Ginlong Technologies(SZ:300763) Zheng Quan Zhi Xing·2025-05-15 12:39Core Viewpoint - The company, Ginlong Technologies Co., Ltd., is issuing convertible bonds to raise funds, with a focus on maintaining a stable dividend policy and addressing potential risks associated with its operations and market conditions [1][2][3]. Summary by Relevant Sections Convertible Bond Issuance - The issuance of convertible bonds complies with relevant laws and regulations, and the company has received a credit rating of AA for the bonds, indicating a stable outlook [1][2]. - The bonds are not secured, which may increase risk if significant negative events impact the company's operations [1]. Dividend Policy - The company has a stable dividend distribution policy, aiming for cash dividends to be at least 10% of distributable profits annually, with a cumulative cash distribution over three years not less than 30% of the average annual distributable profits [1][2]. - Recent dividend distributions include a cash dividend of 4 CNY per 10 shares for 2022, and 2 CNY per 10 shares for 2023, with a proposal for 2024 under consideration [5][6]. Financial Performance - The company reported revenues of approximately 588.96 million CNY in 2022, with a net profit of about 104.26 million CNY, indicating fluctuations in performance due to market conditions and operational challenges [6][7]. - The average annual net profit attributable to shareholders over the last three years was approximately 84.35 million CNY, with total cash dividends amounting to about 31.84 million CNY, representing 37.75% of the average net profit [6][7]. Risks and Challenges - The company faces risks related to raw material supply and price fluctuations, which could adversely affect profitability [7][8]. - The gross profit margins for the company's photovoltaic inverter business have shown a declining trend, with margins of 28.88%, 23.14%, and 20.14% over recent years [8]. - The company has a high debt ratio, with liabilities exceeding 70% in certain periods, which may impact its financial stability [9]. Future Projects and Investments - The funds raised will be used for capacity expansion, research and development, and enhancing operational efficiency, with specific projects aimed at increasing production capacity for high-voltage inverters and energy storage systems [12][14]. - The company anticipates that the new projects will generate significant additional revenue and profit, with expected annual net profits of approximately 7.73 million CNY and 12.38 million CNY from the respective projects [14].