Farasis Energy(SH:688567) Xin Lang Cai Jing·2025-09-26 10:34Core Viewpoint - The recent share reduction actions by shareholders of Funeng Technology highlight concerns over the company's ongoing financial struggles, including continuous losses and declining revenues, amidst a backdrop of significant inventory issues and underutilized production capacity [1][3][5]. Group 1: Shareholder Actions - Vice President Wang Zhigang plans to reduce his holdings by up to 100,000 shares, representing 0.0082% of the total share capital, starting from October 23, 2025 [1]. - Shareholder Hangzhou Xingyuan announced a plan to reduce up to 24.237 million shares, accounting for 1.9832% of the total share capital, marking a continuation of their selling actions since November 2021 [1]. - Other shareholders, including Hong Kong Funeng and several entities associated with Lida, have also announced plans to reduce their stakes, indicating a broader trend of shareholder exits [1]. Group 2: Financial Performance - Funeng Technology reported a revenue of 4.353 billion yuan for the first half of 2025, a year-on-year decline of 37.58%, making it the only major lithium battery company to experience a revenue drop [3]. - The company recorded a net loss of 162 million yuan, although this represented a 14.92% improvement compared to the previous year, marking the fifth consecutive year of losses [3]. - In Q2 2025, revenue fell to 2.028 billion yuan, a staggering 49.92% decrease year-on-year, indicating a worsening operational situation [3]. Group 3: Inventory and Production Issues - As of June 30, 2025, Funeng Technology's inventory balance reached 3.565 billion yuan, a 58% increase year-on-year, with inventory turnover days rising to 149.27 days, up 71% [3]. - The significant increase in inventory turnover days suggests potential issues with product sales or declining competitiveness [3]. - Despite the inventory challenges, the company continues to expand production capacity, with new facilities in Ganzhou and Guangzhou expected to come online in the second half of 2025 [4]. Group 4: Control Change and Future Challenges - In January 2025, Funeng Technology underwent a change in control, with Guangzhou Industrial Investment Holding Group becoming the new controlling shareholder, backed by the Guangzhou Municipal Government [2][5]. - The new state-owned control has provided financial support and resources, but has not yet resolved the company's operational difficulties [5]. - The company faces the challenge of balancing technological investment with profitability, particularly in the context of the solid-state battery industry's capital-intensive nature [6].