Core Viewpoint - The company’s wholly-owned subsidiary, Hangzhou Hetai Conveying Equipment Co., Ltd., has successfully passed the high-tech enterprise re-certification, allowing it to enjoy tax benefits for the next three fiscal years [1][2]. Group 1: Company Announcement - Hangzhou Hetai Conveying Equipment Co., Ltd. has been included in the list of high-tech enterprises for the year 2025 by the Zhejiang Provincial Certification Authority [1]. - The re-certification is a renewal of the previous high-tech enterprise certificate, which has expired [1]. - The new certificate was issued on December 19, 2025, with the certificate number GR202533003339 [1]. Group 2: Financial Impact - The company will benefit from a reduced corporate income tax rate of 15% for the fiscal years 2025 to 2027 due to its high-tech enterprise status [1]. - The re-certification will not affect the previously disclosed financial data for 2025, as the company has already filed tax returns at the 15% rate [2]. - The re-certification is expected to have a positive impact on the operational development of Hangzhou Hetai Conveying Equipment Co., Ltd. [2].

Financial Performance - The company achieved an operating income of 250.81 million yuan in 2024, a year-on-year decrease of 34.96% [2] - Net profit for the year was 57.54 million yuan, down 49.47% compared to the previous year, influenced by reduced government subsidies and increased costs [3] Strategic Development - The company aims to become a leading international manufacturer of material handling equipment, focusing on both industrial and capital strategies [3] - Key products include bucket elevators and belt conveyors, which are applicable in various industries such as cement, ports, steel, and power [3] Market Outlook - The company reported a 30% year-on-year increase in new orders despite weak demand in the downstream cement industry [5] - The current price-to-earnings ratio (TTM) is 45.84, significantly higher than the industry average, prompting management to enhance internal value and competitiveness [5] Industry Standards - The company has successfully established a group standard for "Bucket Elevators for the Cement Industry," effective from May 1, 2025, contributing to industry standardization [5] Future Plans - The company has postponed its fundraising project but will continue to implement plans cautiously, with updates to be announced [5] - The company anticipates that its environmentally friendly and efficient material handling products will benefit from the "Belt and Road" initiative, promoting long-term growth in domestic and international markets [5]