Core Viewpoint - The company is entering into a capital reduction agreement with its joint venture partners, aiming to reduce the registered capital from RMB 31.78 million to RMB 15 million, which will result in the company no longer holding any equity in the joint venture [1] Financial Implications - The capital reduction will provide the company with a financial return of RMB 30 million, enhancing liquidity [1] - The transaction is expected to optimize the company's portfolio and capital recovery strategy by reallocating capital from non-core joint ventures to higher strategic priority areas [1] Strategic Benefits - The reduction of equity in non-core joint ventures will lower the risk exposure and earnings volatility associated with these investments, thereby improving the overall risk profile and resilience of the company [1] - The move will free up management time and operational focus previously dedicated to the joint venture, allowing the company to concentrate on its main operational and growth plans [1]

Core Viewpoint - The company announced a capital reduction agreement for its joint venture, aiming to decrease registered capital from RMB 31.78 million to RMB 15 million, resulting in the company no longer holding any equity in the joint venture after the completion of the capital reduction [1] Financial Implications - The capital reduction will provide the company with financial benefits, including a cash return of RMB 30 million, enhancing liquidity [1] - The transaction is expected to optimize the company's portfolio and capital recovery strategy by reallocating capital from non-core joint ventures to higher strategic priority areas with anticipated returns [1] Strategic Benefits - The capital reduction will lower the risk exposure and revenue volatility associated with non-core joint ventures, thereby improving the overall risk profile and resilience of the company [1] - It will free up management time and operational focus previously dedicated to the regulated joint venture, allowing the company to concentrate on its main operations and growth plans [1]