Core Viewpoint - Wangli Security's high dividend payout raises concerns about its long-term capital accumulation ability, as the company has a cash dividend payout rate exceeding its net profit for several years [1][2] Group 1: Financial Performance - Wangli Security plans to raise up to 300 million yuan for its smart window project, with a net dividend payout of 308 million yuan from 2022 to 2024, despite a total net profit of only 150 million yuan during the same period [1] - The company reported a net loss of 43 million yuan in 2022 but still distributed 88 million yuan in dividends, leading to a payout ratio of 241.28% in 2023, which significantly exceeds its net profit [1][2] Group 2: Governance and Shareholder Rights - The company's strategy of high dividends followed by a fundraising plan has been criticized as neglecting the interests of minority shareholders, as the top ten shareholders hold over 70% of the shares [2] - The disparity between dividend payments and R&D investment, which was only 78 million yuan in 2024, raises concerns about the company's long-term competitiveness [2] Group 3: Future Outlook - The success of Wangli Security's fundraising efforts will depend on the efficiency of the smart window project's capacity and technological breakthroughs in its smart lock business [2] - Investors are advised to monitor the growth rate of smart lock revenue in 2025 and the gross margin improvement in the Central China region, as the traditional lock industry approaches saturation [2]