Core Value of Rhodium Recovery - Rhodium is one of the rarest precious metals globally, with market prices exceeding 1445 RMB per gram by 2025, and its recovery value is significantly higher [1] - Companies like Hede Recycling Technology Co., Ltd. in Jiaozuo have improved rhodium recovery purity to over 99.95%, establishing a closed-loop economy model [1] - Leading companies such as Fuxin Precious Metals have adopted a full industry chain model of "recovery-refining-sales," increasing profit margins by 20% compared to single recovery models [1] Application Scenarios Driving Rhodium Recovery Demand - **Automotive Industry**: Each National VI standard vehicle requires 5-8 grams of rhodium for catalytic converters, with companies in Jiaozuo enhancing recovery rates by 2%-3% through vacuum drying methods [1] - **Chemical Industry**: A chemical company in Jiaozuo has achieved a stable recovery rate of 85%-90% for 5% palladium-carbon waste using innovative extraction techniques [3] - **New Energy Sector**: Rhodium-based catalysts in fuel cells show a 41% improvement in catalytic activity compared to traditional platinum-based materials, with a pilot production base being established in Jiaozuo [5] Technological Breakthroughs in Recovery Methods - **Physical Methods**: High-temperature melting at 1200-1500°C has improved recovery rates to 95%, with a processing capacity of 500 tons annually [6] - **Chemical Methods**: Advanced techniques have reduced processing costs by 30% for rhodium-iridium alloy waste [8] - **Biological Methods**: Innovative microbial metallurgy techniques have achieved over 99% recovery rates while reducing energy consumption by 60% [8] Policy Empowerment and Financial Innovations - **Fiscal Subsidies**: Companies recovering over 50 tons annually receive a 15% VAT rebate, increasing profits by 12% for compliant firms [9] - **Smart Platforms**: IoT-driven waste recovery platforms in Jiaozuo enhance response times by 50% and reduce logistics costs by 15% [10] - **Futures Hedging**: The Shanghai Futures Exchange plans to launch palladium-carbon futures contracts in 2025, allowing companies to hedge against price fluctuations [11] Future Trends in the Industry - **EU Carbon Certification**: Companies obtaining international sustainability certifications can access premium pricing, generating an additional 5000-8000 RMB per ton [14] - **Microbial Technology**: The integration of ultrasonic-assisted extraction with microbial metallurgy is expected to lead to fully automated production processes [14] - **Urban Mining**: The Jiaozuo model demonstrates that through technological innovation and policy collaboration, urban mining can unlock trillion-level resource values [14]

Core Insights - The company held its 2024 annual and Q1 2025 performance briefing on May 6, 2025, showcasing its core competitiveness and understanding of future industry dynamics, technological innovation, and ESG values [1][6][10] Financial Performance - In 2024, the company achieved a record revenue of 33.2 billion yuan, an increase of 8.75% year-on-year, with a net profit of 1.02 billion yuan, up 9.19% [1][6] - The Q1 2025 report indicated a revenue of 9.496 billion yuan, reflecting a year-on-year growth of 13.67%, and a net profit of 511 million yuan, up 12.10% [1][6] Operational Strategy - The company operates on a dual-track model focusing on "urban mining + new energy materials manufacturing," which has led to significant growth in revenue, net profit, and operating cash flow [6][9] - The utilization rate of the core new energy business exceeds 95%, significantly higher than the industry average, with an average shipment growth rate of 65% [6][7] Innovation and Technology - The company has over 5,000 patent applications, holding the largest number of patents in the waste recycling sector globally [9] - Key innovations include breakthroughs in nickel core-shell precursor production and advancements in hydrometallurgical technology for nickel ore [9][10] ESG and Sustainability - The company emphasizes green and circular economy principles, maintaining a top 10% rating in ESG dimensions and initiating a carbon disclosure project [10] - Plans for 2025-2027 include maintaining a 20% growth rate in sales revenue and a 36% growth rate in core product shipments [10] Capital Strategy - The company has outlined three capital market plans, including mergers and acquisitions in domestic resource businesses and a potential secondary listing in Hong Kong [10]