Group 1 - The company expects to achieve a profit attributable to equity holders of approximately RMB 1 million to 3 million for the six months ending June 30, 2025, compared to approximately RMB 15.03 million for the six months ending June 30, 2024 [1] - The decrease in profit is primarily due to uncertainties in trade policies and weak domestic consumption, leading to intensified competition in the paper and paper products packaging industry [1] - Although the sales volume of the paper segment increased by over 10% year-on-year, the sales prices of both raw paper products and paper packaging products fell significantly by over 8% compared to the same period last year [1] Group 2 - The price of major raw material, waste paper, increased by approximately 4% year-on-year, contributing to a decline in overall gross margin by about 5% compared to the previous year [1] - The company has implemented management optimization and strict cost control measures, resulting in a year-on-year decrease in period expenses of approximately 2% [1] - The net profit margin only decreased by approximately 1.3% year-on-year, aided by revenue from the sale of old renovation properties in the paper division [1]

Core Viewpoint - Zhengye International (03363.HK) expects a significant decline in profit attributable to equity holders, projecting earnings between RMB 1.0 million and RMB 3.0 million for the six months ending June 30, 2025, compared to RMB 15.03 million in the same period last year [1] Financial Performance - The decrease in profit is primarily attributed to uncertainties in trade policies and weak domestic consumption, leading to intensified competition in the paper and paper products packaging industry [1] - Although the sales volume in the paper segment increased by over 10% year-on-year, the sales prices for both raw paper products and paper packaging products fell by more than 8% compared to the previous year [1] - The price of major raw material, waste paper, rose by approximately 4% year-on-year, contributing to a decline in overall gross margin by about 5% compared to the same period last year [1] Cost Management - In response to operational challenges, the company has enhanced management optimization and strictly controlled various cost expenditures, resulting in a year-on-year decrease in period expenses of approximately 2% [1] - The paper division's sales from the renovation of old materials generated additional income, leading to a smaller decline in net profit margin of only about 1.3% compared to the previous year [1]

Core Viewpoint - The company, Shanying International Holdings Co., Ltd., has announced a share repurchase plan, reflecting confidence in its future development and intrinsic value, while aiming to protect shareholder interests and mitigate share dilution from convertible bonds [2][3]. Summary by Relevant Sections Share Repurchase Plan - The company has received a loan commitment of up to 300 million yuan from the Bank of China Anhui Branch for share repurchase, with a loan term of 36 months [2]. - The board approved a share repurchase plan with a total fund of no less than 500 million yuan and no more than 1 billion yuan, at a maximum price of 2.50 yuan per share, within a 6-month period [2][3]. - The estimated number of shares to be repurchased ranges from 200 million to 400 million, representing approximately 3.66% to 7.31% of the total share capital [3]. Financial Performance Context - The company reported a revenue of 29.229 billion yuan, a slight decrease of 0.35% year-on-year, and a net loss of 451 million yuan [3]. - The share repurchase is seen as a positive signal in the context of the company's challenging operational environment [3][4]. Industry Outlook - The paper industry faces challenges such as raw material price fluctuations and changing market demand [4]. - The share repurchase is expected to enhance the company's competitiveness in the industry and attract long-term investors, providing stable funding for future development [4].