Summary of the Conference Call for Xiyeg股份 Company Overview - Xiyeg股份 is a leading player in the tin, indium, copper, and zinc industry, with advanced mining and processing technologies and a significant market share [3][12]. Financial Performance - In the first three quarters of 2025, the net profit reached 1.97 billion yuan, a year-on-year increase of nearly 36% [2][4]. - Return on Equity (ROE) was 8.75%, up approximately 2 percentage points year-on-year [2][4]. - Net asset size increased to 22 billion yuan, growing about 5% from the beginning of the year [2][4]. - Operating cash flow net amount was 3.2 billion yuan, a year-on-year increase of nearly 30% [2][4]. Production and Cost Management - The planned tin production for 2025 is 24,000 tons, with balanced quarterly production [2][5]. - Cost pressures arose from declining ore grades, mining rights transfer income, and resource tax impacts, but cost increases have been somewhat mitigated through reforms [2][5]. - The smelting segment faced profitability pressure due to low processing fees for copper and tin, but high self-sourcing ratios and favorable sulfuric acid prices helped offset some negative impacts [6]. Supply and Demand Dynamics - The supply side remains tight, with reduced imports of Wa State tin into China, leading to a competitive mining environment and declining processing fees [2][8]. - Despite expectations of Wa State's resumption of production, actual metal quantities entering China remain low, with only 500-800 tons per month as of September, indicating no substantial improvement in supply-side issues [8][10]. - Factors supporting rare metal prices include global tin resource scarcity, declining quality, limited new mining projects, and insufficient secondary resource supply elasticity [9][10]. Strategic Planning - The "14th Five-Year Plan" is focused on stabilizing smelting capacity unless raw material guarantees are clear, with limited expansion space due to current profitability challenges in the smelting business [11]. - The company is the only one in the industry with a processing and re-export policy, ensuring full-capacity production [12][13]. Competitive Advantages - Xiyeg股份 has significant competitive advantages, including rich resource endowments, leading technology in mining and processing, and a large market share both domestically and internationally [12][13]. - The company has increased overseas raw material procurement to ensure full-capacity operations, contributing to its strong performance [13]. Industry Outlook - The overall outlook for tin prices is positive due to strong demand driven by AI development and increased electronic product usage, despite potential pressures from traditional consumption [10].

Core Viewpoint - The A-share market is experiencing high volatility, and investors are focusing on strategic positioning to achieve excess returns while controlling risks [1] Group 1: Fund Performance - The Guangfa Balanced Growth Fund has shown strong performance with a one-year return of 55.03%, outperforming its benchmark by 23.89% [1] - The fund's maximum drawdown since inception is 12.59%, which is lower than the over 15% drawdown of the CSI 300 Index and the Wind Mixed Equity Fund Index [1] - The fund's Sharpe ratio is 2.05, placing it in the top 1% among 4180 mixed equity funds [1] Group 2: Fund Manager and Strategy - Yang Dong, the fund manager, has 19 years of experience and focuses on top-down industry selection followed by bottom-up stock selection [2] - The fund's portfolio is diversified across various industries, with significant allocations in electronics, communications, and innovative pharmaceuticals [2] - The top ten holdings account for 41.18% of the fund's net asset value, with individual stock weights ranging from 1% to 2% [2] Group 3: Future Outlook - Yang Dong is optimistic about the A-share market, highlighting three trends: the growth of industries like AI and electronics, a shift in asset allocation towards equities and funds, and supportive policies that may stabilize the market [3]