Jinlihua Electric(SZ:300069) Sou Hu Cai Jing·2025-08-28 08:18Core Viewpoint - Jinlihua Electric has shown remarkable growth in its recent financial report, achieving significant increases in both revenue and net profit, indicating a successful turnaround from its previous struggles as a "shell company" [1][5]. Financial Performance - In the first half of 2025, Jinlihua Electric reported total revenue of 93.66 million yuan, a year-on-year increase of 8.59% [3]. - The net profit attributable to shareholders reached 6.23 million yuan, up 10.72% year-on-year, while the net profit after deducting non-recurring gains and losses was 3.93 million yuan, reflecting a 2.51% increase [3]. - The net assets attributable to shareholders amounted to 281 million yuan, marking a 2.80% growth compared to the previous year [3]. Business Segments - The main business segment, glass insulator production, generated revenue of 78.26 million yuan, a significant increase of 19.28% year-on-year, driven by the expansion of production capacity [3]. - The company has successfully increased its production capacity for ultra-high voltage glass insulators, with a new production line that began operations on March 31, 2025, increasing capacity fourfold [3]. Strategic Developments - Jinlihua Electric plans to invest 186 million yuan in a new production line for ultra-high voltage glass insulators, which is expected to further enhance its production capacity [4]. - Despite a decline in the glass insulator industry's gross margin due to changes in supply and demand, the company is adapting its production and sales strategies to focus on larger insulator products [4]. - The second major business segment, theatrical performances, saw a revenue decline of 25.40% to 15.39 million yuan, primarily due to reduced performance schedules [4]. Historical Context - Jinlihua Electric was established in 2003 and became the first listed company in China's power transmission and transformation industry in 2010, but faced significant losses and challenges, leading to its reputation as a "shell company" by 2018 [5]. - A turning point occurred in 2020 when the company was acquired by the Luobao Group, leading to a strategic shift and relocation to Shanxi province [6]. Future Outlook - The company's recent performance reflects a successful turnaround, driven by capacity expansion and strategic management decisions [7]. - The ongoing exploration of new business opportunities, such as the attempted acquisition of a hydrogen energy company, indicates Jinlihua Electric's commitment to innovation and growth despite setbacks [4][6].