Core Viewpoint - Hengli Drill Tools experienced a significant decline of 11.39% on July 31, with a trading volume turnover rate of 20%, indicating active trading and selling by major investors [1]. Group 1: Trading Activity - The top five buying institutions collectively purchased 66.06 million yuan, while the top five selling institutions sold 62.14 million yuan, resulting in a net inflow of 3.92 million yuan [1]. - The largest buying institution was Dongfang Caifu Securities, Lhasa Tuanjie Road No. 2 Securities Office, which bought 13.41 million yuan [1]. - The largest selling institution was also Dongfang Caifu Securities, Lhasa Tuanjie Road No. 2 Securities Office, which sold 15.09 million yuan, resulting in a net outflow of 1.68 million yuan [2]. Group 2: Detailed Trading Figures - The second largest buying institution was Dongfang Caifu Securities, Shannan Xiangqu East Road Securities Office, with purchases of 10.29 million yuan and sales of 4.92 million yuan, leading to a net inflow of 5.38 million yuan [2]. - The third largest buying institution was GF Securities, Zhuhai Shanchang Road Securities Office, which bought 10.20 million yuan and sold only 0.10 million yuan, resulting in a net inflow of 10.09 million yuan [2]. - Other notable selling institutions included Dongfang Caifu Securities, Lhasa Tuanjie Road No. 1 Securities Office, and Lhasa Donghuan Road No. 2 Securities Office, with net outflows of 3.02 million yuan and 4.19 million yuan respectively [2].

Group 1: Pricing Strategy - The company generally adopts a cost-plus pricing strategy to determine sales guidance prices, considering factors such as customer customization requirements, material selection, production complexity, customer demand, creditworthiness, and actual payment cycles [4] - Higher customization, complex components, and lower customer demand lead to a higher cost-plus rate and internal guidance price [4] Group 2: Remanufacturing Services - The remanufacturing service involves professional repair of customers' used engineering rock drilling tools, ensuring the remanufactured products meet the same quality and performance as new ones [5] - The process includes inspection, disassembly, cleaning, repair, and replacement of parts to enhance the reuse rate and reduce costs for customers [5] Group 3: Revenue Recognition Standards - For domestic sales, revenue is recognized based on the transfer of control as per the sales contract, categorized into acceptance confirmation and signing confirmation [6] - For international sales, revenue is recognized based on the terms of the contract, typically at the export date recorded on customs or bill of lading [6] Group 4: M&A Plans - The company is attentive to industry consolidation opportunities, focusing on upstream and downstream of the industry chain, with no current M&A transactions disclosed [7][8] - Future M&A plans will be disclosed in accordance with listing rules if they arise [8] Group 5: Subsidiary Applications - Suzhou Aidu's products are primarily used in the development of nickel-based alloys and various wear-resistant and corrosion-resistant materials, applied in twin-screw extruder components [9] - The twin-screw extruder is widely used in industries such as new energy, plastics, food, and chemicals, with promising future development prospects [9]

Core Insights - Wind Thunder Drilling Tools Company has successfully entered the China National Petroleum Corporation (CNPC) 2025 centralized procurement project, ranking second overall, establishing itself as a core supplier within CNPC's supply chain [2] - This marks the second successful procurement entry for Wind Thunder Drilling Tools Company in 2023, following its first-place ranking in March for other drilling products, ensuring a stable revenue stream for the company [2] - The competitive bidding process for CNPC's procurement was rigorous, with Wind Thunder forming a dedicated project team to meet stringent evaluation standards, ultimately achieving a strong performance among hundreds of competitors [2] Industry Impact - The partnership with CNPC is expected to enhance Wind Thunder's production capacity utilization and reduce marginal costs, while also accelerating technological advancements and innovation in high-end drilling tools [3] - The demonstration effect of CNPC's supply chain is anticipated to significantly boost Wind Thunder's brand presence in both domestic and international markets, laying a solid foundation for future expansion into other energy giants' supply chains [3] - This collaboration is expected to further solidify Wind Thunder's leading position in the domestic drilling tools market [3]