SHEN YU(SZ:300563) Chang Jiang Shang Bao·2025-11-04 23:35Core Viewpoint - Shen Yu Co., Ltd. has received approval from the China Securities Regulatory Commission for the issuance of convertible bonds not exceeding 500 million yuan, aimed at expanding production capacity in the smart data cable sector, particularly for AI computing and automotive electronics [2][3] Group 1: Fundraising and Project Details - The company plans to raise a total of 500 million yuan through the issuance of convertible bonds, with all funds directed towards the "smart data cable construction project" [3] - The total investment for the project is 504 million yuan, with a construction period of 18 months, expected to achieve an annual production capacity of 272,500 kilometers of smart data cables [3] - The produced data cables will primarily be used for data transmission within and between data center servers, capitalizing on the growing scale of data centers in China [3] Group 2: Financial Performance and Profitability - In the first three quarters of 2025, the company's gross profit margin increased to 20.23%, significantly up from 16.4% in 2024, driven by the growth of high-margin businesses and product structure optimization [6] - Despite a slight year-on-year decline in revenue of 3.28% to 621 million yuan and a 20.86% drop in net profit to 53.31 million yuan, the company showed signs of recovery with a 205.79% increase in net profit in the second quarter [5][6] - The company's operating expenses were well-controlled, with total expenses accounting for only 7.75% of revenue, a decrease of 1.04 percentage points year-on-year [6] Group 3: Strategic Positioning and Market Outlook - The project will enhance the company's product capacity in automotive and computing data cables, aligning with market demand trends and optimizing the existing product structure [4] - The capacity expansion will also help mitigate market competition risks and lay a solid foundation for long-term development [4] - The establishment of a dual capacity matrix combining domestic high-end manufacturing and overseas risk hedging is expected to enhance overall operational resilience [3]