Core Viewpoint - The report from Huaxin Securities indicates that Sulian Co., Ltd. experienced a decline in net profit for the first half of the year, but the company is positioned well in the automotive plastic fluid pipeline market and is expanding into liquid cooling business for growth opportunities [1] Financial Performance - In the first half of the year, the company achieved a net profit attributable to shareholders of 67.76 million yuan, a year-on-year decrease of 4.43% [1] - In Q2, the net profit attributable to shareholders was 34.25 million yuan, reflecting a year-on-year decline of 10.78% [1] Business Operations - The traditional business remains stable, with a focus on the automotive plastic fluid pipeline sector, where the company has over 20 years of experience [1] - Sulian Co., Ltd. has become one of the leading suppliers of automotive plastic fluid pipeline products in China [1] Market Trends - Compared to metal and rubber pipelines, nylon pipelines offer advantages such as lightweight, lower costs, and environmental benefits, making them more suitable for trends in automotive electrification and lightweighting [1] - The company is actively expanding its liquid cooling business to create new performance growth points [1] Investment Rating - The report maintains a "Buy" investment rating, suggesting confidence in the company's traditional nylon pipeline business and the potential breakthrough in the data center liquid cooling business [1]