远东传动(002406) - 2025 Q2 - 季度财报

Important Notice, Table of Contents, and Definitions This section provides important notices, lists reference documents, and defines key terms used throughout the report Important Notice The Board of Directors, Supervisory Board, and senior management guarantee the report's truthfulness, accuracy, and completeness, while highlighting various operational risks - The company's Board of Directors, Supervisory Board, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report content[5] - The company faces risks including cyclical fluctuations in the commercial vehicle, construction machinery, and passenger vehicle industries, rising raw material prices, unfavorable international market expansion, environmental protection issues, and failure of raised fund investment projects to achieve expected returns[5] - The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for this reporting period[6] List of Reference Documents This section lists the company's semi-annual report, financial statements, and publicly disclosed documents, specifying the company's securities department as the storage location - Reference documents include the full semi-annual report and its summary, signed by the company's legal representative and stamped with the company seal[10] - Financial statements bear the signatures and seals of the company's principal, the person in charge of accounting, and the head of the accounting department (accounting manager)[11] - The reference documents are kept at the company's Securities Department[13] Definitions This section defines common terms used in the report, including company names, regulatory bodies, laws, and major subsidiaries, with the reporting period from January 1 to June 30, 2025 - "Yodon Transmission", "the Company", "this Company" refer to Xuchang Yodon Transmission Shaft Co., Ltd[14] - The reporting period refers to January 1, 2025, to June 30, 2025[14] - Major subsidiary names listed include Zhongxing Forging, Weifang Yodon, and Baotou Yodon[14] Company Profile and Key Financial Indicators This section provides an overview of the company's basic information, contact details, and a summary of key accounting data and financial performance Company Profile This section introduces Xuchang Yodon Transmission Shaft Co., Ltd.'s basic information, including stock ticker, code, listing exchange, and legal representative Company Basic Information | 指标 | 内容 | | :--- | :--- | | 股票简称 | 远东传动 | | 股票代码 | 002406 | | 股票上市证券交易所 | 深圳证券交易所 | | 公司的中文名称 | 许昌远东传动轴股份有限公司 | | 公司的法定代表人 | 刘延生 | Contact Person and Information This section provides contact details for the company's Board Secretary and Securities Affairs Representative for investor and stakeholder communication Company Contact Information | 职位 | 姓名 | 联系地址 | 电话 | 传真 | 电子信箱 | | :--- | :--- | :--- | :--- | :--- | :--- | | 董事会秘书 | 刘硕 | 河南省许昌市北郊尚集镇 | 0374-5650017 | 0374-5654051 | sec@yodonchina.com | | 证券事务代表 | 张鹏 | 河南省许昌市北郊尚集镇 | 0374-5650017 | 0374-5654051 | sec@yodonchina.com | Other Information This section confirms no changes in company contact information, disclosure methods, or document storage locations during the reporting period - The company's registered address, office address, website, and email address remained unchanged during the reporting period[18] - The website for the stock exchange where the company discloses its semi-annual report is cninfo.com.cn[19] - Media outlets for the company's semi-annual report disclosure include Securities Times, China Securities Journal, Shanghai Securities News, and Securities Daily[19] Key Accounting Data and Financial Indicators During the reporting period, the company's operating revenue increased by 10.65%, net profit attributable to shareholders rose by 2.93%, and non-recurring net profit grew by 28.05% Key Accounting Data and Financial Indicators (Current Reporting Period vs. Prior Year) | 指标 | 本报告期（元） | 上年同期（元） | 同比增减 | | :--- | :--- | :--- | :--- | | 营业收入 | 718,244,004.53 | 649,084,965.36 | 10.65% | | 归属于上市公司股东的净利润 | 54,696,522.24 | 53,138,758.07 | 2.93% | | 归属于上市公司股东的扣除非经常性损益的净利润 | 40,861,149.79 | 31,910,538.73 | 28.05% | | 经营活动产生的现金流量净额 | -17,990,769.99 | -16,780,230.58 | -7.21% | | 基本每股收益（元/股） | 0.07 | 0.07 | 0.00% | | 稀释每股收益（元/股） | 0.07 | 0.07 | 0.00% | | 加权平均净资产收益率 | 1.35% | 1.33% | 0.02% | Key Accounting Data and Financial Indicators (End of Current Reporting Period vs. End of Prior Year) | 指标 | 本报告期末（元） | 上年度末（元） | 增减 | | :--- | :--- | :--- | :--- | | 总资产 | 4,839,542,076.22 | 4,817,858,249.29 | 0.45% | | 归属于上市公司股东的净资产 | 3,971,366,246.17 | 4,026,203,486.23 | -1.36% | Differences in Accounting Data Under Domestic and Overseas Accounting Standards The company reported no differences in net profit and net assets between international/overseas accounting standards and Chinese accounting standards - The company's financial reports for the reporting period show no differences in net profit and net assets between International Accounting Standards and Chinese Accounting Standards[22] - The company's financial reports for the reporting period show no differences in net profit and net assets between overseas accounting standards and Chinese Accounting Standards[23] Non-Recurring Gains and Losses Items and Amounts Non-recurring gains and losses totaled CNY 13.84 million, primarily from government grants, fair value changes, and reversal of impairment provisions for receivables Non-Recurring Gains and Losses Items and Amounts | 项目 | 金额（元） | | :--- | :--- | | 非流动性资产处置损益 | -179,337.37 | | 计入当期损益的政府补助 | 3,955,648.85 | | 公允价值变动损益以及处置金融资产和金融负债产生的损益 | 12,328,579.02 | | 单独进行减值测试的应收款项减值准备转回 | 6,456,412.14 | | 除上述各项之外的其他营业外收入和支出 | -6,694,830.02 | | 减：所得税影响额 | 2,026,996.06 | | 少数股东权益影响额（税后） | 4,104.11 | | 合计 | 13,835,372.45 | Management Discussion and Analysis This section provides an in-depth analysis of the company's main business, core competencies, financial performance, investment status, and risk management strategies Company's Main Business Activities During the Reporting Period The company specializes in R&D, production, and sales of universal and constant velocity drive shafts for commercial, construction, and passenger vehicles - The company primarily engages in the research, development, production, and sales of non-constant velocity drive shafts, constant velocity drive shafts, and related components[29] - Non-constant velocity drive shafts are mainly used in commercial vehicles, construction machinery, and special vehicles; constant velocity drive shafts are primarily used in passenger vehicles (traditional fuel vehicles and new energy vehicles)[29] - The company has become a leading manufacturer of non-constant velocity drive shafts in China, maintaining the top market share for many years[29] Analysis of Core Competencies The company's core strengths include extensive customer resources, strong technical innovation, market leadership in non-constant velocity drive shafts, integrated supply chain, comprehensive marketing network, and a stable management team - The company has established stable supply relationships with major manufacturers like China National Heavy Duty Truck, Beijing Foton Daimler, and Shaanxi Heavy Duty Automobile, consistently being recognized as an "Excellent Supplier"[30] - As of June 30, 2025, the company holds 197 valid intellectual property rights (including 31 invention patents) and operates national-level R&D platforms such as a "National Certified Enterprise Technology Center"[32] - The company has achieved large-scale production of non-constant velocity drive shafts, offering over 8,000 varieties, and has maintained the top overall market share for many years[32] - The wholly-owned subsidiary Zhongxing Forging supplies rough parts for main drive shaft components, and the pipe mill provides specialized steel pipes, contributing to cost savings and reduced development cycles[32][33] - The company implements a "lean production zero distance, build branch factories at automotive bases" strategy, optimizing its market network and participating in synchronous new product development with vehicle manufacturers[33] - The company boasts a mature, stable, and professional management team, and ensures product quality through certifications like IATF16949:2016 quality management system[33][34] Analysis of Main Business Operations Operating revenue increased by 10.65%, driven by a 13.26% growth in automotive parts, while domestic market revenue rose by 14.64% and international market revenue declined by 20.12% Major Financial Data Year-over-Year Changes | 指标 | 本报告期（元） | 上年同期（元） | 同比增减 | 变动原因 | | :--- | :--- | :--- | :--- | :--- | | 营业收入 | 718,244,004.53 | 649,084,965.36 | 10.65% | | | 营业成本 | 540,441,146.37 | 501,088,460.45 | 7.85% | | | 销售费用 | 6,415,026.79 | 5,897,453.83 | 8.78% | | | 管理费用 | 48,930,870.65 | 47,961,817.17 | 2.02% | | | 财务费用 | -5,286,858.77 | -4,724,938.21 | -11.89% | | | 所得税费用 | 23,804,436.39 | 18,764,883.79 | 26.86% | | | 研发投入 | 40,202,471.17 | 35,580,823.60 | 12.99% | | | 经营活动产生的现金流量净额 | -17,990,769.99 | -16,780,230.58 | -7.21% | | | 投资活动产生的现金流量净额 | 135,134,562.87 | -10,936,559.68 | 1,335.62% | 报告期购买理财产品减少所致 | | 筹资活动产生的现金流量净额 | -3,701,884.50 | 0.00 | 100.00% | 报告期支付信用证保证金所致 | | 现金及现金等价物净增加额 | 113,463,859.36 | -27,715,604.70 | 509.39% | 报告期理财产品到期增加现金所致 | | 税金及附加 | 12,174,824.45 | 9,263,965.87 | 31.42% | 增值税增加，附加税相应增加以及土地使用税税率增加所致 | | 公允价值变动收益 | 4,223,224.94 | 6,190,611.14 | -31.78% | 报告期持有证券投资损失增加所致 | | 信用减值损失 | -3,345,715.72 | -6,626,446.08 | -49.51% | 部分已计提坏账在报告期收回所致 | | 资产减值损失 | -3,985,227.81 | -445,983.39 | 793.58% | 报告期计提存货跌价准备所致 | | 营业外支出 | 6,744,830.25 | 184,188.32 | 3,561.92% | 缴纳可转债税款所产生的滞纳金所致 | Operating Revenue Composition | 分类 | 本报告期金额（元） | 占营业收入比重 | 上年同期金额（元） | 占营业收入比重 | 同比增减 | | :--- | :--- | :--- | :--- | :--- | :--- | | 营业收入合计 | 718,244,004.53 | 100% | 649,084,965.36 | 100% | 10.65% | | 分行业 | | | | | | | 汽车零部件 | 696,523,341.28 | 96.98% | 614,983,010.20 | 94.75% | 13.26% | | 其他业务 | 21,720,663.25 | 3.02% | 34,101,955.16 | 5.25% | -36.31% | | 分产品 | | | | | | | 整轴 | 506,433,255.92 | 70.51% | 428,382,034.50 | 66.00% | 18.22% | | 配件 | 190,090,085.36 | 26.47% | 186,600,975.70 | 28.75% | 1.87% | | 其他业务 | 21,720,663.25 | 3.02% | 34,101,955.16 | 5.25% | -36.31% | | 分地区 | | | | | | | 国内 | 658,859,340.24 | 91.73% | 574,740,434.67 | 88.55% | 14.64% | | 国外 | 59,384,664.29 | 8.27% | 74,344,530.69 | 11.45% | -20.12% | Industry, Product, or Region Accounting for Over 10% of Operating Revenue or Operating Profit | 分类 | 营业收入（元） | 营业成本（元） | 毛利率 | 营业收入比上年同期增减 | 营业成本比上年同期增减 | 毛利率比上年同期增减 | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | 分行业 | | | | | | | | 汽车零部件 | 696,523,341.28 | 531,652,660.59 | 23.67% | 13.26% | 6.38% | 4.93% | | 分产品 | | | | | | | | 整轴 | 506,433,255.92 | 384,880,414.84 | 24.00% | 18.22% | 10.61% | 5.23% | | 配件 | 190,090,085.36 | 146,772,245.75 | 22.79% | 1.87% | -3.30% | 4.13% | | 分地区 | | | | | | | | 国内 | 637,138,676.99 | 490,228,256.42 | 23.06% | 17.85% | 10.35% | 5.23% | | 国外 | 59,384,664.29 | 41,424,404.17 | 30.24% | -20.12% | -25.38% | 4.91% | Analysis of Non-Core Business Operations Non-core business contributions to total profit primarily stemmed from investment income and fair value changes, which are not sustainable, while asset impairment is sustainable Impact of Non-Core Business on Total Profit | 项目 | 金额（元） | 占利润总额比例 | 形成原因说明 | 是否具有可持续性 | | :--- | :--- | :--- | :--- | :--- | | 投资收益 | 8,103,226.25 | 10.04% | 理财利息 | 否 | | 公允价值变动损益 | 4,223,224.94 | 5.23% | 大额定单利息 | 否 | | 资产减值 | 3,985,227.81 | 4.94% | 计提存货跌价准备 | 是 | | 营业外收入 | 50,000.23 | 0.06% | | 否 | | 营业外支出 | 6,744,830.25 | 8.35% | 税收滞纳金 | 否 | Analysis of Assets and Liabilities Total assets slightly increased by 0.45%, with higher proportions of monetary funds and accounts receivable, while short-term borrowings significantly decreased Significant Changes in Asset Composition | 项目 | 本报告期末金额（元） | 占总资产比例 | 上年末金额（元） | 占总资产比例 | 比重增减 | | :--- | :--- | :--- | :--- | :--- | :--- | | 货币资金 | 885,167,473.50 | 18.29% | 772,831,729.64 | 16.04% | 2.25% | | 应收账款 | 510,286,051.10 | 10.54% | 386,693,259.55 | 8.03% | 2.51% | | 存货 | 527,126,026.47 | 10.89% | 514,661,937.85 | 10.68% | 0.21% | | 固定资产 | 1,016,835,682.60 | 21.01% | 1,060,108,390.65 | 22.00% | -0.99% | | 短期借款 | 0.00 | 0.00% | 41,492,295.31 | 0.86% | -0.86% | Assets and Liabilities Measured at Fair Value | 项目 | 期初数（元） | 本期公允价值变动损益（元） | 期末数（元） | | :--- | :--- | :--- | :--- | | 交易性金融资产 | 552,038,404.47 | 4,223,224.94 | 430,568,059.99 | | 其他权益工具投资 | 1,670,000.00 | 0.00 | 1,670,000.00 | | 应收款项融资 | 90,889,537.40 | 0.00 | 84,050,802.05 | | 金融资产小计 | 644,597,941.87 | 4,223,224.94 | 516,288,862.04 | | 金融负债 | 0.00 | 0.00 | 0.00 | Asset Rights Restriction Status | 项目 | 期末余额（元） | 期初余额（元） | | :--- | :--- | :--- | | 银行承兑汇票保证金 | 0.00 | 4,830,000.00 | | 信用证保证金 | 4,977,490.65 | 1,275,606.15 | | 保证金 | 1,500.00 | 1,500.00 | | 合计 | 4,978,990.65 | 6,107,106.15 | Analysis of Investment Status Total investment increased by 6.98%, with the automotive transmission system intelligent manufacturing industrial park project facing delays, and the company holding equity investments in Qianli Technology and Hanma Technology Report Period Investment Amount | 指标 | 报告期投资额（元） | 上年同期投资额（元） | 变动幅度 | | :--- | :--- | :--- | :--- | | 总投资额 | 706,491,873.35 | 660,413,873.36 | 6.98% | Significant Non-Equity Investments | 项目名称 | 投资方式 | 是否为固定资产投资 | 投资涉及行业 | 本报告期投入金额（元） | 截至报告期末累计实际投入金额（元） | 资金来源 | 项目进度 | 预计收益（元） | 截止报告期末累计实现的收益（元） | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | 汽车传动系智能制造产业园项目 | 其他 | 是 | 制造业 | 249,679,473.54 | 1,178,578,167.52 | 自有 | 66.00% | 664,895,500.00 | 0.00 | - The investment progress of the "Annual Production of 2 Million Sets of High-End Drive Shaft Intelligent Manufacturing Production Line Project" fell short of expectations, and its estimated completion date has been extended to February 28, 2027[59] Securities Investment Information | 证券代码 | 证券简称 | 最初投资成本（元） | 期末账面价值（元） | 会计核算科目 | 资金来源 | | :--- | :--- | :--- | :--- | :--- | :--- | | 601777 | 千里科技 | 123,732.18 | 372,663.21 | 交易性金融资产 | 应收账款 | | 600375 | 汉马科技 | 9,481,176.00 | 8,421,624.23 | 交易性金融资产 | 应收账款 | Overall Use of Raised Funds | 募集资金总额（1） | 累计使用募集资金总额（2） | 已累计变更用途的募集资金总额（3） | 变更用途的募集资金总额比例（3）/(1) | 尚未使用的募集资金总额 | 闲置两年以上募集资金金额 | | :--- | :--- | :--- | :--- | :--- | :--- | | 89,370.33万元 | 53,926.97万元 | 0万元 | 0.00% | 33,876.97万元 | 0万元 | Financial Asset Investments The company's securities investments primarily include Qianli Technology and Hanma Technology shares, with no derivative investments during the reporting period Securities Investment Information | 证券代码 | 证券简称 | 最初投资成本（元） | 会计计量模式 | 期初账面价值（元） | 本期公允价值变动损益（元） | 期末账面价值（元） | 会计核算科目 | 资金来源 | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | 601777 | 千里科技 | 123,732.18 | 公允价值计量 | 336,607.65 | 36,055.56 | 372,663.21 | 交易性金融资产 | 应收账款 | | 600375 | 汉马科技 | 9,481,176.00 | 公允价值计量 | 0.00 | -1,059,551.77 | 8,421,624.23 | 交易性金融资产 | 应收账款 | | 合计 | | 9,604,908.18 | | 336,607.65 | -1,023,496.21 | 8,794,287.44 | | | - During the reporting period, the company's domestic stock investments resulted from customers settling outstanding accounts receivable with trust beneficiary units[52] - The company had no derivative investments during the reporting period[53] Use of Raised Funds The company raised CNY 893.70 million, used CNY 539.27 million for a smart manufacturing project and working capital, with the project delayed until February 28, 2027 Overall Use of Raised Funds | 募集资金总额（1） | 累计使用募集资金总额（2） | 已累计变更用途的募集资金总额（3） | 变更用途的募集资金总额比例（3）/(1) | 尚未使用的募集资金总额 | 闲置两年以上募集资金金额 | | :--- | :--- | :--- | :--- | :--- | :--- | | 89,370.33万元 | 53,926.97万元 | 0万元 | 0.00% | 33,876.97万元 | 0万元 | - As of June 30, 2025, the company's cumulative investment in raised fund projects totaled CNY 539.27 million, with CNY 35.30 million utilized in the current year[55] - The investment progress of the "Annual Production of 2 Million Sets of High-End Drive Shaft Intelligent Manufacturing Production Line Project" fell short of expectations, and its estimated completion date has been extended to February 28, 2027[59] - As of June 30, 2025, the balance of raised funds was CNY 434.39 million, comprising CNY 164.39 million in bank deposits and CNY 270 million in bank wealth management products[55] Significant Asset and Equity Disposals The company did not engage in any significant asset or equity disposals during the reporting period - The company did not dispose of any significant assets during the reporting period[62] - The company did not dispose of any significant equity during the reporting period[63] Analysis of Major Holding and Participating Companies Key subsidiaries include Xuchang Zhongxing Forging and Beijing BAIC Yodon Transmission Components, with a new wholly-owned subsidiary, Zhongyuan Power Technology, established to expand overseas markets Major Subsidiaries and Participating Companies with Over 10% Impact on Company's Net Profit | 公司名称 | 公司类型 | 主要业务 | 注册资本（元） | 总资产（元） | 净资产（元） | 营业收入（元） | 营业利润（元） | 净利润（元） | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | 许昌中兴锻造有限公司 | 子公司 | 锻造加工 | 120,000,000.00 | 584,079,653.06 | 528,888,576.02 | 268,810,129.61 | 26,548,212.78 | 22,910,804.32 | | 北京北汽远东传动部件有限公司 | 子公司 | 传动轴加工和销售 | 40,800,000.00 | 161,322,819.96 | 57,984,568.53 | 114,378,357.46 | -5,122,641.21 | -5,122,641.21 | | 潍坊远东传动轴有限公司 | 子公司 | 传动轴加工和销售 | 100,000,000.00 | 392,030,334.31 | 233,625,255.24 | 101,424,399.88 | -6,802,925.83 | -6,803,125.83 | | 柳州远腾传动部件有限公司 | 子公司 | 传动轴加工和销售 | 60,000,000.00 | 139,117,096.36 | 60,338,303.61 | 62,403,311.24 | 298,410.40 | 271,057.57 | | 重庆重汽远东传动轴有限责任公司 | 子公司 | 传动轴加工和销售 | 51,200,000.00 | 67,767,692.32 | 16,070,857.57 | 38,634,574.66 | -10,144,661.12 | -10,144,661.12 | - During the reporting period, the company established a new wholly-owned subsidiary, Zhongyuan Power Technology Co., Ltd., to expand overseas market business, which positively impacts the company's long-term development and strategic layout[65] Information on Structured Entities Controlled by the Company The company did not control any structured entities during the reporting period - The company had no structured entities under its control during the reporting period[66] Risks Faced by the Company and Countermeasures The company faces risks from industry cycles, rising raw material prices, maintaining high gross margins, international market expansion, and underperforming investment projects, with corresponding mitigation strategies - Risk: Cyclical fluctuations in the downstream commercial vehicle and construction machinery industries may adversely affect the company's production and operations[66] - Countermeasures: Strengthen market research, optimize product structure, expand diversified businesses, and reduce reliance on a single industry[66] - Risk: Rising prices of major raw materials (steel, universal joints, etc.), with material costs exceeding 60% of operating costs, may lead to fluctuations in the company's operating performance[66] - Countermeasures: Strengthen strategic cooperation with suppliers, optimize procurement management (centralized procurement, hedging), and enhance cost control[67] - Risk: Inability to sustain high gross margins, influenced by changes in competitive landscape, pricing strategies, sustainability of core competencies, and raw material price fluctuations[68] - Countermeasures: Continuously increase investment in technology R&D, strengthen quality management, optimize cost management, enhance customer service, and reinforce brand building[69] - Risk: Unfavorable international market expansion in the future, affected by export country trade policies, economic levels, and exchange rate fluctuations[69] - Countermeasures: Strengthen international market research, establish an overseas market risk management system, collaborate with international professional organizations, and cultivate international talent[70] - Risk: Raised fund investment project (annual production of 2 million sets of high-end drive shaft intelligent manufacturing production line project) failing to meet expected benefits, inability to absorb new capacity, and increased fixed asset depreciation[70][71] - Countermeasures: Increase market promotion in the new energy vehicle sector, strengthen cooperation with vehicle manufacturers, optimize product performance and quality, and accelerate constant velocity drive shaft capacity expansion[71] Risk of Cyclical Fluctuations in Downstream Commercial Vehicle and Construction Machinery Industries The non-constant velocity drive shaft business is susceptible to cyclical fluctuations in the commercial vehicle and construction machinery industries, necessitating market research and diversified business strategies - Demand in the non-constant velocity drive shaft OEM market is directly influenced by the prosperity and development scale of the commercial vehicle and construction machinery industries[66] - Countermeasures include strengthening market research and analysis, promptly monitoring macroeconomic conditions and industry trends, and proactively adjusting business strategies[66] - The company will optimize its product structure, increase R&D and production investment in products with stable market demand and strong anti-cyclical capabilities, and expand into diversified business areas[66] Risk of Rising Prices of Major Raw Materials The company faces significant risk from rising steel and universal joint prices, which constitute over 60% of operating costs, potentially impacting profitability - The company's main raw materials are steel, universal joints, etc., with material costs accounting for over 60% of the cost of sales[66] - Fluctuations in steel prices have a certain impact on the profitability of companies in the industry, potentially leading to significant volatility in the company's operating performance[66] - Countermeasures include strengthening strategic cooperation with suppliers, establishing long-term stable supply relationships, and negotiating more favorable procurement prices and payment terms[67] Operational Risks The company faces risks in maintaining high gross margins due to market competition and raw material prices, alongside uncertainties in international market expansion - The company faces the risk of declining gross margins for drive shaft products, influenced by changes in the competitive landscape of segmented markets, competitors' pricing strategies, the sustainability of the company's core competitive advantages, and raw material price fluctuations[68] - Countermeasures include continuously increasing investment in technology R&D, consistently launching innovative and differentiated products, and enhancing product technological content and added value[69] - The company's international market expansion faces influencing factors such as export country trade policies, economic levels, legal systems, and foreign exchange rate levels and fluctuations[69] - Countermeasures include strengthening research and analysis of international markets, gaining in-depth understanding of the political, economic, legal, and cultural environments of different countries and regions, and formulating corresponding international business strategies[70] Risks of Raised Fund Investment Projects The company's raised fund investment projects face risks of not meeting expected benefits, unabsorbed new capacity, and increased depreciation, requiring market promotion and collaboration with vehicle manufacturers - The feasibility analysis of raised fund investment projects is based on current market conditions, existing technological foundations, and forecasts of future market trends, but project implementation is closely related to industrial policies, market supply and demand, competitive landscape, and technological advancements[70] - The company plans to build an annual production line for 2 million sets of high-end drive shafts, which will place higher demands on its market expansion capabilities, posing a risk of underutilization of new capacity[70] - Upon completion of the raised fund projects, the company's fixed asset scale will significantly increase, leading to additional fixed asset depreciation expenses annually, which could adversely affect profitability if the projects do not generate expected benefits in a timely manner[71] - Countermeasures include increasing market promotion and brand building in the new energy vehicle market, strengthening communication and cooperation with new energy vehicle manufacturers, continuously optimizing product performance and quality, and accelerating the expansion of constant velocity drive shaft production capacity[71] Formulation and Implementation of Market Value Management System and Valuation Enhancement Plan The company did not formulate a market value management system or disclose a valuation enhancement plan during the reporting period - The company did not formulate a market value management system during the reporting period[72] - The company did not disclose a valuation enhancement plan during the reporting period[72] Implementation of 'Dual Improvement in Quality and Returns' Action Plan The company did not disclose any announcement regarding the "Dual Improvement in Quality and Returns" action plan during the reporting period - The company did not disclose any announcement regarding the "Dual Improvement in Quality and Returns" action plan during the reporting period[72] Corporate Governance, Environment, and Society This section covers changes in directors, supervisors, and senior management, profit distribution, employee incentives, environmental disclosures, and social responsibility Changes in Directors, Supervisors, and Senior Management There were no changes in the company's directors, supervisors, or senior management during the reporting period - There were no changes in the company's directors, supervisors, or senior management during the reporting period[74] Profit Distribution and Capital Reserve Conversion to Share Capital During the Reporting Period The company plans no cash dividends, bonus shares, or capital reserve conversions to share capital for the semi-annual period - The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for the semi-annual period[75] Implementation of Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures in place during the reporting period - The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures and their implementation during the reporting period[76] Environmental Information Disclosure The company and its major subsidiaries are not included in the list of enterprises required to disclose environmental information by law - The listed company and its major subsidiaries are not included in the list of enterprises required to disclose environmental information by law[77] Social Responsibility The company had no social responsibility matters requiring disclosure during the reporting period - None[77] Significant Matters This section details commitments, related party transactions, litigation, penalties, and other significant events during the reporting period [Commitments Fulfilled and Overdue Unfulfilled by Controlling Shareholder, Shareholders, Related Parties, Acquirers, and the Company During and as