Group 1: Economic Overview - The GDP growth rate for the first half of the year is 5.3%, driven by structural optimization in industries, with high-tech manufacturing value added increasing by 9.5% and equipment manufacturing by 10.2% [1] - Domestic demand is contributing more significantly to economic growth, with final consumption expenditure's contribution rising by 0.6 percentage points to 52.3% in Q2 [1] - Infrastructure investment from January to June increased by 4.6% year-on-year, while manufacturing investment rose by 7.5%, indicating effective fiscal policy support [1] Group 2: Chemical Industry Insights - Dow's closure of its UK organic silicon plant is expected to reduce overseas polysiloxane capacity from 106 million tons in 2024 to 91.5 million tons by 2026 [3][34] - The closure of Dow's UK plant, which accounts for 30% of Europe's organic silicon capacity, is likely to enhance China's export share to Europe, with an estimated 8.7 million tons of DMC production potentially representing 88% of China's exports to Europe in 2024 [3][35] - China's organic silicon demand is projected to grow at a CAGR of 15.5% from 2021 to 2024, with prices expected to rise as supply-demand dynamics improve [34] Group 3: Construction and Infrastructure - Cement demand is stabilizing, with production in the first half of 2025 at 815 million tons, down 4.3% year-on-year, while prices have decreased by 43 yuan per ton compared to the previous year [4] - The issuance of long-term special government bonds is anticipated to support infrastructure investment, which is expected to remain high in the second half of the year [6] Group 4: Medical Device Market - The total bid amount for medical devices in June 2025 reached 12.618 billion yuan, a 30% year-on-year increase, indicating a recovery in the bidding market [18][36] - Domestic brands like Mindray and United Imaging are seeing significant growth in bid amounts, with Mindray's total for June reaching 623 million yuan, up 15% year-on-year [18][36] Group 5: E-commerce and AI Applications - The company reported a 20% increase in net profit for the first half of 2025, driven by a robust platform growth and the introduction of AI applications for order acquisition [19][22] - The e-commerce segment has become a new growth engine, with transaction volumes increasing significantly, and the company is also entering the robotics sector through strategic partnerships [22][25] Group 6: Investment Recommendations - Recommended stocks include Xin'an Chemical, with a focus on companies benefiting from the closure of Dow's UK plant and the expected increase in China's export share [3][35] - The report suggests continued investment in high-growth sectors such as urban renewal, coal chemical, nuclear power, and steel structures, while also considering undervalued state-owned enterprises [6]

记者了解到，本届链博会，境外参展商占比从首届的26%上升到35%。美国参展商数量比上届增长 15%，其中60%是世界500强企业。 而作为黄仁勋眼中的"下一代AI浪潮"，中国的人形机器人正在成为全球市场上的明星。 7月16日，美国英伟达公司创始人兼首席执行官黄仁勋脱去标志性的皮衣，换上一身唐装，在第三届链 博会开幕式上用中文演讲，并以"奇迹"一词盛赞中国供应链。这一幕成为了当前众多外企积极参与链博 会、深耕中国市场的一个注脚。 在人头攒动的英伟达展台，来自银河通用、加速进化、智平方等中国科创企业的机器人集体亮相，吸引 了不少观众驻足观看表演。 这也是黄仁勋今年第三次来华，镜头闪烁之间，他充分肯定了中国人工智能技术和人才对于全球科技产 业的贡献。此前，宣布恢复H20芯片对华供应的英伟达市值大增，充分显示全球投资者对中国市场的信 心。 在第三届链博会上，既有像苹果这样连续参加三届的"回头客"，也有230多家像英伟达这样首次参展 的"头回客"。在展馆的"健康生活链"展区，美国美敦力公司首次参展，特意展示了首款"中国制造、服 务全球"的心脏起搏导管产品。这背后是美敦力对中国市场的充分信心。美敦力全球高级副总裁及大中 ...

Group 1 - The company has decided to abolish the supervisory board and transfer its responsibilities to the audit committee of the board of directors [1][2] - The proposal to cancel the supervisory board and amend the articles of association will be submitted for approval at the company's first extraordinary general meeting of shareholders in 2025 [1][2] - The internal control systems related to the supervisory board will be abolished, and corresponding amendments will be made to the articles of association and the rules of procedure for the general meeting of shareholders [1][2] Group 2 - The amendments to the articles of association aim to improve the corporate governance structure and enhance compliance with relevant laws and regulations [2] - Specific amendments include changes to the legal representative's role, the company's registered capital, and the rights and obligations of shareholders [2][4] - The new articles of association will ensure that the company operates in accordance with the latest legal requirements and best practices [2][4]

Core Viewpoint - The company plans to increase its estimated daily related party transaction limit for 2025, which is deemed necessary for its normal business operations and will not affect its independence or harm the interests of shareholders [1][2][3] Daily Related Party Transactions - The board of directors and independent directors have approved the increase in the estimated daily related party transaction limit, with a total expected amount of 9.5516 million yuan (excluding tax) for transactions with ISDI LIMITED [2][3] - The increase is based on normal business operations and market pricing, ensuring fair pricing and no adverse impact on the company's financial condition or operational results [2][3] Transaction Details - The estimated amount for the daily related party transactions is 9.5516 million yuan, which represents 3.91% of the total expected transactions for the year [4] - Previous related party transactions with ISDI included sales and purchases, with actual amounts significantly lower than the previously estimated amounts [5] Related Party Information - ISDI LIMITED is a private limited company established in 2010, with a registered capital of 1,172.574 GBP and a focus on the development and sale of CMOS-X ray detectors and CMOS image sensors [6] - The company has a stable business relationship with ISDI, which is necessary for its operational needs [7] Purpose and Impact of the Transactions - The increase in the estimated daily related party transaction limit is essential for the company's business development and production operations, aligning with the interests of the company and all shareholders [6][7] - Transactions with related parties are conducted under normal market conditions, ensuring compliance with commercial practices and maintaining the company's independence [7]

Core Points - The internal audit system of Jiangsu Kangzhong Digital Medical Technology Co., Ltd. aims to standardize internal audit work, enhance quality, protect investor rights, and promote sustainable development [2][4] Group 1: General Principles - The internal audit is defined as an evaluation activity conducted by internal personnel to assess the effectiveness of internal controls, risk management, and the authenticity and completeness of financial information [4] - The internal audit department operates under the leadership of the board's audit committee and is responsible for reporting its work to the committee [3][4] Group 2: Responsibilities and Authority - The internal audit department has the authority to request relevant documents, review financial statements, inspect computer systems, and investigate any obstruction to the audit process [5][6] - Internal auditors are required to adhere to professional ethics, remain objective, and are protected by law from retaliation [5][7] Group 3: Audit Duties and Content - The internal audit department is responsible for evaluating the integrity and effectiveness of internal controls, auditing financial data for legality and compliance, and assisting in establishing anti-fraud mechanisms [6][8] - Reports on internal audit findings must be submitted to the audit committee at least quarterly, and a comprehensive report is required at the end of each fiscal period [6][8] Group 4: Audit Procedures - The internal audit process includes planning, notifying the audited unit, and conducting the audit using various methods to gather sufficient evidence [10] - Audit reports are drafted and sent to the audited unit for feedback, and follow-up audits are conducted to ensure compliance with audit recommendations [10][9] Group 5: Audit Requirements - Internal auditors must possess relevant professional knowledge and experience, and the company must ensure their ability to perform their duties without interference [7][8] - Any violations of laws or internal regulations must be reported promptly, and auditors are responsible for the accuracy of their reports [8][9] Group 6: Rewards and Penalties - The company will hold accountable any unit or individual responsible for significant violations of financial laws, and internal auditors who face retaliation can report to management [10][10] - Internal auditors demonstrating diligence and integrity will be rewarded, while those abusing their power will face disciplinary actions [10][10]

Core Points - The document outlines the external guarantee management measures of Jiangsu Kangzhong Digital Medical Technology Co., Ltd to protect investor interests and regulate the company's guarantee behavior [1] - The company aims to control asset operation risks and promote stable development in accordance with relevant laws and regulations [1] Chapter 1: General Principles - The external guarantee refers to the guarantees provided by the company for others, including guarantees for its subsidiaries [1] - All external guarantees must be managed uniformly by the company and require approval from the board of directors or shareholders [1] Chapter 2: Guarantee and Management Section 1: Guarantee Objects - The company can provide guarantees for entities with independent legal status that meet specific conditions, including those with significant business relationships with the company [2] - All guarantee applicants must have strong debt repayment capabilities [2] Section 2: Guarantee Management Functions and Approval Procedures - The finance department is responsible for managing guarantees, and must assess the credit status of the guarantee applicants before approval [2][3] - The approval process requires a thorough analysis of the applicant's financial status and relevant documentation [2] Section 3: Guarantee Review and Decision Authority - The board of directors must carefully review the financial status and creditworthiness of guarantee applicants [3][4] - Certain guarantees require submission to the shareholders' meeting for approval if they exceed specified thresholds related to the company's net assets [4] Section 4: Signing Guarantee Contracts - Guarantee contracts must comply with legal norms and be reviewed by legal counsel if necessary [5][6] - The company must ensure that all obligations in the guarantee contracts are clearly defined [6] Chapter 3: Guarantee Risk Management Section 1: Management Before Creditors Assert Claims - The board of directors and finance department are responsible for managing guarantee behaviors and monitoring the repayment obligations of the guaranteed parties [7] - Any significant changes in the financial status of the guaranteed parties must be reported to the finance department [7] Section 2: Management When Creditors Assert Claims - The company must initiate recovery procedures if the guaranteed party fails to fulfill its obligations [8] - The company should not assume guarantee responsibilities without board approval if there are ongoing disputes [8] Chapter 4: Responsibilities of Responsible Persons - Company directors and management personnel are liable for damages caused by unauthorized guarantee contracts [9] - Departments that violate regulations or fail to perform their duties may face penalties and compensation responsibilities [9] Chapter 5: Supplementary Provisions - The terms used in the document align with those in the company's articles of association [9] - The document becomes effective upon approval by the board of directors [9]

Core Viewpoint - The document outlines the selection and appointment procedures for accounting firms by Jiangsu Kangzhong Digital Medical Technology Co., Ltd, emphasizing the importance of maintaining shareholder interests and ensuring high-quality audit work and financial information. Group 1: General Principles - The purpose of the selection system is to standardize the appointment of accounting firms, protect shareholder interests, and improve audit quality [1] - The term "selection of accounting firms" refers to the hiring of firms to provide audit opinions and reports on financial statements [1] Group 2: Requirements for Accounting Firms - Selected accounting firms must possess relevant qualifications as per national regulatory authorities and the China Securities Regulatory Commission [2] - Firms should have a stable workplace, sound organizational structure, and effective internal management and control systems [2] - A good record of audit quality and the ability to undertake associated risks are essential [2] - Firms must comply with financial auditing laws and possess registered accountants capable of ensuring audit quality [2] Group 3: Selection Procedures - The selection process requires approval from the audit committee and the board of directors, followed by a decision from the shareholders' meeting [2] - The audit committee is responsible for overseeing the selection process and ensuring compliance with internal controls [2] - Competitive negotiation, public bidding, and other methods must be used to ensure a fair selection process [3] Group 4: Evaluation Standards - The evaluation criteria for accounting firms include audit fees, qualifications, performance records, quality management, and resource allocation [4] - Quality management must account for at least 40% of the evaluation score, while audit fees should not exceed 15% [4] - The company should not set a maximum price unless justified in the selection documents [4] Group 5: Audit Fee Adjustments - Audit fees can be adjusted based on changes in consumer price index, average wage levels, and business complexity [5] - If audit fees decrease by 20% or more compared to the previous year, the company must disclose the reasons and details in its information disclosure documents [5] Group 6: Supervision and Reporting - The audit committee must evaluate the performance of the accounting firm annually and report to the board of directors [6] - Any changes in accounting firms must be disclosed, including reasons and communication with previous firms [6] - The company must maintain records of all selection and evaluation documents for at least 10 years [7] Group 7: Miscellaneous Provisions - In case of inconsistencies with laws or regulations, the relevant legal provisions will prevail [8] - The board of directors is responsible for interpreting the selection system [8] - The system takes effect upon approval by the board of directors [8]

Core Viewpoint - The company is considering a non-binding proposal to restructure its CRM business by merging it with the operations of MicroPort Cardiac Rhythm Management, aiming to enhance competitiveness and create long-term value for stakeholders [1][2] Group 1: Business Overview - The company, along with its subsidiaries, is a leading medical device group focused on the innovation, manufacturing, and sales of high-end medical devices globally, with business segments including cardiovascular intervention, orthopedic medical devices, CRM, and others [1] - The CRM business is dedicated to developing global leading CRM solutions, primarily involved in the research, manufacturing, and sales of products for diagnosing, treating, and managing arrhythmias and heart failure, including pacemakers, defibrillators, and cardiac resynchronization therapy devices [1] Group 2: Strategic Benefits of the Merger - The merger of the two businesses will help establish a cardiac product platform, offering a diversified product line that includes CRM products and structural heart disease solutions, enhancing the company's global market development capabilities [2] - By merging the two businesses, the company aims to create synergies that will expand the scale and growth potential of the combined operations, improving revenue, profitability, and cash flow [2] - The unified financial management resulting from the merger will enhance capital efficiency and fundraising capabilities, while promoting the diversified product platform in international markets to increase recognition of the related value and growth potential [2]

Group 1 - The company is considering a non-binding proposal for a strategic restructuring of its CRM business to enhance internal resource integration and improve competitiveness [1] - The CRM business will potentially merge with the operations of MicroPort Cardiac Rhythm Management Co., Ltd., a non-wholly owned subsidiary listed on the Hong Kong Stock Exchange [1] - The company is a leading medical device group focused on the innovation, manufacturing, and sales of high-end medical devices globally, with various business segments including cardiovascular intervention and CRM [1] Group 2 - The CRM business aims to develop leading global CRM solutions, focusing on the research, manufacturing, and sales of products for diagnosing, treating, and managing arrhythmias and heart failure [1] - The product offerings include pacemakers, defibrillators, cardiac resynchronization therapy devices, and associated lead products, along with monitoring product combinations [1] - The structural heart disease business under MicroPort Cardiac Rhythm Management focuses on innovative transcatheter solutions and aims to provide advanced comprehensive solutions for treating structural heart diseases [2]

Financial Data and Key Metrics Changes - In Q2 2025, worldwide sales reached $23.7 billion, reflecting a 4.6% increase despite a headwind from Stellara [23][24] - Net earnings for the quarter were $5.5 billion, with diluted earnings per share of $2.29, compared to $1.93 a year ago [24] - Adjusted net earnings were $6.7 billion, with adjusted diluted earnings per share of $2.77, representing a decrease of 2.1% year-over-year [25][32] Business Line Data and Key Metrics Changes - Innovative Medicine reported worldwide sales of $15.2 billion, increasing by 3.8% despite an 11.7% headwind from Stellara [25][26] - MedTech achieved worldwide sales of $8.5 billion, growing by 6.1%, with strong performance in cardiovascular, surgery, and vision [29][30] - In oncology, DARZALEX grew by 21.5%, while CARVICTI saw over 100% growth [26][27] - Tremfya in immunology grew by 30.1%, while Stellara declined by 43.2% due to biosimilar competition [28] Market Data and Key Metrics Changes - U.S. sales growth was 7.6%, while international sales saw a decline of 1.6% due to Stellara biosimilars and COVID-19 vaccine impacts [25][26] - Cardiovascular segment delivered over 22% operational sales growth, driven by new product performance [17][29] - Surgical vision grew by 8.9%, supported by strong performance in contact lenses and intraocular lenses [21][30] Company Strategy and Development Direction - The company aims to become the number one oncology company by 2030, targeting over $50 billion in sales [10][11] - Focus areas for growth include oncology, immunology, neuroscience, cardiovascular, surgery, and vision, with a commitment to innovation [8][12] - The company plans to launch several new products and expand its pipeline, including TAR200 for bladder cancer and icotrokinra for psoriasis [47][48] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving and potentially exceeding growth targets for 2025, driven by strong performance in both Innovative Medicine and MedTech [36][39] - The company anticipates an acceleration in operational sales growth in the second half of the year, supported by new product launches and market share gains [40][46] - Management highlighted the importance of navigating external challenges, including tariffs and competition, while maintaining a focus on innovation and market leadership [88] Other Important Information - The company ended Q2 with $19 billion in cash and marketable securities and $51 billion in debt, resulting in a net debt position of $32 billion [38] - The effective tax rate for the quarter was 14.7%, down from 18.5% in the previous year [33] - The company is committed to investing $55 billion in the U.S. over the next four years, driven by favorable tax policies [39] Q&A Session Summary Question: Drivers of upside to guidance for the year - Management indicated that both Innovative Medicine and MedTech contributed to strong performance, with notable growth in oncology and cardiovascular segments [52][53] Question: Oncology target of $50 billion by the end of the decade - Management expressed confidence in achieving this target, citing strong growth in multiple myeloma and the potential of TAR200 for bladder cancer [68][71] Question: Guidance for operational growth and operating margin improvement - Management expects 2026 to show better growth rates than 2025, with ongoing efforts to improve operating margins [81][83] Question: Impact of pharma tariffs and manufacturing capacity - Management acknowledged uncertainty regarding tariffs but emphasized ongoing investments in U.S. manufacturing and job creation [88]