Group 1: Profit Improvement Measures - The company plans to enhance profitability by increasing the R&D and production of high-value-added products, narrowing the competitive gap with leading enterprises through differentiated products to raise prices and gross margins [2] - Continuous reduction of procurement costs will be implemented through strategic purchasing, product substitution, and optimizing inventory management [2] - The company aims to expand its sales radius and reduce cross-regional transportation costs by exploring regional cooperation [2] - Smart transformation of production processes and refined management will optimize personnel and equipment efficiency, improving capacity utilization [2] Group 2: Response to Anti-Dumping Investigations - The company is accelerating market expansion into Southeast Asia, South Asia, the Middle East, South America, and Africa to reduce reliance on the Korean market [2] - Product differentiation and upgrades are being prioritized, with a focus on developing high-end products with higher strength, better corrosion resistance, and precise dimensional tolerances for international markets [2] Group 3: Major Asset Restructuring - The company disclosed a major asset restructuring plan in June 2023, which may significantly increase the proportion of related party sales, potentially impacting its independent operational capabilities [2] - Further feasibility and compliance assessments of the restructuring plan are ongoing, with the company committed to timely information disclosure as developments occur [2] Group 4: Convertible Bonds and Financing - The company is focusing on market value management to enhance profitability and improve management efficiency through professional integration and major asset restructuring [3] - Preparations for the repayment of maturing convertible bonds are underway, alongside efforts to expand financing channels, with sufficient credit and low financing costs [3] Group 5: Raw Material Procurement - Approximately 50%-60% of the company's iron ore is sourced through group procurement, while coking coal and coke are primarily procured through long-term contracts with domestic mines, supplemented by local coal [3]

Core Viewpoint - Both Huaying Technology and AOC Technology reported declines in revenue and net profit for the first half of 2025, reflecting challenges in the display panel industry due to market competition and external factors [1]. Huaying Technology - Huaying Technology achieved operating revenue of 721.18 million yuan, a year-on-year decrease of 16.59%, and a net profit loss of 476.48 million yuan [2][3]. - The revenue from module business was approximately 184 million yuan, down 50.78%, while panel business revenue was about 535 million yuan, up 9.73% [3]. - The company focused on high-value product development, transitioning towards automotive displays and industrial control screens to enhance competitiveness [4]. - Huaying's subsidiary, Huajiacai, secured 350 million yuan through a financing lease, which will support its display panel operations without affecting production [4]. AOC Technology - AOC Technology reported total revenue of 24.94 billion yuan, a decline of 6.93%, and a net profit loss of 492.21 million yuan [5][6]. - The company's display sales increased by 2.04% to 19.51 million units, while the overall global monitor market saw a 3.20% increase in shipment volume [6]. - Despite a 0.74% decline in monitor business revenue to 15.70 billion yuan, the television segment faced a 21.62% revenue drop to 7.15 billion yuan due to significant price declines [7]. - AOC plans to continue investing in large-size and new display technologies while enhancing retail marketing strategies to improve market resilience [7].