Core Viewpoint - Keeson Technology Corporation Limited reported a slight increase in revenue and net profit for the first half of 2025, indicating stable growth in the smart electric bed market driven by technological advancements and increasing consumer demand for health-oriented products [1][2][3]. Company Overview and Financial Indicators - Keeson Technology, established in 2005, is a leading manufacturer of smart electric beds and has a production capacity of one million units annually, making it one of the largest in the world [4][6]. - For the first half of 2025, the company reported operating income of approximately CNY 1.46 billion, a marginal increase of 0.07% compared to the same period last year [2][14]. - The total profit for the period was CNY 125.86 million, reflecting an 18.91% increase year-on-year [2][14]. - The net profit attributable to shareholders was CNY 105.66 million, up 24.18% from the previous year [2][14]. - The company's total assets decreased by 2.12% to approximately CNY 4.64 billion, while net assets increased by 1.62% to CNY 3.12 billion [2][14]. Industry Context - The smart furniture industry, particularly the smart electric bed segment, is experiencing significant growth, with a projected global market increase from USD 3.19 billion in 2024 to USD 4.62 billion by 2029, representing a compound annual growth rate (CAGR) of 8.9% [3][4]. - The demand for smart electric beds is driven by rising health awareness and the need for better sleep quality, especially in aging populations [4][5]. - The company is positioned to benefit from government policies supporting smart home products and the aging population's needs, which are expected to further stimulate market growth [3][4]. Product and Technology Development - Keeson Technology focuses on innovation, having developed proprietary technologies for smart electric beds that integrate health monitoring and sleep management features [4][5]. - The company has launched "AI Xiaoshu," an AI-driven sleep management system that enhances the functionality of smart beds, marking a shift from passive monitoring to active health management [8][9]. - Keeson has established partnerships with research institutions to enhance its R&D capabilities and maintain its competitive edge in the market [10][11]. Market Strategy and Expansion - The company is expanding its market presence both domestically and internationally, with a focus on enhancing brand recognition and customer engagement through various sales channels [12][14]. - Keeson has been recognized as the official smart bed supplier for major sporting events, which has significantly boosted its brand visibility [5][6]. - The company is also investing in new production facilities to increase its manufacturing capacity and improve supply chain stability [9][14].

Core Viewpoint - The company received an inquiry letter from the Shanghai Stock Exchange regarding its 2024 annual report, focusing on the recognition of Shanghai Shufude Digital Technology Co., Ltd. as a related party and the associated financial risks [1][2]. Financial Disclosure - The company reported a receivable balance of 94.79 million yuan from Shanghai Shufude, with a bad debt provision of 66.79 million yuan due to the risk of loss [1][2]. - The company recognized Shanghai Shufude as a related party, with expected transactions in 2025 amounting to 25 million yuan for raw material purchases, 160 million yuan for product sales, and 2 million yuan for related leasing [1][2]. Related Party Transactions - The company is required to disclose the equity structure and historical evolution of Shanghai Shufude, including any undisclosed potential related relationships or interests [2][3]. - The company confirmed that there are no undisclosed relationships or interests involving its controlling shareholders or actual controllers in the equity funding of Shanghai Shufude [8][10]. Business Operations - Shanghai Shufude was established in 2023, with a total registered capital of 30 million yuan, equally contributed by Zhao Yunfeng and Shanghai Qiaoxin Enterprise Management Co., Ltd. [4][5]. - The company aims to leverage Shanghai Shufude's management and marketing expertise to enhance its brand presence in the domestic market, particularly in the smart home sector [7][8]. Revenue and Sales - The company reported sales of smart beds and mattresses to Shanghai Shufude amounting to 83.05 million yuan in 2024, with a total receivable balance of 94.79 million yuan [12][14]. - The sales strategy includes a unified pricing policy to ensure consistency across all distributors, with a focus on preventing stockpiling by distributors [14][15]. Audit and Compliance - The annual audit confirmed that the transactions with Shanghai Shufude are necessary and reasonable, with no evidence of unfair pricing or conflicts of interest [10][11]. - The company has established internal controls to ensure compliance with accounting standards and to safeguard its interests in receivables from Shanghai Shufude [9][10].