Core Viewpoint - The stock of Xing Shuai Er has experienced fluctuations, with a year-to-date increase of 37.25% but a recent decline in the last five and twenty trading days [2][3]. Company Overview - Xing Shuai Er Electric Co., Ltd. is located in Hangzhou, Zhejiang Province, and was established on May 15, 2002, with its listing date on April 12, 2017 [2]. - The company specializes in the research, production, and sales of various types of thermal protectors for refrigeration compressors, starters, sealed terminals, temperature controllers for small appliances, and small to medium-sized motors [2]. Business Performance - As of June 30, 2025, Xing Shuai Er reported a revenue of 1.132 billion yuan, representing a year-on-year growth of 8.59%, and a net profit attributable to shareholders of 122 million yuan, reflecting a growth of 31.79% [3]. - The company's main business revenue composition includes solar photovoltaic components (48.44%), refrigeration and small appliance components (34.62%), motors for food waste disposers, new energy vehicles, and clean water pumps (9.78%), and others (5.69%) [2]. Shareholder Information - As of June 30, 2025, the number of shareholders decreased by 7.51% to 18,800, with an average of 18,561 circulating shares per person, an increase of 10.20% [3]. - The company has distributed a total of 225 million yuan in dividends since its A-share listing, with 96.91 million yuan distributed in the last three years [4]. Institutional Holdings - As of June 30, 2025, new institutional shareholders include Guotai Junan Eagle Growth Flexible Allocation Mixed Fund, Huafu Technology Momentum Mixed A, and Caitong Asset Management Advanced Manufacturing Mixed Fund, with holdings of 3.175 million shares, 3 million shares, and 2.4998 million shares respectively [4].

Company Performance - In the first half of 2025, the company achieved operating revenue of 1.132 billion yuan, a year-on-year increase of 8.59% [1] - The net profit attributable to shareholders reached 122 million yuan, reflecting a year-on-year growth of 31.79% [1] - The net cash flow from operating activities was 98.69 million yuan, showing a significant increase of 306.91% year-on-year [1] - Basic earnings per share stood at 0.37 yuan [1] Shareholder Composition - In the second quarter of 2025, institutional investors significantly increased their presence, with five institutions, including Guotai Junan, becoming new shareholders [1] - At the end of the first quarter, the only shareholders were two private equity funds [1] Product Segmentation - Revenue from compressors and small appliance components (refrigerators, freezers, air conditioners) was 392 million yuan, a decrease of 9.89% year-on-year [1] - Revenue from optical communication and sensor components was 16.62 million yuan, an increase of 10.95% year-on-year [1] - Revenue from motors for food waste disposers, electric vehicles, and clean water pumps was 111 million yuan, up 16.95% year-on-year [1] - Solar photovoltaic components generated revenue of 549 million yuan, reflecting a year-on-year increase of 14.74% [1] - Other businesses achieved revenue of 64.42 million yuan, a substantial increase of 222.06% year-on-year [1] Industry Context - The Chinese home appliance market saw steady growth in the first half of 2025, with retail sales reaching 453.7 billion yuan, a year-on-year increase of 9.2% [2] - The company holds a leading market share in key components for home appliances, covering major compressor manufacturers domestically and internationally [2] Electric Motor Business - The demand for electric motors is increasing due to the rise of automation in industrial sectors and smart home technologies [2] - The subsidiary, Zhejiang Special Electric Motor Co., focuses on the research, production, and sales of small and micro electric motors, serving various industries [2] Military and Certification Achievements - Zhejiang Special Electric Motor Co. has obtained qualifications for military equipment production, enhancing its competitiveness and ability to expand into military business [3] Renewable Energy Initiatives - The company is focusing on technological innovation and product upgrades in the photovoltaic sector to improve its market position [3] - The company and its subsidiaries have completed rooftop solar power stations, generating approximately 2.42 GWh of electricity in the first half of 2025 [3] - The company aims to align its renewable energy strategies with national green industry directives for long-term sustainable development [3]

Core Viewpoint - The company, Xing Shuai Er (002860.SZ), specializes in the research, production, and sales of various components such as thermal protectors, starters, and sealed terminal blocks for refrigeration compressors, primarily used in household appliances like refrigerators, freezers, air conditioners, and water coolers [1] Group 1 - The company's main business includes the development, production, and sales of components for refrigeration compressors [1] - The products are mainly applied in household appliances, including refrigerators, freezers, air conditioners, and refrigeration water dispensers [1] - Currently, the company's products do not involve specific applications or technical solutions in data center water cooling units [1] Group 2 - The company indicates that it will fulfill disclosure obligations in a timely manner if there are new business expansion plans that align with its strategic goals [1]

Group 1: Company Overview - Hangzhou Xingshuai Electric Co., Ltd. was listed on the Shenzhen Stock Exchange in April 2017 as a high-tech enterprise with strong innovation and independent R&D capabilities [1] - The company's main business includes the R&D, production, and sales of various types of refrigeration compressor thermal protectors, starters, sealing terminal blocks, temperature controllers for small appliances, and photovoltaic components [2] Group 2: Financial Performance - In Q1 2025, the company achieved a revenue of CNY 503 million, representing a year-on-year growth of 8.37% [2] - The net profit attributable to shareholders was CNY 64.30 million, an increase of 21.73% compared to the previous year [2] - The company anticipates continued growth in Q2 2025, with specific financial results to be announced in future company announcements [2] Group 3: Future Growth Points - The home appliance business segment provides stable customers and orders, with ongoing expansion of application scenarios [3] - The company plans to focus on R&D for new motor products and projects, increasing technical and financial support for its subsidiary Zhejiang Special Motor [3] - Key areas of development include high-efficiency permanent magnet motors and servo motors to meet market demand [3] Group 4: Application in New Energy Vehicles - The company supplies products for new energy vehicles, including air conditioning motors, support rod motors, battery sealing terminal blocks, and temperature controllers [4] - Collaborations with reputable new energy vehicle manufacturers, such as BYD, have been established, with stable quality during supply periods [4] - Future efforts will focus on enhancing R&D capabilities, expanding product applications, and increasing market share in the new energy vehicle components sector [4]

Group 1: Company Overview - Hangzhou Xingshuai Electric Co., Ltd. was listed on the Shenzhen Stock Exchange in April 2017 as a high-tech enterprise with strong innovation and independent R&D capabilities [2] - The main business includes R&D, production, and sales of various types of thermal protectors, starters, sealing terminals for refrigeration compressors, temperature controllers for small appliances, and photovoltaic components [2] Group 2: Future Development Plans - The company plans to focus on new energy, new products, and new projects, particularly increasing support for its subsidiary Zhejiang Special Motor in technology, finance, and human resources [2][3] - Key areas of R&D include high-efficiency permanent magnet motors and servo motors to meet market demand [2] Group 3: Military Business Capability - Zhejiang Special Motor has obtained qualifications for military equipment production and quality management certifications, indicating its capability to undertake military projects [4] Group 4: Mergers and Acquisitions Strategy - The company is determined to pursue external mergers and acquisitions, leveraging its experience from past acquisitions to enhance growth [5] - It has a solid financial foundation with stable orders and cash flow, supporting its acquisition activities [5] Group 5: Incentives for Management - The company has a robust long-term incentive mechanism, including restricted stock plans and performance bonuses to attract and retain key personnel [6] Group 6: Technological Advantages in Photovoltaic Products - The company's photovoltaic components utilize advanced technologies that reduce resistance loss by 10%, enhance lifespan by 15%, and lower failure rates by 15% [8]

Group 1: Company Overview - Hangzhou Xingshuai Electric Co., Ltd. was listed on the Shenzhen Stock Exchange in April 2017 as a high-tech enterprise with strong innovation and R&D capabilities [2] - The main business includes R&D, production, and sales of various types of thermal protectors, starters for refrigeration compressors, temperature controllers for small appliances, and photovoltaic components [2] Group 2: Financial Performance - In 2024, the company achieved a revenue of CNY 2.077 billion, with a net profit attributable to the parent company of CNY 144 million [2] - Revenue decreased compared to the previous year primarily due to the impact of photovoltaic market demand and a decline in raw material prices [2] - The company recognized an asset impairment loss of CNY 42.53 million and accrued convertible bond interest of CNY 32.35 million, significantly affecting net profit [2] Group 3: Strategic Adjustments - The company is confident in addressing external challenges and is actively adjusting its product structure to accelerate supply in new markets such as elevators, commercial compressors, and electric motorcycles [3] - The board's strategic deployment is being firmly implemented, with all employees focused on core business and overcoming difficulties [3] Group 4: Client Relationships - Key clients include Shanghai Haile, BYD, and various other companies, establishing strong supply and cooperation relationships with competitive advantages in market and technology [4] Group 5: Military Business Potential - The subsidiary Zhejiang Special Motor has obtained qualifications for military equipment production, indicating its capability to undertake military projects, which enhances the company's overall competitiveness [5] Group 6: Photovoltaic Business Outlook - The photovoltaic component business has a full order book, with multiple companies undergoing factory inspections, remaining a significant growth area for the company [6] Group 7: M&A Strategy - The company is determined to pursue external mergers and acquisitions, leveraging capital market platforms to expand into new growth areas [7] - With years of manufacturing management experience, the company has successfully integrated acquired subsidiaries, demonstrating strong operational stability and cash flow [7][8]

Group 1: Company Overview - Hangzhou Xingshuai Electric Co., Ltd. was listed on the Shenzhen Stock Exchange in April 2017 as a high-tech enterprise with strong innovation and independent R&D capabilities [1][2]. - The company's main business includes the R&D, production, and sales of various types of thermal protectors, starters, sealing terminal blocks, temperature controllers for small appliances, and various types of motors, as well as photovoltaic module products [2]. Group 2: Future Development Strategy - The company plans to focus on R&D in new energy, new tracks, new products, and new projects, particularly increasing support for its subsidiary Zhejiang Special Motor in terms of technology, finance, and human resources [3]. - Key areas of R&D will include high-efficiency permanent magnet motors and servo motors, aiming to meet market demand and seek partnerships for collaboration [3]. Group 3: Application in New Energy Vehicles - The company supplies products such as air conditioning motors, support rod motors, battery sealing terminal blocks, and temperature controllers to the new energy vehicle sector [4]. - Successful collaborations have been established with reputable new energy vehicle manufacturers, including bulk supply to BYD and stable quality in products used in well-known automotive brands [4]. Group 4: Product Application Areas - Zhejiang Special Motor designs and customizes various motor products and components for diverse applications, including industrial machinery, mining machinery, oil fields, new energy vehicles, elevators, refrigerators, air conditioners, wind power generation, electric motorcycles, and military applications [5]. Group 5: Market Position and Competitive Advantage - The company maintains a leading market share in thermal protectors and starters due to its focus on technology R&D and product upgrades, which has built a strong brand advantage [6][7]. - Future strategies will continue to emphasize deepening core business and maintaining a commitment to innovation to further solidify competitive advantages [7].

Summary of Key Points from the Conference Call Company Overview - **Company Name**: 星帅尔 (Xing Shuai Er) - **Main Business**: Protection devices and starters, with a domestic market share of approximately 50% and a global market share of about 35% [2][5][23] - **Key Clients**: Major compressor and complete machine enterprises globally, including Midea, Haier, and Bosch [2][5] Financial Performance - **Q1 2025 Performance**: - Revenue reached 503 million yuan, a year-on-year increase of 8.37% - Total profit was 75 million yuan, up 28.56% - Net profit attributable to shareholders was 64 million yuan, an increase of 21.73% [4][11] Business Segments and Market Share - **Main Products**: Protection devices and starters for compressors, used in refrigerators, air conditioners, and other appliances [5] - **Market Position**: The company is a standard-setting unit in the industry and has UL certification [5] Recent Acquisitions and Business Expansion - **Acquisitions**: - Acquired Huajing Electronics, Xinduan, and Zete Motor to expand into sealed terminal blocks, temperature controllers, and new energy vehicles [2][7] - Yellow Mountain Fule's photovoltaic module sales increased from 100 million yuan to 2 billion yuan [2][8] Industry Challenges and Strategies - **Impact of Trade War**: Anticipated reduction in orders for white goods in May due to trade tensions; the company is considering transshipment trade and production layout in regions with lower tariffs [13][14][15] - **Cash Flow Management**: Cash flow is affected by extended payment terms in the photovoltaic industry; the company has shifted to cash payments for auxiliary materials to reduce costs [18][19] Future Growth and Development Focus - **Growth Projections**: The company expects a steady growth rate of 15% in the coming years, with the home appliance sector providing stable cash flow [3][23] - **New Applications**: Expansion into new markets such as Africa and new applications like car refrigerators [3][22] - **Electric Motor Business**: Plans to develop special motors and military orders, with a focus on humanoid robots [9][16][17] Photovoltaic Business Insights - **Q1 2025 Performance**: Photovoltaic business revenue was approximately 300 million yuan, contributing a net profit of 13 million yuan [12] - **Production Capacity**: Current capacity includes 1 GW at Huangshan and 0.75 GW at a new facility, with plans for future investments as market conditions improve [21] Conclusion - **Overall Outlook**: The company is well-positioned for future growth with a focus on innovation, market expansion, and strategic management of challenges posed by external factors such as trade wars and cash flow pressures [20][23]

Group 1: Company Overview - Hangzhou Xing Shuai Er Electric Co., Ltd. was listed on the Shenzhen Stock Exchange in April 2017 as a high-tech enterprise with strong innovation and independent R&D capabilities [4] - The company specializes in the R&D, production, and sales of various types of refrigeration compressor thermal protectors, starters, sealing terminals, temperature controllers for small appliances, and electric motor products [4] Group 2: Financial Performance - In Q1 2025, the company achieved revenue of CNY 503 million, representing a year-on-year growth of 8.37% [4] - The net profit attributable to shareholders was CNY 64.30 million, an increase of 21.73% compared to the previous year [4] Group 3: Future Development Strategy - The company plans to focus on R&D in new energy, new products, and new projects while maintaining stable operations in its existing business [4] - Increased support will be provided to its subsidiary, Zhejiang Special Motor, to enhance product development and market expansion [4] Group 4: New Energy Vehicle Applications - The company supplies products such as air conditioning motors, support rod motors, battery sealing terminals, and temperature controllers to the new energy vehicle sector [5] - Collaborations with reputable new energy vehicle manufacturers, including BYD, have been established, with stable quality during supply periods [5] Group 5: Solar Energy Project Update - The company is actively promoting the "2GW high-efficiency solar photovoltaic module construction project" but faces risks due to supply-demand imbalances in the industry [6] - To improve capital efficiency, the company plans to terminate the project and redirect remaining funds to support daily operations [6] Group 6: Share Buyback Progress - The company will implement its share buyback plan based on market conditions and fulfill information disclosure obligations in a timely manner [7] Group 7: Zhejiang Special Motor Applications - Zhejiang Special Motor designs and customizes various motor products for diverse applications, including industrial machinery, new energy vehicles, and military equipment [8] Group 8: Key R&D Projects - The focus of R&D includes high-efficiency permanent magnet motors and servo motors, with several projects in the testing phase [9] - A new model of the wind power generator has completed design and is entering the testing phase, promising higher efficiency and broader application scenarios [9]

Company Overview - Hangzhou Xingshuai Electric Co., Ltd. was listed on the Shenzhen Stock Exchange in April 2017 as a high-tech enterprise with strong innovation and independent R&D capabilities [4] - The company specializes in the R&D, production, and sales of various types of refrigeration compressor thermal protectors, starters, sealing terminal blocks, temperature controllers for small appliances, and various motor products [4] Financial Performance - In 2024, the company achieved a revenue of CNY 2.077 billion, with a net profit attributable to the parent company of CNY 144 million [4] - Revenue decreased compared to the previous year primarily due to the decline in demand in the photovoltaic market and the drop in the price of key raw materials (solar cells) [4] - The company recorded an asset impairment loss of CNY 42.53 million and interest expenses on convertible bonds of CNY 32.35 million, significantly impacting net profit [4] Strategic Adjustments - The company is confident in addressing external challenges and is actively restructuring its strategy, focusing on product mix adjustments and accelerating supply in new markets such as elevators, commercial compressors, and new energy vehicles [4] - The home appliance segment continues to provide stable customers and orders, indicating a robust and sustainable development capability [4] - Despite challenges in the photovoltaic industry, the company remains optimistic about its photovoltaic business, which continues to contribute to revenue and net profit [4] Product Development and R&D - The company plans to focus on R&D for new motor products and projects, increasing technical and financial support for its subsidiary Zhejiang Special Electric Motor [4][5] - Key R&D projects include high-efficiency permanent magnet motors and servo motors, with ongoing efforts to meet market demands and seek partnerships [5][7] - The company has established long-term collaborations with major universities to ensure product development and quality [7] Market Position and Competitiveness - Zhejiang Special Electric Motor has a strong technical foundation, with several research and development centers and partnerships with universities [7] - The company has a diverse product range, including energy-efficient three-phase motors, variable frequency motors, and specialized motors for various applications [6][9] - The company maintains a high domestic market share, with stable client orders and no significant impact from tariffs on exports [9]