Core Viewpoint - The company, Guangdong Weide Information Technology Co., Ltd., reported a significant decline in revenue for 2024, marking the first time since its listing that annual revenue fell below 100 million yuan, with a year-on-year decrease of 18.03% to 98.44 million yuan [1][2]. Revenue and Profit Analysis - In 2024, the company achieved operating revenue of 98.44 million yuan, a decrease of 18.03% year-on-year, with the first quarter of 2025 showing a further decline of 57.79% to 8.90 million yuan [1][2]. - The non-recurring gains and losses amounted to 5.23 million yuan [1]. - The company transitioned from profit to loss in both net profit before and after non-recurring items [1]. Business Segment Performance - **Information Security Cloud Platform Business**: Revenue was 70.45 million yuan with a gross margin of 36.03% in 2023, slightly increasing to 38.39% in 2024. The major clients included State Grid Corporation of China, which saw a revenue increase of 24.39% [3][7]. - **Smart Security Equipment**: Revenue was 21.25 million yuan with a gross margin of 49.60% in 2023, decreasing to 54.64% in 2024. The decline in gross margin was attributed to increased unit costs due to reprocessing of inventory products and competitive pricing pressures [3][8]. - **Technical Services and Others**: Revenue dropped significantly from 45.12 million yuan in 2023 to 6.74 million yuan in 2024, with a gross margin of 48.03% in 2023 and 22.28% in 2024. The decline was primarily due to the completion of contracts with major clients like Southern Power Grid and Yunnan Energy Investment [3][8]. Client and Contract Details - Major clients for the Information Security Cloud Platform included State Grid Corporation, Guangdong Xiulian Technology Co., Ltd., and Huanneng Information Technology Co., Ltd. [3][6]. - The Technical Services and Others segment relied heavily on clients such as Yunnan Oriental Guoxin Information Technology Co., Ltd. and Southern Power Grid, with significant revenue contributions from these clients [6][8]. - The company has faced challenges in maintaining contracts, particularly with Southern Power Grid, which did not renew contracts after 2023, impacting revenue from technical services [8][9].

Group 1 - The core viewpoint of the report indicates that Zhongkong Technology leads the industrial internet information security market in the petrochemical, chemical, and oil & gas sectors with a year-on-year growth rate of 21.1% [1] - Zhongkong Technology has successfully implemented and accepted over 7,000 industrial information security projects, serving notable clients such as Sinopec, PetroChina, and BASF, thereby enhancing security capabilities for various industrial enterprises [1] - The overall market size for industrial internet information security in China is projected to reach 4.27 billion yuan in 2024, with key industries like electricity, chemicals, and oil & gas accounting for nearly 80% of the market share [1] Group 2 - In the petrochemical, chemical, and oil & gas sectors, Zhongkong Technology's "1+1+2" three-tier operational system has achieved significant performance breakthroughs, leading the market with a 17.2% share [2] - The "1+1+2" operational system consists of one group-level security operation center, one factory-level security warning center, and two device-level security management centers, effectively addressing information security challenges during the integration of IT and OT [2] - Zhongkong Technology aims to provide comprehensive network security services throughout the entire lifecycle, enhancing protection against cyberattacks and ensuring the security of critical data and industrial operations [2]