Core Viewpoint - The company held an investor briefing on July 2, 2025, to discuss its 2024 annual and 2025 Q1 performance, focusing on strategic development and the acquisition of RunTian Industrial [1][2]. Group 1: Company Strategy and Acquisition - The company's future strategic direction emphasizes the development of tourism products, aiming to strengthen its position in the tourism goods sector and leverage high-quality cultural tourism resources in Jiangxi [3]. - The acquisition of RunTian Industrial, a leading player in the bottled water sector, aligns with the company's strategic goals and is seen as a significant step towards enhancing its product offerings and market presence [3][4]. - If the acquisition is successful, the "RunTian" brand will become a key asset for the company, facilitating a comprehensive service model in the cultural tourism consumption sector [4]. Group 2: Financial Performance and Future Plans - The company is focused on improving its overall revenue and plans to apply for the removal of risk warnings after fulfilling regulatory requirements [4]. - The company aims to enhance synergy between its existing business and RunTian Industrial in areas such as product development, marketing, and resource management [5]. - Future plans include leveraging the acquisition to stabilize existing operations while exploring new market opportunities and improving operational efficiency [5][6]. Group 3: Investor Engagement and Communication - The company expressed gratitude to investors for their support and encouraged ongoing communication through various channels [6]. - The company committed to transparent information disclosure regarding the acquisition process and other strategic developments [6].

Core Viewpoint - The recent merger and acquisition plan between Guolv Cultural Investment Group Co., Ltd. and RunTian Industrial Co., Ltd. represents a strategic move to enhance quality and optimize structure in response to national policies aimed at fostering new productive forces in the economy [1][8]. Company Overview - RunTian Industrial is a leading company in the packaged drinking water industry in Jiangxi Province, recognized as one of the "Top Ten Consumer Brands" and "Leading Enterprises" in the region, with a strong brand presence and a national distribution network covering 22 provincial-level administrative regions [2][3]. - The company has achieved significant sales milestones, with its "RunTian Cui" natural selenium mineral water series being the national sales champion for three consecutive years (2022-2024) and ranking among the top ten in China's packaged drinking water and natural mineral water sectors in 2024 [2]. Financial Performance - RunTian Industrial is projected to achieve revenues of approximately 1.15 billion yuan and 1.26 billion yuan in 2023 and 2024, respectively, reflecting a year-on-year growth of about 9.4% [3]. - The company is expected to report net profits of approximately 147.25 million yuan and 176.75 million yuan for the same years, alongside operating cash flows of 222.50 million yuan and 182.65 million yuan, indicating strong financial health and operational efficiency [3]. Strategic Synergy - The merger is anticipated to enhance Guolv's financial status and market resilience by integrating RunTian's stable cash flow from the drinking water sector with Guolv's high-value tourism services, thereby optimizing revenue structure and operational efficiency [4][5]. - The collaboration will allow both companies to leverage shared resources in procurement, production, and sales, effectively reducing operational costs and expanding profit margins [4]. Market Opportunities - The merger aligns with national policies aimed at boosting domestic consumption, with the government planning to invest over 500 billion yuan in consumer infrastructure upgrades by 2025 [6][7]. - The consumer sector is expected to experience a new growth phase, supported by favorable policies and a recovering economic backdrop, which will benefit the combined entity's market positioning and growth potential [7]. Future Outlook - The acquisition is seen as a significant step in Jiangxi's state-owned enterprise reform, providing a model for financial synergy and value creation in the capital market [8]. - With the integration of RunTian's financial foundation and industry advantages, Guolv is poised to accelerate its transformation into a comprehensive service provider in the cultural and tourism consumption sector, injecting new vitality into regional economic development [8].