Core Viewpoint - The company reported a significant decline in revenue and net profit for the first half of 2025, indicating financial challenges despite its focus on new material development [1][5]. Financial Performance - In the first half of 2025, the company achieved revenue of 214 million yuan, a year-on-year decrease of 11.63% [1] - The net profit attributable to shareholders was -5.31 million yuan, a year-on-year decline of 367.84% [1] - The non-recurring net profit attributable to shareholders was -7.03 million yuan, a year-on-year decrease of 2234.31% [1] - In Q2 2025, revenue was 108 million yuan, down 22.27% year-on-year but up 2.03% quarter-on-quarter [1] - The net profit attributable to shareholders in Q2 was -485,200 yuan, a year-on-year decline of 161.27% but a reduction in losses compared to the previous quarter [1] Business Focus and Market Position - The company specializes in the research and production of new materials, including polyether amines and optical-grade polymer materials, with applications in wind turbine blades, shale gas extraction, automotive coatings, and optical lenses [2] - It is a leading domestic producer of polyether amines and is actively developing cyclic olefin copolymers (COC/COP), aiming to fill a market gap in high-transparency materials in China [2][3] COC Market Potential - COC is a high-transparency material with superior optical properties and high technical barriers in production, with current domestic production being non-existent and reliant on imports [3] - The company has the highest designed production capacity and has completed laboratory-level synthesis and verification, positioning itself to become the first listed company in China to mass-produce COC/COP [3] - The existing demand and potential market capacity for COC are maturing, with significant price advantages expected to broaden application fields and increase consumption demand [4] Product Development and Testing - The company is conducting downstream testing for its COC products, with three varieties developed and tested by two partners in different fields [4] - A thousand-ton production line is in trial production, with products meeting customer requirements ready for further validation [4] - The AkzoNobel project in Qianjiang is progressing steadily, with polyether amines and high-heat-resistant resin projects nearing trial production [4] Future Profit Projections - The company is projected to achieve net profits of 2 million yuan, 230 million yuan, and 430 million yuan for the years 2025 to 2027, with corresponding PE ratios of 2489.4X, 23.3X, and 12.6X based on the closing price on August 29, 2025 [5]