Group 1 - The core viewpoint of the article highlights that Wharton Technology's ultra-pure water membrane products are technologically advanced and have stable performance, making them suitable for high-end manufacturing fields such as semiconductor chips, which require high water quality [2] - The company has received market recognition for its ultra-pure water membrane products, indicating a positive reception and potential demand in the industry [2] Group 2 - The ultra-pure water membrane products are already mature and have been successfully applied in industries with stringent water quality requirements [2] - The interaction with investors on the platform reflects the company's commitment to transparency and engagement with stakeholders [2]

Core Viewpoint - Wharton Technology (000920) has confirmed that its ultra-pure water membrane products are technologically advanced, stable in performance, and have been successfully applied in high-end manufacturing fields such as semiconductor chips, which require high water quality standards [1] Group 1 - The ultra-pure water membrane products are recognized in the market for their advanced technology and stable performance [1] - The products have matured in application within industries that demand stringent water quality, particularly in semiconductor manufacturing [1]

Group 1: Company Performance and Growth - The company has maintained profit growth driven by continuous improvement in technology and product quality, leading to steady development in diverse application scenarios and promoting domestic substitution processes [2]. - Compared to explosive growth in some industries, the company's membrane performance growth is relatively stable, as customers prioritize product quality stability, brand reputation, and service over price [2]. - The domestic market remains the primary source of sales revenue, with significant demand in industrial processes such as water treatment and liquid separation [3]. Group 2: Product Specifications and Market Strategy - The production capacity is measured in square meters, referring to the core membrane area, while the final product sold to customers is measured in "pieces" as it is rolled into membrane elements [3]. - Different application fields have varying performance requirements for membrane elements, resulting in a price gradient; high-performance membranes for seawater desalination and semiconductor industries have higher price points due to technical barriers [3].

Group 1 - The core viewpoint of the article is that Wharton Technology (000920.SZ) has indicated that its ultra-pure water business currently accounts for a small proportion of overall revenue, but the gross margin of its ultra-pure water membrane products is higher than the average gross margin of the company's membrane products [1] Group 2 - The ultra-pure water industry has high technical and quality requirements for membrane products [1] - The company’s ultra-pure water series membrane products have a gross margin that exceeds the average gross margin of its other membrane products [1]

Group 1: Production Capacity and Expansion - The company's production capacity utilization rate was already high last year, and future expansion plans will focus on optimizing production scheduling and upgrading production lines to further tap into production potential [2] - The investment project in Nanjing is currently in the planning stage, undergoing environmental impact assessment approval [2] Group 2: Profitability and Product Structure - The gross margin for household membrane products is significantly lower than that of industrial membrane products, but the increasing sales proportion of high-end industrial products positively impacts overall gross margin [2] - Currently, industrial membranes account for over 70% of the business, with household membranes making up the remainder. The growth rate in the industrial membrane sector is expected to outpace that of household membranes due to ongoing advancements in reverse osmosis technology and domestic substitution processes [3] Group 3: Sales Performance and Market Distribution - The average price of membrane products has significantly increased in 2023, primarily due to product structure optimization, with a higher sales volume of high-value industrial membrane products [4] - The sales volume of membrane components has decreased significantly due to changes in product structure, with an increased share of industrial membranes [5] - Domestic sales focus on regions with water resource scarcity and heavy industry, such as North China, Central China, the Yangtze River Delta, and the Pearl River Delta. Exports account for approximately 30% of total sales, while domestic sales make up about 70% [5] Group 4: International Market and Pricing Trends - The overseas market is primarily distributed across Asia, Southeast Asia, the Middle East, North Africa, Central Europe, Eastern Europe, and South America. The company's low reliance on the U.S. market means that changes in U.S.-China trade relations have minimal impact [6] - The long-term trend for product prices is downward, with future price increases unlikely for conventional products. The company aims to enhance value through new product launches, differentiated competition strategies, and customized R&D for specific applications [6] Group 5: Membrane Separation Engineering Business - The membrane separation engineering business has faced growth constraints due to macroeconomic conditions affecting potential clients' project funding and payment capabilities. The company is cautious about such projects [7] - The company prefers to undertake projects with technical barriers that demonstrate its technological strength, although these projects represent a small proportion of the overall market [7] - The positioning of the membrane separation engineering business is to contribute revenue while also serving the expansion and demonstration of membrane technology applications, ensuring basic profitability while meeting demonstration requirements [7]

Group 1: Financial Performance - The company's Q4 revenue significantly increased compared to Q3, primarily due to the recognition of revenue from membrane separation engineering projects concentrated in Q4 [1] Group 2: Production and Operations - The company has its headquarters and production base in Guiyang, with a marketing center in Beijing responsible for overseas markets and northern region distributor management [1] - The company has reserved expansion space in its existing production base and is capable of quickly initiating new production line construction based on market demand [6] Group 3: Product Applications - The company's membrane products are widely used in various industries, including food and beverage, medical pharmaceuticals, municipal water treatment, industrial high-purity water, boiler make-up water, seawater desalination, ultra-pure water for electronics, wastewater treatment and reuse, high-salinity wastewater zero discharge, material concentration and purification, and new energy [2] - The company has achieved significant technological advantages in the industrial high-purity water preparation and material concentration and purification sectors, with its products being at the domestic leading and internationally advanced levels [3] - In the semiconductor ultra-pure water sector, the company is in the early stages of domestic material substitution and is actively collaborating with application enterprises to accelerate the localization process [4] Group 4: Supply Chain and Raw Materials - The company is actively promoting the localization of raw materials and implementing a diversified procurement strategy, maintaining normal cooperation with existing imported material suppliers and establishing a complete emergency plan to ensure supply chain security [5] Group 5: Trade Policies - The company continuously monitors changes in international trade policies and actively implements national trade policies, with the impact of tariff countermeasures depending on various factors, such as duration [7]

Group 1: Financial Performance - The company's membrane business gross margin has slightly increased due to ongoing cost reduction and efficiency improvement efforts, optimizing supply chain management, and enhancing production efficiency through line upgrades and process improvements [1] - The net cash flow from investing activities in the annual report decreased compared to the same period last year, primarily due to increased fixed asset investments [2] Group 2: Production Capacity - The company completed the construction and commissioning of a new production line during the reporting period, with an actual membrane product capacity of 32.06 million square meters in 2024, achieving a capacity utilization rate of 116.90% [1] - There is sufficient expansion space in the company's industrial park, and future expansion plans will depend on market demand, with no constraints on sales from production capacity [1] Group 3: Market Expansion - The company is actively expanding its overseas market, with overseas sales expected to account for over 20% of total sales in 2024 [2] - The sales ratio of industrial membranes to household membranes is approximately 7:3 in 2024 [2]