Huati Tech(SH:603679) Zheng Quan Zhi Xing·2025-08-11 16:17Core Viewpoint - The company has decided to increase the margin limit for its commodity hedging business from RMB 20 million to RMB 30 million to better manage the risks associated with the volatility in lithium carbonate prices [2][3][4] Summary by Sections 1. Announcement of Margin Increase - The board of directors approved the increase in the margin limit for commodity hedging activities to RMB 30 million, which can be used on a rolling basis within the effective period [2][3] 2. Purpose of Trading - The company aims to mitigate the adverse effects of price fluctuations on its operations by utilizing futures and derivatives trading tools to enhance its overall risk resistance [2][3] 3. Trading Specifications - The hedging activities will focus solely on lithium carbonate futures and derivatives that are directly related to the company's operations, conducted on legally operating domestic futures exchanges [2][3] 4. Financial Details - The new margin limit includes the value of collateral provided for trading, expected credit limits from financial institutions, and emergency reserve margins, excluding physical delivery payments [3][4] 5. Authorization Period - The authorization for the increased margin limit is valid for 12 months from the date of board approval, with automatic extensions for any trades that exceed this period [3] 6. Funding Source - The company will utilize its own funds for the commodity hedging activities [3] 7. Risk Management Measures - The company has established a hedging policy to manage risks associated with trading, including market, price, policy, liquidity, operational, technical, credit, and funding risks [5][6][7] 8. Accounting Principles - The company will adhere to relevant accounting standards for the financial reporting of its hedging activities [7][8]