WST(SH:688122) Shang Hai Zheng Quan Bao·2025-08-26 20:01Core Viewpoint - The company, Western Superconducting Technologies Co., Ltd., has received an administrative regulatory decision from the Shaanxi Securities Regulatory Bureau due to issues related to revenue recognition, improper use of raised funds, and inaccurate disclosure of major customer details in its 2024 annual report [1][2][3]. Group 1: Regulatory Issues - The company was found to have non-compliant revenue recognition practices, leading to inaccurate financial statement disclosures for 2024 [1]. - There were irregularities in the management and use of raised funds, specifically regarding the use of idle funds for cash management without proper approval during a review window [2]. - The company failed to accurately disclose the details of its top five customers in the 2024 annual report, violating disclosure regulations [3]. Group 2: Responsibilities and Corrective Actions - The company's chairman, general manager, financial director, and board secretary are held primarily responsible for the violations and have received warning letters [3][4]. - The company is required to enhance its understanding of securities laws and regulations, improve financial accounting practices, and address weaknesses in internal controls and information disclosure [4]. - The company has committed to actively rectify the identified issues and will submit a written report to the Shaanxi Securities Regulatory Bureau within 30 days [4][5]. Group 3: Impact on Operations - The administrative regulatory measures are not expected to affect the company's normal production and operational activities [5]. - The company will continue to fulfill its information disclosure obligations in accordance with relevant laws and regulations [5].