Financial Data and Key Metrics Changes - Consolidated revenues increased by 7.1% year-over-year to $783 million, with organic growth of 6.3% [7][15] - Adjusted EBITDA grew by 18.6% to $217 million, with an adjusted EBITDA margin of 27.7%, up 270 basis points from the previous year [8][18] - Adjusted net income rose by 14.4% to $119 million, with adjusted diluted earnings per share increasing to $0.56 from $0.49 [18][19] Business Line Data and Key Metrics Changes - **Industrial Segment**: Revenues increased by 8.2% to $343 million, with organic growth of 7.3%. Adjusted EBITDA rose by 16% to $123 million, and the adjusted EBITDA margin improved to 35.9% [19][20] - **Consumer Segment**: Revenues reached $340 million, up 5.9% overall and 5.3% organically. Adjusted EBITDA increased by 12.9% to $70 million, with a margin of 20.6% [20][21] - **Software and Advisory Segment**: Revenues grew by 7.5% to $100 million, with organic growth of 6.5%. Adjusted EBITDA surged by 60% to $24 million, with a margin of 24% [21][22] Market Data and Key Metrics Changes - Strong demand was noted across all geographic markets, with particular growth in the U.S., Greater China, and ASEAN regions [54][56] - Significant growth was observed in Vietnam, Thailand, and India, while traditional markets like Germany, Japan, and Taiwan experienced slight contractions [45][56] Company Strategy and Development Direction - The company is focusing on transformative industry trends such as energy transition, electrification, and digital transformation to drive sustainable growth [5][12] - A restructuring initiative was announced to streamline operations, reduce expenses, and focus on core growth areas, which is expected to generate annual savings of $25 million to $30 million [12][24] - The company is committed to ongoing investments in capacity and capabilities to meet customer demands [27][70] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the resilience of the business model, citing sustained customer demand despite geopolitical and regulatory challenges [5][13] - The full-year 2025 guidance was strengthened, with expectations for organic revenue growth in the range of 5.5% to 6% [25][28] - The company anticipates a modest headwind in 2026 due to exiting non-strategic service lines, but overall growth rates for core businesses are expected to remain stable [78][108] Other Important Information - The company launched a new artificial intelligence safety certification testing program to address safety concerns in AI technologies [30][31] - A significant investment was made in a Global Fire Science Center of Excellence to enhance testing capabilities [11][70] Q&A Session Summary Question: Impact of customer focus in China on business - Management noted that customers are adapting to a new normal regarding tariffs and supply chain diversification, indicating a return to business as usual [35][36] Question: Performance of Software and Advisory segment - The strong performance was attributed to the completion of numerous advisory projects, leading to high staff utilization [39][40] Question: Growth dynamics across regions - Growth was observed in all regions, with particular strength in the U.S. and Greater China, especially in data center-related sectors [54][56] Question: Details on restructuring plan - The restructuring will focus on exiting non-strategic service lines, allowing for a more concentrated effort on core growth areas [48][49] Question: Future M&A appetite - The company remains disciplined and active in pursuing M&A opportunities, focusing on timing and quality [113][114]

Core Insights - The report released by the China Consumer Quality Safety Promotion Association and Tianfang Biao Testing Certification Co., Ltd. indicates that China's down jacket standards are now on par with international standards, with several indicators even being more stringent [1][2] - The comparison study highlights that China's down products have more detailed classification and product standard requirements compared to foreign standards, which are often limited to down label standards [1] - Key indicators such as down content, oxygen consumption, cleanliness, and residual fat rate show that China's standards surpass those of the US, Canada, Europe, and Australia, ensuring better quality and performance of domestic down jackets [1] Industry Analysis - A study conducted from April 2022 to September 2025 on 32,000 down jackets revealed a high pass rate for Chinese down jackets, indicating their competitiveness with international brands [2] - Consumers are advised to purchase down jackets from legitimate channels and pay attention to product execution standards, particularly focusing on down content and fill power [2]

Core Viewpoint - The legal opinion from Beijing Deheng (Shenzhen) Law Firm confirms that Shenzhen Xince Standard Technology Service Co., Ltd. is qualified to implement its 2025 Employee Stock Ownership Plan (ESOP) in compliance with relevant laws and regulations [3][20]. Group 1: Company Overview - Shenzhen Xince Standard Technology Service Co., Ltd. is a legally established joint-stock company listed on the Shenzhen Stock Exchange with stock code 300938 [6][20]. - The company was originally established as Shenzhen Xince Electromagnetic Technology Co., Ltd. and was renamed in December 2003, transitioning to a joint-stock company in February 2013 [5][6]. Group 2: Employee Stock Ownership Plan (ESOP) Details - The ESOP aims to raise a total of up to 34.78 million yuan, with each unit priced at 1 yuan, and a maximum of 34.78 million units available for subscription [8][10]. - The plan includes participation from company directors (excluding independent directors), supervisors, senior management, and key personnel, with a total of 3,478,000 shares allocated, representing 1.32% of the company's total share capital [9][12]. - The funding sources for the ESOP will be employees' legal salaries and self-raised funds, with no financial assistance provided by the company [8][12]. Group 3: Legal Compliance and Procedures - The company has adhered to necessary legal procedures for the ESOP, including obtaining employee representative opinions and passing relevant resolutions at the employee representative assembly [15][21]. - The legal opinion confirms that the ESOP complies with the guidelines and operational regulations set forth by the relevant authorities, ensuring no insider trading or market manipulation occurs [11][20]. - The ESOP's management will be overseen by a management committee, ensuring the protection of participants' rights and interests [10][14]. Group 4: Information Disclosure - The company has fulfilled its information disclosure obligations regarding the ESOP, including announcements of the plan and related resolutions [18][21]. - Further disclosures will be made as the ESOP progresses, in accordance with legal and regulatory requirements [18][21].