightweight and high-strength materials [4] - PEEK materials have been recognized by clients in the robotics industry, with significant reductions in weight and thickness achieved in motor components [5] Semiconductor and PCB Business - The company has made significant progress in the semiconductor materials sector, providing stable supplies to leading semiconductor equipment manufacturers [5] - PTFE precision custom components have been recognized by top domestic and international manufacturers in the semiconductor equipment core component field [5] - The PTFE films developed for PCB applications have gained acceptance among high-frequency PCB clients in both domestic and U.S. markets [6] Innovations and Future Directions - The company is expanding its LCP applications into high-tech fields such as electronics, 5G communications, and AI servers [6] - New active cooling materials for mobile phones have been developed, addressing thermal management issues while minimizing size and power consumption [7]

Core Viewpoint - The company, Water Co., Ltd. (002886.SZ), reported strong financial performance in the first half of 2025, with significant growth in revenue and profit, driven by its strategic focus on specialty high-performance polymer materials and successful production ramp-up of new product lines [1][3]. Financial Performance - The company achieved operating revenue of 906 million yuan, a year-on-year increase of 12.29% [1] - Net profit attributable to shareholders grew by 23.94%, while the net profit excluding non-recurring items increased by 39.54% [1] - Operating cash flow surged by 87.41%, indicating robust cash generation capabilities [1] Strategic Initiatives - The company implemented a platform strategy for specialty high-performance polymer materials, with new production lines for LCP, PEEK resin, and thermosetting carbon fiber composites commencing operations [1][3] - The production of bio-based high-temperature nylon and other bio-based materials has reached mass production, expanding application scenarios and driving performance growth [1][3] Industry Context - The demand for high-performance materials is increasing due to rapid development in strategic emerging industries such as robotics, semiconductors, and automotive [2] - Specialty polymers are critical for industrial upgrades and innovation, with a pressing need for domestic alternatives to imported materials [2] Competitive Advantage - Water Co., Ltd. stands out in the industry due to its integrated capabilities in material polymerization, modification, and processing, which allows for effective cost control and supply chain security [2][3] - The company has established a full industrial chain layout for core specialty materials, enhancing its resilience against market fluctuations [2][3] Market Applications - The company's LCP materials have broken the overseas monopoly in 5G antenna materials, becoming essential for high-frequency electronic and communication devices [4] - In the AI server market, the company has developed multiple cooling materials, addressing the rising demand for efficient thermal management solutions [4][5] Research and Development - The company invested 55.98 million yuan in R&D, a 17.29% increase year-on-year, representing 6.18% of its operating revenue [3] - It has established several national-level high-tech enterprises, reinforcing its commitment to innovation and technology leadership [3] Future Outlook - The global landscape for technology innovation is rapidly changing, with increasing emphasis on self-sufficiency in the materials industry [6] - The company is well-positioned to capitalize on the growing demand in various high-tech sectors, with significant potential for revenue growth as new capacities and orders are released [6]

Core Viewpoint - The recent financial report of Water Co., Ltd. (002886) shows positive growth in revenue and net profit for the first half of 2025, indicating a strong operational performance despite some declines in profit margins [1]. Financial Performance - Total revenue for the first half of 2025 reached 906 million yuan, a year-on-year increase of 12.29% compared to 807 million yuan in 2024 [1]. - Net profit attributable to shareholders was 18.41 million yuan, up 23.94% from 14.85 million yuan in the previous year [1]. - In Q2 2025, total revenue was 512 million yuan, reflecting a 15.42% increase year-on-year [1]. - Q2 net profit attributable to shareholders was 12.30 million yuan, a 30.71% increase compared to the same quarter last year [1]. Profitability Metrics - Gross margin decreased to 16.35%, down 12.71% year-on-year from 18.73% [1]. - Net margin also declined to 1.86%, a drop of 22.75% from 2.41% [1]. - Total selling, administrative, and financial expenses amounted to 84.43 million yuan, accounting for 9.32% of revenue, which is an 11.37% decrease year-on-year [1]. Cash Flow and Debt - Operating cash flow per share increased significantly by 87.41% to 0.24 yuan [1]. - The company reported a substantial increase in cash and cash equivalents, with monetary funds rising to 336 million yuan, a 45.26% increase from 232 million yuan [1]. - The company’s interest-bearing liabilities increased by 27.28% to 1.467 billion yuan [1]. Accounts Receivable - Accounts receivable reached 501 million yuan, a 26.20% increase from 397 million yuan, with accounts receivable to profit ratio at a concerning 1368.78% [1][5]. Business Model and Return on Investment - The company's return on invested capital (ROIC) was reported at 2.48%, indicating weak capital returns [3]. - The historical median ROIC since the company’s listing is 6.46%, suggesting average investment returns [3]. - The business model relies heavily on research and marketing, necessitating further analysis of these driving factors [3].

Group 1 - The company reported a revenue of 906 million yuan for the first half of 2025, representing a year-on-year growth of 12.29% [1] - Net profit attributable to shareholders increased by 23.94%, while the net profit excluding non-recurring items grew by 39.54% [1] - The net cash flow from operating activities surged by 87.41%, indicating strong operational performance [1] Group 2 - The company has established a full industrial chain capability in the field of specialty high-performance polymer materials, including key materials such as LCP, PPA, PEEK, PPS, PTFE, and polyarylether sulfone [1] - Revenue from specialty high-performance materials reached 443 million yuan, accounting for nearly 50% of total revenue, with significant growth in the shipment volume of core products [1] - The company has invested in capacity expansion, with the Chongqing base's 20,000-ton LCP resin project and 1,000-ton PAEK resin project commencing production in May [2] Group 3 - The company’s R&D expenditure for the first half of the year was 55.98 million yuan, a year-on-year increase of 17.29%, representing 6.18% of total revenue [2] - The company has five national-level high-tech enterprises and three national-level specialized and innovative "little giant" companies, reinforcing its leading position in the industry [2]

Company Overview - The company has not undergone any changes in its controlling shareholder or actual controller during the reporting period [4]. Financial Performance - The company achieved operating revenue of 906 million yuan, representing a year-on-year increase of 12.29% [4]. - The net profit attributable to shareholders of the listed company increased by 23.94%, while the net profit after deducting non-recurring gains and losses grew by 39.54% [4]. - The net cash flow from operating activities reached 63.99 million yuan, marking a year-on-year growth of 87.41% [4]. Strategic Developments - The company adhered to a platform strategy for specialty high polymer materials, with the production lines for LCP, PEEK resin polymerization, and thermosetting carbon fiber composite materials officially launched and achieving mass product sales [4]. - The company has increased its development efforts for existing industrial clients and emerging industry clients, resulting in growth in shipments of specialty high polymer materials such as LCP, PPA, PPS, and PEEK [4]. - Research and development investment has been continuously increased, with R&D expenses for the first half of 2025 amounting to 55.98 million yuan, a year-on-year increase of 17.29%, accounting for 6.18% of the revenue for the same period [4].

Group 1 - The fifth meeting of the supervisory board of Shenzhen Water New Materials Co., Ltd. was held on August 22, 2025, with all three supervisors present, and the meeting was chaired by the chairman of the supervisory board, Zhu Shan [1][2]. - The supervisory board approved the "2025 Half-Year Report" and its summary, which accurately reflects the company's operating status and results, ensuring no false records or misleading statements [1][2]. - The board agreed to use up to RMB 250 million of temporarily idle raised funds and up to RMB 200 million of self-owned funds for cash management, which is expected to enhance revenue and improve asset utilization efficiency [2][3]. Group 2 - The company will use up to RMB 180 million of idle raised funds to temporarily supplement working capital, with a repayment deadline set for August 21, 2026 [2][3]. - The supervisory board also approved the "Special Report on the Storage and Use of Raised Funds for the First Half of 2025" [3].

国信证券股份有限公司 一、募集资金基本情况 根据中国证券监督管理委员会（以下简称"中国证监会"） 《关于同意深圳市 沃特新材料股份有限公司向特定对象发行股票注册的批复》（证监许可〔2023〕 总额为人民币 599,999,989.68 元，募集资金净额为人民币 587,852,395.60 元。上 述募集资金已全部到位，中喜会计师事务所（特殊普通合伙）于 2023 年 8 月 11 （中喜验资 2023Y00046 号）。公司对募集资金采取了专户 关于深圳市沃特新材料股份有限公司 使用部分闲置募集资金和自有资金进行现金管理的核查意见 国信证券股份有限公司（以下简称"国信证券"、"保荐人"）作为深圳市沃 特新材料股份有限公司（以下简称"沃特股份"、 "公司"）2022 年度向特定对象 发行股票的保荐人，根据《证券发行上市保荐业务管理办法》《深圳证券交易所 股票上市规则》《深圳证券交易所上市公司自律监管指引第 1 号——主板上市公 司规范运作》等有关规定，对公司使用部分闲置募集资金和自有资金进行现金管 理事项进行了审慎核查，具体核查情况如下： 日出具了《验资报告》 存储制度，开立了募集资金专项账户，募集资金全部存 ...

Core Viewpoint - The company,沃特股份, announced the approval of a cash management plan using idle funds, indicating a strategic move to optimize financial resources [1] Group 1: Cash Management Plan - The company plans to use up to RMB 250 million (including RMB 250 million, which can be recycled) of temporarily idle raised funds for cash management [1] - Additionally, the company intends to utilize up to RMB 200 million (including RMB 200 million, which can be recycled) of its own funds for the same purpose [1] - The authorization for cash management is valid for 12 months from the date of the board's approval [1] Group 2: Governance and Oversight - The cash management plan was approved during the fifth board meeting and the eighth supervisory meeting [1] - The management team is authorized to finalize and sign relevant implementation agreements or contracts [1] - The financial management center of the company will handle the related matters [1]

Meeting Overview - The fifth meeting of the board of directors of Shenzhen Water New Materials Co., Ltd. was held on August 22, 2025, with all seven directors present, and was chaired by Chairman Wu Xian [1][2]. Financial Report Approval - The board approved the "2025 Half-Year Report" and its summary, which accurately reflects the company's operational status and results, with no false statements or omissions [1][2]. Cash Management Proposals - The board approved a proposal to use up to RMB 250 million (including RMB 250 million) of temporarily idle raised funds and up to RMB 200 million (including RMB 200 million) of self-owned funds for cash management, with a validity period of 12 months [2][3]. - The board also approved a proposal to temporarily use up to RMB 180 million (including RMB 180 million) of idle raised funds to supplement working capital, with a repayment deadline of August 21, 2026 [3]. Special Report Approval - The board agreed to the "Special Report on the Storage and Use of Raised Funds for the First Half of 2025" [3][4].