Core Viewpoint - The major shareholder of Zhengzhou Suda Industrial Machinery Service Co., Ltd. plans to reduce its stake in the company through a structured share reduction plan over the next 90 days, which may impact the stock's market performance [3][7]. Group 1: Shareholder Reduction Plan - The shareholder, Shanghai Qiyun Investment Management Co., Ltd., holds 7,499,979 shares, representing 9.87% of the total share capital, and intends to reduce its holdings by up to 760,000 shares (1%) through centralized bidding and up to 1,520,000 shares (2%) through block trading within the specified period [3][4]. - The reduction period is set from December 11, 2025, to March 10, 2026, and any changes in the company's share structure during this time will adjust the reduction amounts accordingly [3][4]. Group 2: Shareholder Commitments - Qiyun Investment has committed to not transferring or managing its shares for 12 months following the company's initial public offering, ensuring compliance with relevant laws and regulations [4][5]. - The shareholder has also pledged to adhere to the agreed reduction ratios and pricing, with any violations resulting in financial penalties to the company [5][6]. Group 3: Compliance and Governance - The shareholder does not fall under any disqualifying conditions as per the Shenzhen Stock Exchange's regulations regarding share reductions, ensuring that the planned reduction aligns with regulatory requirements [6][7]. - The company’s board will monitor the shareholder's compliance with legal obligations and timely information disclosure throughout the reduction process [7].

Group 1 - The stock of SuDa Co., Ltd. fell by 4.66% on November 17, with a trading volume of 273 million yuan [1] - On the same day, the financing buy amount for SuDa was 36.06 million yuan, while the financing repayment was 22.88 million yuan, resulting in a net financing buy of 13.17 million yuan [1] - As of November 17, the total financing and securities lending balance for SuDa was 82.44 million yuan, which accounts for 4.19% of its circulating market value, indicating a high level compared to the past year [1] Group 2 - SuDa Co., Ltd. is located in Zhengzhou, Henan Province, and was established on July 7, 2009, with its listing date set for September 3, 2024 [2] - The company's main business revolves around hydraulic supports for coal mining equipment, providing services such as repair and remanufacturing, spare parts supply management, and second-hand equipment rental and sales [2] - The revenue composition of SuDa includes: repair and remanufacturing (42.21%), spare parts supply management (23.83%), fluid connection products (15.27%), second-hand equipment rental and sales (11.77%), specialized total package services (6.33%), and others (0.59%) [2] Group 3 - As of November 10, the number of shareholders for SuDa was 9,572, with an average of 4,741 circulating shares per person, showing no change from the previous period [2] - For the period from January to September 2025, SuDa reported an operating income of 724 million yuan, a year-on-year decrease of 14.52%, and a net profit attributable to the parent company of 75.34 million yuan, down 32.89% year-on-year [2] Group 4 - SuDa Co., Ltd. has distributed a total of 42.10 million yuan in dividends since its A-share listing [3]

Core Viewpoint - The company reported a decline in revenue and profit for the first three quarters of 2025, primarily due to cyclical fluctuations in the coal industry, which led to reduced demand for maintenance services [5] Financial Performance - The company's revenue for Q1, Q2, and Q3 of 2025 showed year-on-year changes of -40.37%, -11.74%, and -14.52% respectively [5] - The net profit attributable to shareholders for the same periods decreased by -64.85%, -48.87%, and -32.89% respectively [5] - As of now, the company has an execution order amounting to approximately 365 million yuan [5] Management Actions - In response to the declining performance, the company has implemented measures such as enhancing customer development, contract signing, and accounts receivable collection, as well as strengthening internal cost control [5] - The company plans to continue focusing on multi-level customer development, improving accounts receivable recovery, expanding non-coal and overseas business, and controlling costs [5] Board Meeting - The company's fourth board meeting was held on October 24, 2025, with all six directors present, and it was deemed legally valid [9][10] - The board approved the Q3 2025 report, confirming that the report's preparation complied with relevant laws and accurately reflected the company's situation without any false statements or omissions [10][11]

Core Insights - On September 11, Suda Co., Ltd. experienced a slight increase in stock price by 0.05%, with a trading volume of 34.24 million yuan [1] - The company reported a net financing outflow of 1.57 million yuan for the same day, with total financing and margin trading balance reaching 66.64 million yuan [1][2] Financing Overview - On September 11, Suda Co., Ltd. had a financing purchase amount of 3.15 million yuan, with a current financing balance of 66.64 million yuan, accounting for 3.46% of the circulating market value [2] - There were no shares sold or repaid in the margin trading segment on the same day, resulting in a margin balance of 0 yuan [2] Company Profile - Suda Co., Ltd. is located in Zhengzhou, Henan Province, and was established on July 7, 2009, with its listing date on September 3, 2024 [2] - The company's main business focuses on hydraulic supports for coal mining equipment, providing services such as maintenance, remanufacturing, spare parts supply management, and second-hand equipment rental and sales [2] - The revenue composition includes: maintenance and remanufacturing (42.21%), spare parts supply management (23.83%), fluid connection products (15.27%), second-hand equipment rental and sales (11.77%), specialized contracting services (6.33%), and others (0.59%) [2] Financial Performance - For the first half of 2025, Suda Co., Ltd. reported an operating income of 503 million yuan, a year-on-year decrease of 11.74%, and a net profit attributable to shareholders of 40.35 million yuan, down 48.87% year-on-year [3] - The number of shareholders increased by 4.88% to 9,387, with an average of 4,834 circulating shares per person, an increase of 127.74% [3] Dividend Information - Since its A-share listing, Suda Co., Ltd. has distributed a total of 42.10 million yuan in dividends [4]

Core Viewpoint - The company plans to establish a wholly-owned subsidiary in Hong Kong and subsequently another in Australia to expand its overseas business, particularly in industrial machinery and after-market services for coal and engineering machinery [20][24]. Company Overview - The company is named Zhengzhou Suda Industrial Machinery Service Co., Ltd. and is focused on industrial machinery services [20]. Board Meeting and Resolutions - The board of directors held a meeting on August 28, 2025, where all members were present, and several key resolutions were passed, including the approval of the 2025 semi-annual report and the establishment of overseas subsidiaries [10][11][15]. Financial Data and Investment Plans - The total investment for the overseas subsidiaries is capped at RMB 160 million, which represents 10.43% of the company's audited net assets for 2024 [20][24]. - The investment will be funded by the company's own resources and is not expected to adversely affect its main business or financial health [28]. Purpose and Impact of Investment - The investment aims to enhance the company's international market presence, improve service efficiency, and leverage local market advantages in Australia, which is a significant player in the coal industry [25][26][27]. - Establishing a presence in Australia is expected to reduce delivery times for parts and services, thereby increasing customer satisfaction and loyalty [25]. Regulatory Compliance - The investment does not constitute a related party transaction or a major asset restructuring as defined by relevant regulations [21]. - The company will adhere to all necessary local and international regulatory requirements for establishing the subsidiaries [21][29]. Fund Management and Usage - The company has established a management system for the raised funds, ensuring they are stored in dedicated accounts and used in compliance with regulatory standards [34][35]. - As of June 30, 2025, the company had four dedicated accounts for managing the raised funds [35]. Summary of Financial Activities - The company raised RMB 608 million through a public offering, with a net amount of RMB 525.71 million after deducting related costs [34]. - The company has also engaged in cash management with idle funds, generating investment returns [37]. Conclusion - The company's strategic move to establish subsidiaries abroad aligns with its long-term growth objectives and is expected to enhance its competitive edge in the global market [24][28].

Group 1 - The company's stock (code: 001277, name: Suda Co., Ltd.) experienced abnormal trading fluctuations for three consecutive trading days in August 2025, as per the regulations of the Shenzhen Stock Exchange [1] - The company conducted an investigation regarding the abnormal trading and confirmed that there are no undisclosed significant information that could impact the stock price [1][2] - The board of directors confirmed that there are no matters that should have been disclosed according to the Shenzhen Stock Exchange's listing rules that have not been disclosed, nor any significant matters under planning [1]

Core Viewpoint - The legal opinion letter confirms that the second extraordinary general meeting of shareholders of Zhengzhou Suda Industrial Machinery Service Co., Ltd. was convened and conducted in accordance with relevant laws and regulations, ensuring the legality and validity of the meeting and its resolutions [2][4][5]. Group 1: Meeting Procedures - The meeting was convened based on the resolution of the company's fourth board of directors' tenth meeting and followed the notification and announcement procedures as required [2][3]. - The meeting combined on-site voting and online voting, held on July 14, 2025, at the company's industrial park in Zhengzhou [3]. Group 2: Attendance and Qualifications - A total of 44 shareholders and authorized agents attended the meeting, holding 46,994,234 shares, which accounted for 61.8345% of the total voting shares [4]. - The qualifications of the attendees and the convenor of the meeting were verified to be in compliance with the relevant laws and the company's articles of association [4]. Group 3: Voting Procedures and Results - The meeting passed several resolutions, including amendments to the company's articles of association and various internal rules, with significant support from shareholders [5][7][11]. - Specific voting results included: - For the amendment of the articles of association, 46,979,334 shares voted in favor, representing 100% of the votes cast [5]. - For the amendment of the shareholder meeting rules, 46,977,034 shares voted in favor, also representing 100% of the votes cast [7]. - For the amendment of the independent director working rules, 46,977,034 shares voted in favor, again representing 100% of the votes cast [8]. Group 4: Conclusion - The legal opinion concludes that all procedures related to the convening and conducting of the meeting, as well as the qualifications of attendees and the voting process, complied with the Company Law and relevant regulations, affirming the legality and validity of the resolutions passed [12][13].

Summary of the Conference Call for Su Da Industrial Machinery Service Co., Ltd. Company Overview - **Company Name**: Su Da Industrial Machinery Service Co., Ltd. - **Industry**: Industrial infrastructure aftermarket service solutions provider Key Points and Arguments 1. **Financial Performance**: In 2024, Su Da reported a revenue of 1.167 billion yuan and a net profit of 140 million yuan, with a cash flow from operating activities of 160 million yuan [2][5][6] 2. **Expansion of Service Network**: The company successfully launched the Shuozhou Remanufacturing and Repair Center, enhancing local service capabilities and establishing a network of five remanufacturing and repair centers [2] 3. **Product Development**: Continuous investment in new product development led to the introduction of high-end background products and new safety protection products, achieving stable growth and positive customer feedback [3] 4. **Revenue Growth in Non-Ferrous Sector**: Revenue from the non-ferrous sector increased to 97 million yuan, supported by a mature sales network and improved product quality [3] 5. **Green Development Initiatives**: The company has been recognized as a national green factory and a smart factory in Henan Province, reflecting its commitment to sustainable practices [3] 6. **Intellectual Property**: Su Da has applied for and received 88 patents, including 12 invention patents, demonstrating its focus on innovation [3][7] 7. **Strategic Partnerships**: The company is engaging with leading firms like Jingneng Holdings and Luoan Chemical to enhance customer loyalty and support the coal industry's transformation [3] 8. **Future Growth Strategies**: Plans to leverage opportunities in coal mine automation and circular economy development, while expanding into engineering machinery and agricultural machinery sectors [4] 9. **Talent Development**: In 2024, the company trained over 2,000 employees and recruited 161 new talents, emphasizing the importance of employee development [7][8] 10. **Digital Transformation**: Su Da has implemented various digital projects, achieving comprehensive digital transformation and enhancing operational efficiency [8] Additional Important Information - **Dividend Policy**: The company declared a dividend of 4.06 yuan per 10 shares, with a cumulative dividend rate of 30% [5] - **New Client Acquisition**: Successfully developed new clients, including major coal groups, resulting in sales revenue of 140 million yuan from new clients [6] - **Recognition and Awards**: The company received multiple honors, including recognition as a high-tech enterprise and a benchmark for digital transformation in Henan Province [6] - **Focus on Remanufacturing Technology**: Significant advancements in remanufacturing technology, including the development of stainless steel welding wire materials, enhancing durability and wear resistance [6][7] This summary encapsulates the key insights from the conference call, highlighting Su Da's financial performance, strategic initiatives, and future growth prospects in the industrial machinery service sector.