Kersen(SH:603626) Zheng Quan Shi Bao Wang·2025-11-25 09:40Core Viewpoint - Kosen Technology plans to invest $30 million in a new production base in Malaysia to meet overseas customer demand and enhance its operational flexibility in response to macroeconomic fluctuations and changes in international trade dynamics [1][3]. Group 1: Investment Details - The investment will be made through Kosen Technology (Singapore) Co., Ltd., establishing a new entity named SenChuangLi Precision Industry (Malaysia) Sdn. Bhd. in Johor, Malaysia [1]. - The new facility will cover approximately 21,500 square meters, including two existing factories with a total area of 9,374 square meters [1]. - The operational scope of the Malaysian company includes R&D, design, manufacturing, assembly, and sales of precision metal components and molds, as well as plastic products [1]. Group 2: Company Operations and Financial Performance - Kosen Technology specializes in precision manufacturing processes such as die casting, forging, stamping, CNC machining, laser cutting, and injection molding, serving major clients like Apple, Huawei, Amazon, and Google [2]. - For the first three quarters of 2025, Kosen Technology reported a revenue of 2.453 billion yuan, a year-on-year decline of 6.45%, and a net loss attributable to shareholders of 115 million yuan, an increase in loss of 50.94% year-on-year [2]. - The company attributes its losses to new products still in the ramp-up phase and high R&D expenditures aimed at overcoming technical bottlenecks and securing more market orders [2]. Group 3: Strategic Rationale - The investment in Malaysia is expected to enhance Kosen Technology's ability to meet diverse overseas customer needs and improve its overall risk resilience [3]. - The funding for this investment will come from the company's own resources, ensuring no significant impact on its financial status or operations [3].