Core Viewpoint - The company, Oriental Yuhong, is actively pursuing overseas expansion while simultaneously managing debt recovery in response to underwhelming domestic market performance [1][4]. Group 1: Acquisition Details - Oriental Yuhong announced plans to acquire 100% of Chilean company Construmart S.A. for 880 million RMB, with the acquisition pending necessary approvals [1]. - Construmart reported revenues of approximately 2.82 trillion Chilean Pesos (around 2.09 billion RMB) and a net profit of 476.6 billion Chilean Pesos (approximately 35 million RMB) for 2024 [1]. - The acquisition is expected to leverage synergies in brand, research and development, supply chain, and cost control [3]. Group 2: Financial Performance - In 2024, Oriental Yuhong's revenue decreased by 14.52% to 28.06 billion RMB, with net profit dropping by 95.24% to 108 million RMB [5]. - For the first half of 2025, the company reported a revenue decline of 10.84% to 13.57 billion RMB and a net profit decrease of 40.16% to 564 million RMB [5]. - The core business of waterproof materials saw a revenue drop of 12.48%, reflecting challenges in the downstream real estate sector [5]. Group 3: Debt Recovery Efforts - The company is accelerating debt recovery from downstream real estate firms, with a total of approximately 839 million RMB in receivables being settled through asset exchanges [7]. - The total liabilities of Oriental Yuhong reached about 20.95 billion RMB, with an asset-liability ratio of 47.55% [8]. Group 4: International Expansion - Oriental Yuhong has been expanding its international presence since 2005, with ongoing projects in Saudi Arabia, Canada, and Malaysia [8]. - The company achieved overseas revenue of 576 million RMB in the first half of 2025, marking a 42.16% increase year-on-year [9]. Group 5: New Business Ventures - The company has acquired mining rights for marble in Jiangxi Province, aiming to enter the marble slab and calcium carbonate industries [9]. - However, the marble slab industry is facing significant competition, with a reported 18.6% decline in production in 2024 [10]. Group 6: Dividend Policy - Despite declining revenues and profits, Oriental Yuhong announced a cash dividend of 9.25 RMB per 10 shares, totaling approximately 2.21 billion RMB [12]. - The dividend is intended to provide timely returns to investors, although it has raised concerns regarding the financial health of the company and its controlling shareholder [13].

Core Viewpoint - Recently, Dongfang Yuhong Sand Powder Technology Group Co., Ltd. (hereinafter referred to as Dongfang Yuhong) has obtained a mining license for the Danchuanling mining area in Yongfeng County, Jiangxi Province, marking the transition of its exploration rights to the mining stage, which supports its strategic expansion into the industrial new materials sector [1][3]. Group 1 - The mining license has a validity period of 20 years and an annual production capacity of 1 million cubic meters, which will serve as a core raw material for Dongfang Yuhong's sand powder business [1][3]. - The acquisition of the mining rights is part of a broader strategic plan initiated in November 2023, which includes a 1 billion yuan investment in the Ji'an New Materials Industrial Park, covering various product lines such as mining, white cement, special mortar, and building coatings [1][3]. - This move allows Dongfang Yuhong to vertically integrate its supply chain, reducing reliance on external sand sources and mitigating raw material price fluctuations, thereby optimizing costs [3]. Group 2 - The company has established a full product matrix including special mortar, calcium-based powder, ordinary mortar, and sand and gravel aggregates, and aims to enhance its competitiveness across the entire industry chain [3]. - The industrial segment is expected to become a new growth point, improving cash flow structure and enhancing profit quality, with production lines for marble slabs and industrial-grade calcium carbonate powder expected to be operational by 2026 [3]. - If the industrial-grade products are successfully scaled, the revenue share from the sand powder business may exceed 20%, facilitating Dongfang Yuhong's transformation from a building materials supplier to a new materials technology enterprise [3].

Core Viewpoint - Oriental Yuhong is actively expanding its business ecosystem by acquiring upstream raw material resources and entering overseas markets, aiming to diversify its operations beyond its core waterproofing business [1][2]. Group 1: Upstream Industry Chain Development - The decline in Oriental Yuhong's performance reflects the overall challenges faced by the construction industry, particularly the shrinking demand for waterproof materials since 2021 due to issues in the real estate market [2]. - The company plans to invest 1 billion yuan in a new materials industrial park in Jiangxi, which will include mining, white cement, special mortar, and building coatings [2]. - The acquisition of mining rights for marble in Jiangxi will enable the company to secure a stable supply of raw materials and enter new markets such as marble slabs and calcium carbonate fine powders [2][3]. Group 2: Strategic Significance - The new industrial park is seen as a core driver for expanding the industrial segment, which is expected to become a new growth engine for the company, improving cash flow and operational quality [3]. - By controlling key raw material supplies, the company aims to reduce price volatility risks and optimize its cost structure, enhancing its competitive edge in the industry [3]. Group 3: International Retail Expansion - Oriental Yuhong is pursuing international expansion through the acquisition of a 100% stake in Chilean building materials retailer Construmart for approximately 1.23 billion USD (about 880 million yuan) [4][5]. - Construmart, established in 1986, operates around 31 stores in Chile and is projected to generate approximately 2.093 billion yuan in revenue in 2024 [4]. - The acquisition is intended to leverage the company's supply chain and cost management advantages while benefiting from Construmart's established brand and distribution network in Chile [5]. Group 4: Ongoing International Strategy - The company has also completed a share cooperation project with Hong Kong building materials retailers to further its international strategy and expand overseas market presence [6].

Company Overview - China Jinshi Mining Holdings Limited was initially registered in the Cayman Islands and later changed its registration to Bermuda in 2016 [2] - The company is primarily engaged in the production and sale of marble slag and the trading of marble slabs, focusing on marble slag mining [2] - It owns the largest reserve of beige marble in China, located in Jiangyou City, Sichuan Province [2] Financial Performance - As of December 31, 2024, the company reported total revenue of 48.889 million yuan, a year-on-year decrease of 16.42% [1] - The net profit attributable to shareholders was -85.301 million yuan, reflecting a year-on-year decline of 43.12% [1] - The gross profit margin stood at 23.17%, with a debt-to-asset ratio of 43.58% [1] Stock Performance - As of July 9, the stock price was 0.186 HKD per share, marking an increase of 16.25% with a trading volume of 7.956 million shares and a turnover of 1.3383 million HKD [1] - Over the past month, the stock has seen a cumulative increase of 25%, but it has declined by 1.84% year-to-date, underperforming the Hang Seng Index, which has risen by 20.38% [1] Industry Valuation - The average price-to-earnings (P/E) ratio for the general metals and minerals industry is -2.67 times, with a median of -0.16 times [1] - China Jinshi's P/E ratio is -0.61 times, ranking 64th in the industry [1] - Other companies in the industry have P/E ratios ranging from 2.63 to 3.42 times [1] Corporate Actions - On July 2, 2025, the company completed a placement of 14.2 million new shares, representing 4.03% of the enlarged share capital, at a price of 0.17 HKD per share [3]

Group 1 - The China (Shandong) - Saudi Arabia Economic and Trade Matching Conference was successfully held in Riyadh, focusing on high-quality economic and trade development between Shandong and Saudi Arabia [1][3] - Over 200 guests attended the event, including representatives from government agencies, business associations, and the business community from both regions [1][3] - The conference emphasized industrial and building materials products, with a dedicated "Industry Promotion" session for in-depth exchanges between Chinese and Saudi representatives [3] Group 2 - Shandong's unique advantages in policy support, industrial foundation, and business environment were highlighted, with local officials promoting specific industrial clusters and investment policies [3][5] - The event facilitated nearly 100 one-on-one negotiations, resulting in over 10 cooperation intentions and two on-site agreements [5][6] - A training session on Saudi laws and business environment was conducted, with over 50 companies participating in the Saudi International Building and Construction Exhibition following the conference [6] Group 3 - Participating companies reported significant benefits, with some establishing cooperation points in building materials and planning further visits to Saudi Arabia for deeper discussions [7] - The event aimed to expand overseas investment efforts and create better conditions for attracting investment and facilitating international business exchanges [6][7] - Saudi companies expressed interest in the technological capabilities and production efficiency of Shandong enterprises, indicating plans for site visits [7]