Core Viewpoint - The company reported a strong performance in the first half of 2025, with revenue growth driven by high-value products, despite a decline in net profit due to one-time acquisition costs [1] Financial Performance - In the first half of 2025, the company achieved revenue of 9.12 billion yuan, a year-on-year increase of 17.7% [1] - Net profit was 0.996 billion yuan, a decrease of 31.1% year-on-year, influenced by acquisition-related one-time expenses [1] - The company's non-GAAP net profit was 2.6 billion yuan, reflecting a year-on-year growth of 54.4% [1] - Gross margin improved by 2% to 52%, significantly above the industry average, driven by an increase in the proportion of high-value products [1] Technological Innovation and Market Demand - The company is a leader in the surface performance materials sector, holding the top global market share in artificial mica and possessing a comprehensive patent portfolio with 159 patents [2] - The product range includes over 2,192 types of pearlescent pigments, with more than 50% being mid-to-high-end products [2] - The company is expanding its applications in various industries, including new energy and future technology sectors, indicating a growing demand for pearlescent pigments [2] Expansion and Global Strategy - The company is steadily increasing its production capacity, with approximately 18,000 tons of pearlescent pigment capacity from its first-phase factory as of June 2025 [4] - A new production base for artificial mica with an annual capacity of 100,000 tons is under construction and expected to be operational by the end of 2025 [4] - The acquisition of SUSONITY for 6.65 billion euros (approximately 51.87 billion yuan) marks a significant step in the company's globalization strategy [4][5] Synergy from Acquisition - The acquisition of SUSONITY will enhance the company's global presence and provide access to established sales networks and quality customer resources [5] - The integration is expected to enrich the product matrix, particularly in high-end cosmetic solutions, leveraging SUSONITY's global operational capabilities [5] - The company is positioned to become a global leader in the pearlescent pigment industry, supported by its technological capabilities and production expansion [5]