Core Insights - Yangjie Technology has established itself as a key player in the global semiconductor industry, particularly in the power semiconductor sector, with significant market shares in various product categories [2][4][9] Company Overview - Yangjie Technology is recognized as a national manufacturing champion, producing essential semiconductor components for renowned global brands such as Bosch, Samsung, and Volvo [2] - The company holds the largest market share in China for power diodes and rectifier bridges, and ranks second globally in power diodes, with a 42.5% market share in photovoltaic bypass diodes [2][4] Industry Context - The Chinese semiconductor industry is valued at 4 trillion yuan, with 85% attributed to integrated circuits, a sector facing significant challenges due to foreign dominance [4] - The global power semiconductor market is approximately 200 billion yuan, with domestic and international markets each accounting for half [4] R&D and Innovation - Yangjie Technology invests 7% of its annual revenue in R&D, with projected R&D expenses exceeding 400 million yuan in 2024 [5] - The company collaborates with prestigious universities and engages in provincial and ministerial-level research projects to strengthen its technological capabilities [5] Global Strategy - The company has adopted a "dual brand + global layout" strategy, acquiring the American semiconductor brand Microchip (MCC) and establishing a presence in over 30 countries [7] - To mitigate trade barriers, Yangjie Technology has built a factory in Vietnam, sourcing 30% of its materials locally to obtain Vietnamese origin certification [7] Financial Performance - Yangjie Technology's revenue is expected to exceed 6 billion yuan and net profit over 1 billion yuan in 2024, reflecting a tenfold increase in revenue, profit, and market capitalization since its IPO in 2014 [8] - The company has successfully raised 220 million USD through global depositary receipts (GDR), with funds allocated for factory expansion and market development [7] Local Ecosystem - The rapid growth of Yangjie Technology is supported by a favorable business environment in Yangzhou, with local government initiatives promoting key industries [8] - The export share of machinery and automotive products in Yangzhou has increased from 40% in 2021 to 70% in 2024, contributing to the region's economic development [8] Future Outlook - Yangjie Technology aims to fill the 30 billion yuan gap in high-end power semiconductor imports within the next 3 to 5 years, positioning itself as a leader in domestic semiconductor replacement [4][9] - The company's trajectory reflects the broader trend of Chinese semiconductor firms making significant strides in niche markets [9]

Core Viewpoint - The company is preparing for its 2024 annual shareholders' meeting, where various proposals will be discussed, including the appointment of auditors, financial reports, and capital changes. Group 1: Meeting Procedures - Shareholders and their representatives must arrive 30 minutes before the meeting to complete registration and present necessary identification documents [2][3] - The meeting will follow a specific agenda, allowing shareholders to exercise their rights to speak, inquire, and vote [2][3][4] - Voting will be conducted both on-site and online, with specific time frames for each method [5] Group 2: Financial Reports and Proposals - The company will present its 2024 annual financial report, which indicates a projected revenue increase of 51.38% despite a net loss for the year [8][9] - The profit distribution plan for 2024 proposes no cash dividends or stock bonuses due to the company's current financial situation and investment needs [8][11] - The company plans to continue its strategic investments in technology and capacity expansion, anticipating improved performance in the coming years [9][10] Group 3: Auditor Appointment - The company proposes to reappoint Tianjian Accounting Firm as its auditor for the 2025 fiscal year, with an audit fee of 750,000 RMB [11][12] - Tianjian has a strong track record and familiarity with the company's operations, which supports the decision for reappointment [11][12] Group 4: Capital and Financing - The company intends to apply for a credit limit of up to 1.5 billion RMB from financial institutions to support its operational and investment needs [19] - The company will provide guarantees for its subsidiaries' loans within the approved credit limit [19] - A proposal for foreign exchange hedging activities is also on the agenda, aimed at mitigating currency risk associated with international transactions [21][22] Group 5: Governance Changes - The company plans to amend its articles of association to eliminate the supervisory board, transferring its responsibilities to the audit committee of the board [30] - This change is part of a broader effort to enhance corporate governance and streamline operations [30]

Group 1 - The company reported a significant decline in revenue and net profit for the fiscal year, with total revenue of 349 million yuan, a year-on-year decrease of 27.49%, and a net profit attributable to shareholders of -141 million yuan, a decline of 623.64% [1][2] - The main reasons for the losses include reduced orders for diamond wire due to market changes and a significant drop in product prices, leading to a substantial decline in revenue [2] - The company has adjusted its business strategy in response to the volatile photovoltaic market, including scaling back production and temporarily halting certain projects while maintaining a focus on technological innovation in diamond wire [2][3] Group 2 - The semiconductor consumables segment showed promising growth, achieving revenue of 38.86 million yuan and a net profit of 1.64 million yuan, marking a year-on-year revenue increase of 67.54% [2] - The company believes that the photovoltaic industry still holds significant potential, despite increasing competition in the diamond wire sector and declining product prices and profit margins [3] - Future strategies will focus on domestic and international market expansion, particularly in products with competitive advantages, aiming to participate in global market competition [3]