Group 1 - The company is collaborating with Nintendo, focusing on the supply of backlight modules for the Switch 2, with the primary settlement currency being USD. The appreciation of RMB may impact the company's exchange gains and losses [1][3] - After the reduction, the shareholding ratio of Jinfuyuan No. 5 Fund has decreased to 4.5958%, no longer qualifying as a major shareholder (5% or more), thus not required to disclose shareholding changes [1][3] Group 2 - Investors inquired about the company's stock performance amidst a rising market, questioning the impact of USD depreciation on potential exchange losses and future profits [3] - The company confirmed that the recent reduction in shareholding by Jinfuyuan No. 5 Fund means that any further reductions do not require announcements, and there are no new reductions reported from this shareholder [1][3]

Group 1: Financial Performance and Projections - The company experienced a slight decline in revenue in Q1, attributed to delayed purchases and shipments, with expectations for growth in the upcoming half-year report [3][7] - The projected profit growth for 2025 is expected to exceed revenue growth due to strategic planning [7] - The total dividend payout for 2024 is expected to maintain a ratio of over 30% relative to net profit, despite lower overall profits [5] Group 2: Production Capacity and Investment - The company’s original drug production capacity is not meeting expectations primarily due to market changes rather than funding issues [1][2] - The production line for the herbicide Sulfentrazone has been launched, with updates available through company announcements [2] - The company plans to enhance its production capacity in the future, with a focus on strategic investments [9] Group 3: Market Strategy and Management - The company is shifting its management approach from strategic control to operational control for better oversight of global subsidiaries [5][6] - The company aims to improve its gross profit margins by increasing the proportion of higher-margin products and expanding into more profitable markets [9] - The company is committed to maintaining a diverse product portfolio to facilitate one-stop procurement for customers [8] Group 4: Investor Relations and Communication - The company conducts quarterly earnings calls and engages in various investor activities to enhance communication with stakeholders [8] - The company encourages feedback from investors regarding its investor relations activities and is open to suggestions for improvement [8] - The company has launched a WeChat public account to provide timely and accurate information to investors [9]

Core Insights - The company reported a revenue of 13.296 billion yuan for 2024, a year-on-year increase of 15.77%, but a decline in net profit attributable to shareholders by 41.63% to 450 million yuan [1] - The agricultural protection industry is nearing a bottom, with product prices continuing to decline but at a slower rate than in 2023 [2] - The company is expanding its global marketing network, with a significant increase in revenue from its To C business model [3] Financial Performance - In Q4 2024, the company achieved a revenue of 3.511 billion yuan, a year-on-year increase of 18.38%, but a quarter-on-quarter decrease of 14.44% [1] - For Q1 2025, the company reported a revenue of 2.686 billion yuan, a slight year-on-year decrease of 0.26% and a quarter-on-quarter decrease of 23.49% [1] - The gross profit margins for herbicides, insecticides, and fungicides decreased in 2024 due to falling product prices, with respective declines of 0.7 percentage points, 6.0 percentage points, and 0.1 percentage points [2] Cost and Expenses - Sales expenses increased by 51.1% to 654 million yuan in 2024, primarily due to higher overseas employee salaries and increased consulting, travel, advertising, and export credit insurance costs [2] - Financial expenses rose significantly due to increased foreign exchange losses, impacting the company's overall performance [2] - In Q1 2025, the gross margin decreased by 0.8 percentage points to 19.3% year-on-year, but improved by approximately 1.1 percentage points compared to Q4 2024 [2] Market Expansion - The company has established six manufacturing bases and over 110 subsidiaries globally, operating in more than 100 countries [3] - By the end of 2024, the company held over 7,700 pesticide registration certificates, with 1,000 new registrations obtained during the year [3] - Revenue from the company's To C business model reached 5.01 billion yuan in 2024, a year-on-year increase of 28.9%, with its revenue share rising by 3.8 percentage points to 37.65% [3] Profit Forecast - Due to the decline in agricultural product prices and increased expenses, the company's 2024 performance was below previous expectations [4] - The profit forecast for 2025-2027 has been adjusted upwards, with expected net profits of 979 million yuan, 1.228 billion yuan, and 1.520 billion yuan respectively [4]