Group 1 - Company Junhe Precision expects a net profit of 49.3 million to 53 million yuan for the first half of 2025, representing a year-on-year increase of 46.61% to 57.61% [1] - Company Yingtan plans to reduce its shareholding by a total of 2.79%, with specific reductions from major shareholders and executives due to funding needs [1][2] - Company EFORT W.F.C. Holding plans to sell 22% of its stake in GME Aerospace for 6 million euros, reducing its ownership from 48.99% to 19.76% [2] - Company Huada Jiutian has terminated its major asset restructuring plans due to a lack of consensus on key terms among parties involved [3] - Company Shankai Intelligent is planning a change in control, leading to a temporary suspension of its stock trading [3] Group 2 - Company TCL Technology anticipates a revenue of 82.6 billion to 90.6 billion yuan for the first half of 2025, with a net profit increase of 81% to 101% [5][6] - Company TCL Zhonghuan expects a net loss of 4 billion to 4.5 billion yuan for the first half of 2025, worsening from the previous year [6] - Company Lvtianhua forecasts a net profit decline of 62.64% to 73.85%, estimating a profit of 3.5 million to 5 million yuan [8] - Company Zhongke Jincai expects a net loss of 75 million to 105 million yuan, representing a decline of 51.43% to 112% [9] - Company AVIC Heavy Machinery anticipates a net profit decrease of approximately 33.29% for the first half of 2025 [11] Group 3 - Company Jiangbolong reports that the National Integrated Circuit Industry Investment Fund has reduced its stake to below 5% [13] - Company Erlu Si plans to reduce its shareholding by up to 1% due to personal funding needs [14] - Company Zhonghua Rock intends to reduce its shareholding by up to 0.46% for personal funding reasons [15] - Company Jiekang Equipment plans to reduce its shareholding by up to 1% due to personal funding needs [15] - Company Jianzhijia's actual controller plans to increase its shareholding by 50,000 to 100,000 shares [16] Group 4 - Company Jinshi Resources has had a lawsuit terminated after the plaintiff withdrew their case, which had sought 90 million yuan in damages [18] - Company Huaye Fragrance plans to reduce its shareholding by up to 3% due to personal financial arrangements [19] - Company Zhaobiao plans to reduce its shareholding by a total of 0.54% due to personal funding needs [20] - Company Shenkai plans a full takeover offer at 16.13 yuan per share for 8659 million shares, representing 57.73% of its issued shares [21] - Company Suqian Liansheng plans to reduce its shareholding by a total of 6.03% due to personal funding needs [22]

Core Viewpoint - The supply side of non-financial enterprises in the A-share market is still in a bottoming phase, with both inventory and capacity remaining weak, but there are signs of marginal recovery on the demand side [1][3][6]. Supply Side Analysis - The supply side is characterized by weak replenishment and expansion intentions, with inventory growth for Q1 2025 at -1.63% year-on-year and stock growth at -4.46%, both showing declines compared to 2024 [1][3]. - The capacity utilization rate for Q1 2025 is at 2.32, down 0.04 from 2024, marking 12 consecutive quarters of decline since mid-2022 [3]. - Expansionary capital expenditure for Q1 2025 has a year-on-year decline of 20.69%, the first negative value since 2018, indicating weak investment intentions among listed companies [3]. Industry Focus - Key industries to focus on include those with relatively tight supply and good profitability, those that have shown signs of recovery from the bottom, and those still on the left side of the turning point but entering the later stages of clearing [1][10]. - Specific industries identified for potential support to performance include metal products, broiler farming, entertainment products, and gaming, with only the entertainment products sector showing high levels of expansionary capital expenditure [1][70]. Detailed Industry Breakdown Cyclical Sector - Industries with tight supply include those with high capacity utilization and low inventory, indicating potential for profitability improvement [12]. - Industries at the bottom include construction materials, chemicals, and photovoltaic power, which are experiencing supply structure optimization [12][25]. Manufacturing Sector - Tight supply industries include cable components, photovoltaic auxiliary materials, and metal products, with low expansionary capital expenditure [26][40]. - Bottomed industries include the new energy chain and military electronics, which are likely to face hard constraints on future production capacity [26][37]. Consumer Sector - Tight supply industries include broiler farming and entertainment products, with the latter showing high expansionary capital expenditure [41][54]. - Bottomed industries include pharmaceuticals and food processing, with signs of marginal improvement in capacity utilization and profitability [41][49]. TMT Sector - Tight supply industries include gaming, with low expansionary capital expenditure, indicating hard constraints on future supply [55][69]. - Industries at the bottom include electronic components and security equipment, with potential for recovery in capacity utilization and profitability [55][63].

Core Viewpoint - The article discusses the trend of "anti-involution" in various industries as reflected in the capital expenditure to depreciation ratio, indicating a shift towards more conservative investment strategies in response to market conditions [1]. Group 1: Lithium Battery Industry - The lithium battery industry has seen a significant reduction in the capital expenditure to depreciation ratio, dropping from 5.17 in 2022 to 2.37 in 2023, and further to a historical low of 1.77 in 2024, indicating a controlled expansion of capacity [1][2]. - In Q1 2025, major companies like CATL reported a 6.19% revenue growth, while EVE Energy experienced a 37.34% increase, confirming the industry's recovery [2]. Group 2: Silicon Material and Wafer Industry - The silicon material and wafer industry has drastically reduced its capital expenditure to depreciation ratio from 4.1 in 2023 to 1.94 in 2024, marking a historical low due to significant losses [4][5]. - Leading company Tongwei Co. reported an 18.58% revenue decline in Q1 2025, with a negative gross margin of -2.88%, indicating ongoing challenges in the industry [5]. Group 3: Special Steel Industry - The special steel industry saw its capital expenditure to depreciation ratio decrease from 0.93 in 2023 to 0.57 in 2024, suggesting a contraction in capacity but still maintaining profitability among major players [7]. - In 2024, China imported 2.555 million tons of special steel, valued at $5.248 billion, highlighting ongoing demand in high-end steel products [7]. Group 4: Organic Silicon Industry - The organic silicon industry experienced a decline in its capital expenditure to depreciation ratio from 6.98 in 2023 to 1.76 in 2024, indicating a slowdown in capacity expansion [10]. - In Q1 2025, leading company Hoshine Silicon reported a gross margin drop to 14.62%, the lowest in its history, reflecting the industry's ongoing struggles [10]. Group 5: Titanium Dioxide Industry - The titanium dioxide industry faced low prices in 2024, with a capital expenditure to depreciation ratio of 0.78, indicating a contraction in capacity [12]. - Leading company Longbai Group showed signs of stabilization in Q1 2025, with a slight recovery in gross margin, although demand remains uncertain due to external factors [12]. Group 6: Coking Industry - The coking industry is experiencing significant challenges, with a capital expenditure to depreciation ratio of 1.18 in 2024, despite being at a historical low price point [16]. - Leading company Shanxi Coking has reported negative gross margins for ten consecutive quarters, indicating persistent difficulties in the sector [16]. Group 7: Glass Fiber Industry - The glass fiber industry reported a capital expenditure to depreciation ratio of 1.45 in 2024, down from 2.3 in the previous year, suggesting a nearing of historical lows [17]. - Major player China Jushi saw a substantial increase in revenue and net profit in Q1 2025, indicating a clear recovery trend [17]. Group 8: Inorganic Salt Industry - The inorganic salt industry faced continuous price declines, with a capital expenditure to depreciation ratio of 1.06 in 2024, indicating a contraction in capacity [21]. - Leading company Sinochem International reported a gross margin of 9.48% in Q1 2025, the lowest since its listing, reflecting ongoing challenges [21]. Group 9: Inverter Industry - The inverter industry has seen a significant drop in its capital expenditure to depreciation ratio from previous years, now at 4.43 in 2024, indicating a slowdown in expansion [23]. - The industry is experiencing a divergence, with leading companies like Sungrow continuing to perform well, while smaller firms face losses [23].