Core Viewpoint - ZTE Corporation is currently under investigation regarding compliance with the U.S. Foreign Corrupt Practices Act, and the company is actively communicating with the U.S. Department of Justice to protect its rights while maintaining a strong commitment to compliance and anti-corruption measures [1][3]. Group 1 - The company's board is aware of recent media reports concerning the investigation related to compliance with the U.S. Foreign Corrupt Practices Act [1][3]. - ZTE is engaging in discussions with the U.S. Department of Justice regarding the matter and intends to use legal means to defend its rights [1][3]. - The company emphasizes its commitment to strengthening its compliance system and aims to establish an industry-leading compliance framework [1][3]. Group 2 - ZTE opposes all forms of corruption and maintains a zero-tolerance policy towards any individuals potentially involved [1][3]. - The company's production and operations are currently normal, indicating no immediate impact on its business activities [1][3].

Core Viewpoint - The Chinese futures market is experiencing rapid growth, with total funds surpassing 2 trillion yuan, and institutional investors becoming key participants. Leading futures companies are enhancing their service capabilities to contribute to high-quality market development [1][3]. Group 1: Market Growth and Institutional Participation - As of October 9, 2025, the total funds in China's futures market reached approximately 2.02 trillion yuan, marking a 24% increase from the end of 2024 [3]. - The total client equity of futures companies was about 1.91 trillion yuan, also reflecting a 24% growth compared to the end of 2024 [3]. - The number of effective clients in the market exceeded 2.7 million by the end of September 2025, showing a 14% year-on-year increase [4]. Group 2: East Securities Futures' Achievements - East Securities Futures has been recommended by the China Insurance Asset Management Association (IAMAC) for six consecutive years, highlighting its strong capabilities in index and treasury futures [1][3]. - The company focuses on providing integrated futures derivative solutions for insurance funds, including hedging design and derivative business support [3]. Group 3: Service Enhancement and Digital Transformation - East Securities Futures has maintained steady growth in client equity, attributed to its ongoing digital transformation and optimization of service experiences for industrial clients [5]. - The company plans to enhance service efficiency and client experience through increased investment in financial technology and the development of intelligent advisory tools [6]. Group 4: Strategic Focus Areas for Future Growth - The company aims to achieve breakthroughs in brokerage business through four key strategies: enhancing service efficiency via technology, offering differentiated service products, strengthening compliance and risk control, and expanding market reach internationally [7].

Core Insights - Dongzheng Futures has been recommended by IAMAC for six consecutive years, highlighting its strong institutional service capabilities and recognition from insurance institutions [1][2] - The recommendation covers three areas: comprehensive futures companies, stock index futures business, and government bond futures business, showcasing Dongzheng Futures' deep engagement and innovation in these sectors [1] Industry Trends - The utilization of insurance funds is increasingly diversifying, market-oriented, and internationalized, making derivative tools crucial for risk management, asset allocation, and yield enhancement [2] - Insurance institutions are expected to evolve their use of derivatives from basic hedging to more complex portfolio management and multi-strategy collaboration, leading to a sustained demand for specialized and customized services [2] - Financial technology, intelligent risk control, and compliance system development are emerging as new focal points for industry collaboration [2] Company Strategy - The recognition from IAMAC serves as both validation of past efforts and motivation for future development, prompting the company to enhance its professional skills and service levels [2] - Dongzheng Futures aims to provide specialized and customized services to the insurance asset management industry while strengthening collaboration and communication with IAMAC to promote high-quality joint development between the insurance asset management and derivatives industries [2]

Core Insights - The "2025 China Enterprises Going Global Summit" was held in Shenzhen, focusing on creating a high-end platform for Chinese companies to address challenges in international expansion amidst global industrial chain restructuring [1] - Key obstacles identified for Chinese companies going global include insufficient compliance awareness, weak localization preparation, geopolitical risks, and irrational competition [3][4][6][8] Compliance Awareness - Many companies have a significant lack of understanding regarding the value of compliance systems, which can lead to substantial legal risks [4] - A case was shared where an investment of $100,000 in compliance helped avoid potential litigation risks amounting to $1 million [4] Localization Preparation - Companies often inadequately prepare for international markets, mistakenly believing that domestic success can be replicated abroad [6] - There are frequent instances where projects fail due to the application of domestic models in foreign contexts [6] Blind Confidence - Some Chinese entrepreneurs exhibit blind confidence when entering foreign markets, underestimating their complexities and believing that financial resources can solve all issues [8] - This attitude can lead to poor decision-making and is often not well-received in international markets [8] Irrational Competition - The practice of aggressive price competition among Chinese companies abroad is damaging profit margins and creating negative perceptions among local regulators and consumers [8] - Companies are encouraged to focus on research and development rather than price wars, as sustainable success lies in innovation [8] Strategic Misalignment - Traditional approaches to international expansion often overlook the need for localized branding strategies and fail to assess actual local market demands [10] - Some companies have faced backlash for not contributing to local economies while relying solely on domestic resources [10] Market and Geopolitical Risks - Emerging markets present significant risks, including currency fluctuations, political instability, and safety concerns for employees [11] Solutions for Overcoming Challenges - Experts recommend a "three-step compliance method" for companies to follow, which includes legal research, comprehensive due diligence, and ongoing compliance adjustments [12] - Collaboration with local partners and innovative business models are suggested as effective strategies for navigating international markets [12][14] - Emphasis is placed on understanding and meeting local needs through tailored products, as demonstrated by a successful case in Africa [14] Recommendations for SMEs - Small and medium enterprises are advised to leverage partnerships with larger state-owned enterprises to enhance their international presence [14] - Finding reliable local partners and integrating domestic solutions with international strategies can help mitigate risks during expansion [14]

Company Overview - The company will hold its 2024 Annual General Meeting on June 30, 2025, with both on-site and online voting options available for shareholders [1][2] - The agenda includes the review of the Board of Directors' report, Supervisory Board report, financial statements, and various proposals including the election of directors and the appointment of auditors [1][3] Financial Performance - In 2024, the company reported a revenue of approximately 4.52 billion RMB, a decrease of 42.59% compared to 2023 [19][21] - The net profit attributable to shareholders was approximately 50.54 million RMB, down 63.90% year-on-year [19][21] - The company’s cash flow from operating activities was approximately 227.93 million RMB, a decrease of 22.86% from the previous year [19] Business Development - The automotive segment focused on a multi-channel service model, including new car sales, used car transactions, and after-sales services, aiming to enhance customer experience and marketing efficiency [3][11] - The company is enhancing its digital capabilities and expanding its service offerings in the non-ferrous metals market, including the launch of the "Smart Non-Ferrous" app [4][12] - The logistics and warehousing business is being optimized to improve service levels and expand market reach, particularly in black metal logistics [4][12] Governance and Compliance - The Board of Directors held nine meetings during the reporting period, ensuring compliance with legal and regulatory requirements [7][8] - The Supervisory Board conducted four meetings, focusing on the company's financial health and compliance with operational regulations [13][15] - The company is committed to enhancing its internal control systems and compliance frameworks to mitigate operational risks [15][16] Strategic Initiatives - The company aims to transform into a comprehensive service provider in the automotive and non-ferrous metals sectors, leveraging its existing market position and digital capabilities [10][12] - Plans include the development of a supply chain service platform and the integration of digital technologies to enhance operational efficiency [10][12] - The company is also focusing on expanding its market influence through strategic partnerships and innovative service offerings [10][12]