Core Viewpoint - Longteng Optoelectronics is seeking to divest its loss-making subsidiary, Longteng Electronics, to optimize resource allocation and improve operational efficiency amid ongoing financial losses [1][2]. Group 1: Company Overview - Longteng Optoelectronics was established in July 2005 and listed on the Shanghai Stock Exchange's Sci-Tech Innovation Board in August 2020, specializing in the R&D and manufacturing of TFT-LCDs [2]. - The company primarily focuses on small to medium-sized display panels used in laptops, automotive displays, industrial control, smartphones, and smart interconnected devices [2]. Group 2: Financial Performance - Longteng Optoelectronics has experienced a continuous decline in revenue since 2022, with reported revenues of 42.07 billion, 37.83 billion, 34.13 billion, and 19.03 billion from 2022 to the first three quarters of 2025, reflecting year-on-year decreases of 26.62%, 10.08%, 9.77%, and 27.85% respectively [2]. - The company has not reported a profit since Q4 2022, with cumulative losses of 6.48 billion over the past three years, including losses of 2.78 billion, 1.9 billion, and 1.8 billion for 2023, 2024, and the first three quarters of 2025 respectively [2]. Group 3: Strategic Initiatives - To address industry challenges, the company is focusing on new development opportunities in AI and ESG, enhancing its product structure with innovations in full-color electronic paper and 3D displays [3]. - Longteng Optoelectronics is also accelerating the establishment of overseas production bases to strengthen global supply chain flexibility and resilience, with projects currently in the ramp-up phase [3]. - The company has improved management efficiency, achieving a 27.14% year-on-year reduction in operating costs to 17.86 billion in the first three quarters of 2025, with R&D and sales expenses also decreasing by 17.91% and 9.63% respectively [3].