Group 1: Company Overview - Wuhan Junheng is a high-tech enterprise specializing in the R&D, production, and sales of optical communication products, including optical modules, AOC, and optical engines [2][4] - Established in 2012, Wuhan Junheng was one of the first companies to adopt COB technology and has transitioned from customized applications to standardized civilian markets [2][4] Group 2: Core Advantages - Wuhan Junheng has accumulated rich process experience in high-density and high-precision optical path design, particularly in automatic coupling manufacturing [4] - The company has developed a series of self-researched devices for silicon optical coupling, enhancing production efficiency and product quality while reducing costs [4] - Long-term collaboration with major clients has allowed Wuhan Junheng to refine product design and manufacturing processes, establishing a competitive product system with high performance and cost-effectiveness [4] Group 3: Production and Market Strategy - In 2025, Wuhan Junheng anticipates a significant increase in the shipment of 400G and 800G products due to rising demand for high-speed optical modules, particularly from data centers and AI technologies [5] - Current production capacity is saturated, with monthly capacity exceeding 100K units at both Wuhan and Malaysia factories, with plans to expand to 200-300K units per month [5] Group 4: International Market Focus - Currently, overseas revenue accounts for less than 50% of total income, with plans to gradually increase global market share through the establishment of a factory in Malaysia [6] - While not exclusively focused on overseas markets, they recognize it as a significant growth direction [6] Group 5: Product Development - Wuhan Junheng has made progress in the copper cable sector, particularly in high-speed copper cables (e.g., DAC, AEC), achieving bulk shipments of 800G DAC and launching the AEC series [7] - Demand for single-mode fibers is expected to continue rising, especially in data centers and applications requiring long-distance, high-speed transmission [7] Group 6: Shareholding Plans - In February 2025, Huylv Ecological acquired a 51% controlling stake in Wuhan Junheng, with future plans for remaining shares to be considered based on performance, market conditions, and strategic planning [7]

Financial Performance - In 2024, the company achieved a revenue of CNY 1.253 billion, representing a year-on-year growth of 12.5% [4] - Overseas business revenue reached CNY 974 million, with a year-on-year increase of 22.1%, accounting for 78% of total revenue [4][6] - The overall gross margin improved to 24.1%, up by 1 percentage point, while the overseas gross margin reached 26.5%, an increase of 1.2 percentage points [4] Business Strategy - The company plans to expand its international business by establishing overseas subsidiaries and offices, targeting markets in Asia-Pacific, Middle East, Europe, South America, and Southeast Asia [2][9] - Domestically, the focus will be on strengthening core channels and project coverage, while exploring opportunities in commercial and consumer display sectors [3][16] Product Development - The company is integrating AI technology into its products, enhancing user experience with smart features [5] - It has developed a diverse range of COB products, establishing a competitive edge in the small-pitch display market [5][6] Market Trends - The COB display technology is entering a phase of rapid commercialization, with a projected compound annual growth rate (CAGR) of over 20% from 2025 to 2029 [15] - By 2028, COB displays are expected to account for 45% of the small and micro-pitch market, with a global market size exceeding CNY 30 billion [15][16] ESG Initiatives - The company has incorporated ESG principles into its product design and production, achieving over 50% energy savings with its PSE energy-saving products [7] - It received the "ESG100 Green Development Award - Annual Corporate Governance Award" for its outstanding performance in the ESG field [7] Shareholder Engagement - The company repurchased 12,208,100 shares, representing 2.91% of its total share capital, demonstrating management's confidence in future growth [8] - A third equity incentive plan was implemented, benefiting 275 core employees with 16 million restricted stock grants [8]