Core Viewpoint - The company is strategically shifting its production of semi-steel tires for the EU market to Southeast Asia in response to impending anti-dumping duties set to be finalized by June 2025 [2] Group 1: Company Strategy - The company has confirmed that the final anti-dumping tax rate for Chinese semi-steel tires will be determined by the EU in mid-June [2] - The company is committed to a global layout strategy and has already begun transferring EU semi-steel tire orders to its factories in Southeast Asia [2] - The current production capacity at the company's factories in Vietnam and Cambodia is operating at full capacity, with efforts underway to further enhance production capabilities [2] Group 2: Market Position - The company has a substantial backlog of semi-steel tire orders for the EU market, indicating strong demand [2] - The ongoing optimization of global production capacity aims to better meet the needs of consumers worldwide [2]

Core Viewpoint - The European Union will not release the preliminary anti-dumping tax rate for Chinese semi-steel tires, with the final ruling expected in mid-June 2025, which may impact the sales of the company’s semi-steel tires [1] Group 1: Company Strategy - The company has been implementing a globalization strategy and has already begun transferring its semi-steel tire orders for the EU to factories in Southeast Asia [1] - The current order backlog for semi-steel tires in the EU is substantial, with production capacity at the factories in Vietnam and Cambodia being fully utilized [1] - The company is actively working to enhance its production capacity to better meet global consumer demand [1]

Group 1: Company Performance - The company achieved a revenue of 141.17 million yuan in the first three quarters of 2025, representing a year-on-year growth of 83.40% [3] - Net profit attributable to shareholders reached 32.45 million yuan, with a remarkable year-on-year increase of 324.38% [3] - Gross margin improved to 35.85%, up by 14.30 percentage points compared to the same period last year [3] - Net profit margin stood at 22.98%, an increase of 13.05 percentage points year-on-year [3] Group 2: Strategic Initiatives - The company is implementing a "China + N" globalization strategy, focusing on expanding high-end production capacity in Southeast Asia, particularly in Thailand and Vietnam [3] - Continuous investment in advanced manufacturing equipment and capacity construction is planned to strengthen production advantages [3] - The company aims to enhance global delivery capabilities to meet the increasing demand for high-layer PCBs and advanced HDIs [3] Group 3: Customer Collaboration and Market Position - Significant breakthroughs in collaboration with major clients have been achieved, particularly in fast prototyping projects [4] - The company is positioned as an early mover in capacity expansion and technology development, providing a competitive edge in the industry [4] - PCB value in AI servers is increasing due to higher layer counts and complexity, which enhances the average selling price (ASP) [6][7] Group 4: Future Outlook and Challenges - The company is confident in future profitability due to the release of new capacities and an increase in high-margin orders [5] - Expansion projects are dynamically adjusted based on market demand, with ongoing progress in overseas production facilities [8] - Challenges in high-end capacity expansion include long equipment delivery times and significant capital investment [8]

Investment Rating - The report maintains a "Strong Buy" rating for the company, indicating a predicted increase of over 20% relative to the benchmark index in the next 12 months [1][10][16]. Core Views - The company is expected to achieve significant growth in 2024, with a forecasted net profit of 2.1 to 2.36 billion RMB, representing a year-on-year increase of 53.45% to 72.45% [3][5]. - The Moroccan factory is anticipated to commence full production in 2025, contributing to the company's revenue growth [4][5]. Summary by Sections Historical Performance - The company's stock has shown a performance of -11% to +24% over the past year, compared to the CSI 300 index [2]. Revenue and Profit Forecast - The company is projected to generate total revenues of 9.39 billion, 12.23 billion, and 14.18 billion RMB for the years 2024 to 2026, with year-on-year growth rates of 19.7%, 30.3%, and 16.0% respectively [5][8]. - The net profit forecast for the same period is 2.24 billion, 2.59 billion, and 3.03 billion RMB, with growth rates of 63.9%, 15.6%, and 16.8% respectively [5][8]. Business Segmentation - The semi-steel tire segment is expected to contribute significantly to revenue, with projected revenues of 8.07 billion, 10.62 billion, and 12.37 billion RMB from 2024 to 2026, accounting for 86% to 87% of total revenue [9]. - The full-steel tire segment is forecasted to generate revenues of 1.3 billion, 1.6 billion, and 1.8 billion RMB, making up 14% to 13% of total revenue [9]. Market and Industry Outlook - The demand for semi-steel tires in overseas markets remains strong, with a supply-demand imbalance expected to drive profitability [4]. - The overall tire production in China is projected to reach 1.19 billion units in 2024, a year-on-year increase of 20.2% [4]. Valuation Comparison - The company's projected price-to-earnings (PE) ratios for 2024, 2025, and 2026 are 11, 10, and 8 respectively, indicating a favorable valuation compared to peers [10][11].