Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company's Q2 2025 performance met expectations, with a revenue of 226 million yuan, a year-on-year increase of 1.92%, and a quarter-on-quarter increase of 11.19%. However, the net profit attributable to shareholders decreased by 15.72% year-on-year [7] - The company is recognized as a leader in the micro-motor industry, with long-term growth potential due to its competitive advantages in technology research and development, cost control, customer coverage, product expansion, and capacity layout [7] Financial Performance Summary - In Q2 2025, the company achieved total revenue of 428 million yuan, a year-on-year decrease of 7.46%, and a net profit of 85 million yuan, a year-on-year decrease of 26.79% [7] - The gross margin for Q2 2025 was 31.05%, down 5.15 percentage points year-on-year, primarily due to price reductions from downstream customers [7] - The company’s operating expenses ratio for Q2 2025 was 10.34%, a decrease of 1.19 percentage points quarter-on-quarter [7] Earnings Forecast and Valuation - The forecast for net profit attributable to shareholders for 2025-2027 has been adjusted to 215 million yuan, 264 million yuan, and 326 million yuan respectively, with corresponding EPS of 1.92 yuan, 2.36 yuan, and 2.91 yuan [7] - The price-to-earnings ratio for 2025-2027 is projected to be 43.59 times, 35.41 times, and 28.69 times respectively [7]