Core Viewpoint - The company, once a leader in the outdoor equipment sector, is facing significant challenges as it diversifies into the chip business, leading to a decline in financial performance and raising questions about its strategic direction [2][3][8]. Financial Performance - In the first half of 2025, the company reported a revenue of 653 million yuan, a year-on-year decrease of 7.82%, and a net profit attributable to shareholders of only 20.09 million yuan, down 76.5% [3][4]. - The outdoor business generated 538 million yuan in revenue, a decline of 10.51%, while the chip business saw revenue of 115 million yuan, an increase of 7.4%, but significantly lower than the previous year's explosive growth of 590.93% [3][4]. Subsidiary Performance - The two core subsidiaries are experiencing a "polarized" situation: Beijing Chip Energy reported revenue of only 142,000 yuan with a net loss of 3.03 million yuan, while G2Touch's revenue was 90.12 million yuan, down from 94.06 million yuan, with net profit plummeting by 80.23% [4][5]. Capital Raising Concerns - Just three days before the financial report, the company announced a plan to raise up to 1.93 billion yuan, entirely for supplementing working capital, which has raised questions about the necessity of this capital raise given the company's current cash reserves of nearly 1 billion yuan [6][7]. - The company's low debt levels and strong cash position have led to skepticism regarding the rationale behind the capital increase, especially since the offering price is significantly lower than the current market price [6][7]. Strategic Direction - The company has attempted to integrate its outdoor and chip businesses by launching smart outdoor equipment, indicating a shift towards combining technology with outdoor products [9]. - Despite these efforts, there are ongoing concerns about the maturity of the self-developed chip technology and its acceptance in the consumer market, which remain unresolved [9].