Group 1: Company Overview - Delong Holdings has made significant progress in solid-state battery research, with samples passing third-party safety tests in 2023 and a national invention patent expected in 2024 [1] - A cooperation agreement with Jiangling Group is set to be signed in August 2024, with a pilot production line expected to be completed by January 2025 [1] - The company plans to invest 300 million yuan in a solid-state battery pilot and industrialization project, as well as an intelligent motor industrialization project, with the investment agreement signed with the local government in Huzhou on May 30, 2025 [1] Group 2: Market Position and Performance - Kaku Si, a subsidiary, focuses on producing and selling thermal insulation, noise reduction, and lightweight products, serving clients such as Mercedes-Benz, BMW, Audi, and Volkswagen [1] - The operational performance of Kaku Si is expected to improve in 2024 and the first quarter of 2025, driven by enhanced operational efficiency and revenue growth in the new energy vehicle sector [1] - Kaku Si has a global production capacity layout, standardized production processes, and a quality control system, along with a world-class R&D center providing one-stop product development services [1] Group 3: Future Developments - Kaku Si aims to optimize its product structure, focusing on the development of new energy vehicle customer needs and aligning with domestic automakers' overseas supply requirements [1] - The company successfully developed a hydraulic retarder in 2023, which gained market recognition in 2024, leading to an increase in mass production and delivery scale [1]

Group 1 - The solid-state battery sector is experiencing significant advancements, with Del Corporation announcing a strategic investment of approximately 300 million yuan to develop a pilot and industrialization project for new lithium batteries [1] - The company aims to complete the pilot line construction by the end of 2025 and plans to gradually implement 1GWh and 5GWh production lines, transitioning from laboratory to pilot and then to large-scale production [2] - Del Corporation's subsidiary, Carcoustics International GmbH, has over 20 years of experience in automotive components, focusing on products related to electric vehicles, such as battery flame-retardant covers and electromagnetic shielding [2] Group 2 - The partnership with the local government in Huzhou includes a project for the industrialization of intelligent servo motors, aimed at upgrading the company's existing manufacturing capabilities to meet market demands in robotics and automotive sectors [1] - The solid-state battery project is a crucial part of the company's strategic layout, integrating core technologies and assets developed in Japan and domestically to accelerate the construction of the pilot line [1] - Del Corporation is positioning itself to enhance its product line and expand applications in the electric motor sector, contributing to the optimization of its industrial structure [1]

Core Viewpoint - Del's shares have shown strong growth in revenue and profit, driven by efficiency improvements and rapid growth in the electric vehicle sector, particularly in its main business of noise reduction, thermal insulation, and lightweight products [1] Group 1: Financial Performance - In Q1 2025, the company achieved revenue of 1.22 billion yuan, a year-on-year increase of 15.13% [1] - Net profit for the same period was 22.7382 million yuan, reflecting a significant year-on-year growth of 276% [1] Group 2: Product Development and Innovation - The company has successfully developed a composite hydraulic retarder product, which has received national invention patent authorization, enhancing its market competitiveness [2] - The hydraulic retarder can effectively reduce braking distance and improve safety for commercial vehicles, addressing 80% of braking needs [2] Group 3: Strategic Investments - The company signed an investment cooperation agreement with the government of Wuxing District, Huzhou City, to invest approximately 300 million yuan in new lithium battery pilot and industrialization projects, as well as smart motor industrialization projects [2][3] - The new lithium battery project focuses on solid-state battery technology, aiming to transition from pilot production to mass production [3] - The smart motor project aims to upgrade existing motor production capabilities to meet market demands in robotics, automotive, and other industrial applications [4]

Company Overview - Del Automotive Parts Co., Ltd. is a global automotive parts supplier focusing on NVH (Noise, Vibration, Harshness), thermal insulation, lightweight products, electric pumps, motors, and automotive electronics [2]. - Approximately 70% of the company's revenue comes from its wholly-owned subsidiary, KakuSi, which has over 20 years of experience in the automotive parts industry [2]. - KakuSi has established a global R&D base in Europe, North America, and Asia, and has recently launched a division focused on electric vehicle components [2]. Solid-State Battery Development - The company has been developing solid-state batteries since 2018, focusing on oxide-based electrolyte solutions [3]. - In 2023, solid-state battery samples passed various safety tests, and a national invention patent was granted in 2024 [3][4]. - A strategic cooperation agreement was signed with Jiangling Motors in August 2024 to validate the solid-state battery in their vehicles [4]. - The company plans to invest approximately 300 million yuan in a new lithium battery pilot and industrialization project, which includes solid-state battery production [5]. Financial Performance - The company reported improved operational efficiency and a decrease in expense ratios, contributing to revenue growth in 2024 and Q1 2025 [10]. - KakuSi's products, which account for nearly 70% of the company's total revenue, have shown steady growth [10]. Product and Market Strategy - KakuSi's main products include thermal insulation, noise reduction, and lightweight components, serving major clients like Mercedes-Benz, BMW, and Audi [8]. - The company aims to enhance its product structure in response to the electric vehicle trend, having established a dedicated division for EV components in 2021 [12]. - The liquid retarder product, which addresses 80% of braking needs in commercial vehicles, has been successfully developed and is gaining market traction [13]. Future Growth Directions - The company plans to accelerate the industrialization of solid-state batteries for applications in electric vehicles, drones, and robotics [4]. - The smart motor industrialization project aims to upgrade existing production capabilities to meet market demands in robotics and automotive sectors [7].

Core Insights - The company has established a solid-state battery pilot production line in Shanghai and is conducting various technical tests to meet customer demands [2] - The company has locked in the "oxide + organic composite electrolyte" solution for solid-state battery development and has achieved significant milestones, including passing third-party tests and obtaining a national invention patent [2] - The subsidiary, KakuSi, is enhancing its presence in the new energy vehicle sector and has begun mass supplying battery flame-retardant protective covers to major automotive brands [2][3] Group 1 - The company is actively advancing the industrialization of solid-state batteries while leveraging KakuSi's global layout to seize opportunities in automotive electrification [3] - The solid-state battery samples have successfully passed puncture, heating, and overcharge tests, with plans for strategic cooperation with Jiangling Group New Energy to validate the technology in vehicles [2] - The company aims to establish a mid-test line and mass production line based on customer development and market demand [2] Group 2 - The liquid retarder product line is set for significant growth in production and delivery in 2024, receiving recognition from commercial vehicle customers [3] - The first quarter of 2025 is expected to continue the positive trend in operations, driven by a decrease in expense ratios and growth in new energy product revenue [3] - KakuSi has built a customer network covering major automotive brands such as Mercedes-Benz, BMW, and Audi, with an increasing revenue share from new energy vehicle products [2][3]

Group 1: Company Overview - Del Automotive Parts Co., Ltd. is a global automotive parts supplier focusing on NVH, thermal insulation, lightweight products, electric pumps, motors, and automotive electronics [1] - Approximately 70% of the company's revenue comes from its wholly-owned subsidiary, KakuSi, which has over 20 years of experience in the automotive parts industry [1][2] Group 2: Product Development and Innovation - KakuSi has established a New Energy Vehicle (NEV) division to develop products like battery flame retardant covers and electromagnetic shielding for battery packs, successfully supplying well-known OEMs [2] - The company has been advancing solid-state battery technology since 2018, achieving significant milestones including passing third-party safety tests and obtaining a national invention patent in 2024 [3][4] Group 3: Market Position and Competitive Advantage - KakuSi's solid-state batteries are characterized by high safety and stability, with a simple manufacturing process that reduces production costs [4] - The company has a global production and R&D base, allowing it to respond quickly to customer needs and maintain high-quality standards [9] Group 4: Financial Performance - The company's financial reports for 2024 and Q1 2025 indicate continuous improvement, driven by enhanced operational efficiency and rapid revenue growth in the NEV sector [8] - KakuSi's products, particularly in thermal insulation, noise reduction, and lightweight categories, account for nearly 70% of the company's total revenue [8] Group 5: Future Growth Strategies - KakuSi aims to optimize its product structure in line with the electric vehicle trend and has already developed several products for NEVs, including battery protection solutions [10][11] - The company is well-positioned to meet the overseas market demands of leading domestic automakers due to its existing production capabilities in the U.S., Mexico, and Europe [11] Group 6: Product Specifics - The liquid retarder developed by the company can handle 80% of a vehicle's braking needs, enhancing safety and reducing brake system wear [12] - The liquid retarder product has gained recognition from first-line commercial vehicle customers, with production volumes increasing compared to the previous year [12]

1. Report Industry Investment Rating No relevant information provided. 2. Core Views of the Report - The company is optimistic about the future profitability growth, with expected steady revenue growth, scale - effect enhancement through product platformization, and cost control by increasing raw material self - production ratio [36]. - The automotive parts industry is closely related to vehicle production and sales. In 2024, the European, Chinese, and North American automotive markets had different trends, and the A - share automotive parts industry showed growth [42]. - The company's global production layout helps it avoid over - reliance on a single country or market, and its advantage is emerging under the background of US tariff increases [28]. - Solid - state batteries are in the stage of accelerated industrialization, and it is expected that a critical turning point will be reached in the next few years [43]. 3. Summary According to the Table of Contents 3.1 Basic Research Situation - The research object is Del股份, belonging to the automotive parts industry. The reception time is May 8, 2025, and the listed company's reception personnel include the chairman, general manager, board secretary, financial director, independent director, and sponsorship representative [16]. 3.2 Detailed Research Institutions - The research institutions are investors participating in the company's 2024 annual report online performance briefing [19]. 3.3 Research Institution Proportion No relevant information provided. 3.4 Main Content Data 3.4.1 Solid - state Battery Progress - The company has built a solid - state battery sample trial - production line in Shanghai and is conducting various technical tests. It can customize solutions for customers according to different application scenarios and technical requirements. The follow - up pilot line and mass - production line bases will be advanced based on customer development verification and market demand [23][25][26]. - The company's solid - state battery Shanghai trial - production line and the R & D in Japan are carried out collaboratively [42]. - As of the first quarter of this year, the solid - state battery sample trial - production line has been built, and it is expected that a critical turning point will be reached in the next few years [43]. 3.4.2 Business Cooperation - In August 2024, the company signed a "Solid - state Battery Strategic Cooperation Agreement" with Jiangxi Jiangling Group New Energy Vehicle Co., Ltd., and is in continuous technical docking [27][40]. - The company is open to cooperation with downstream customers in various fields such as new energy vehicles, robots, and energy storage [38][51][53]. 3.4.3 Financial and Operating Conditions - In 2024, the company achieved an operating income of 4.513 billion yuan, a year - on - year increase of 4.98%, and a net profit attributable to the parent of 32.42 million yuan, a year - on - year increase of 151.73% [30][35][42]. - As of March 31, 2025, the total number of the company's shareholders was 29,076 [30]. - In 2025, the company's first - quarter operating income was 1.22 billion yuan, with a gross profit margin of 19.74% and a net profit attributable to the parent of 22.74 million yuan, with a net profit margin of 1.86% [53]. 3.4.4 Product and Market Analysis - The company's solid - state battery sample has an energy density of 260Wh/kg, high safety, simple process, and cost advantages [59]. - The company's battery flame - retardant materials have been supplied to new - energy vehicle models of vehicle manufacturers, but not to Xiaomi cars [63]. - The company's automotive electronic products include electronic control and body electronic products, with an operating income of 68 million yuan in 2024, accounting for 1.52% of the total operating income [61][62]. 3.4.5 Company Strategy and Future Plans - The company adheres to the strategy of "focusing on the automotive industry", with a wide product layout. In the next stage, it will increase R & D investment, strengthen market expansion, and improve management efficiency [55][56]. - The company will continue to focus on new - energy vehicle - related product R & D and market promotion, including consolidating the market position of new - energy drive unit cooling and lubrication electronic pumps, and accelerating the development of solid - state batteries [56].

Group 1: Solid-State Battery Development - The company has established a solid-state battery sample trial line in Shanghai and is conducting various technical tests [4][16][27] - The company is capable of customizing solutions based on different application scenarios and technical requirements for customers [3][16][29] - The company plans to gradually advance the pilot and mass production lines for solid-state batteries based on customer development validation and market demand [4][16][30] Group 2: Financial Performance - In 2024, the company achieved a revenue of CNY 4.513 billion, a year-on-year increase of 4.98%, and a net profit of CNY 32.42 million, up 151.73% from 2023 [12][19] - The company's asset-liability ratio decreased from 62.17% at the end of 2023 to 57.89% at the end of 2024, a reduction of 4.28 percentage points [12][19] Group 3: Market Position and Strategy - The company’s solid-state battery products are expected to have a wide range of applications, including in new energy vehicles, robotics, and energy storage [16][27][33] - The company has signed a strategic cooperation agreement with Jiangling New Energy for solid-state batteries, indicating a focus on partnerships with established manufacturers [14][33] - The company aims to enhance its market share in the new energy sector by focusing on product innovation and expanding its product lines [32][36] Group 4: Challenges and Risks - The company faces challenges from high material costs and competition in the automotive parts industry, which may affect profitability [12][36] - The reliance on major customers is significant, with the top five customers contributing 52.26% of revenue, which may limit bargaining power [18][36] - The company is actively monitoring international trade policies and potential impacts from tariffs, particularly in the U.S. market [22][36]

Investment Rating - The report does not explicitly state an investment rating for the automotive parts industry or the specific company being analyzed [1]. Core Insights - The company, Del Corporation, is a global automotive parts supplier focusing on noise, vibration, and harshness (NVH) products, thermal insulation, lightweight products, electric pumps, motors, and automotive electronics [19]. - Approximately 70% of the company's revenue comes from its wholly-owned subsidiary, KakuSi, which has over 20 years of experience in the NVH and thermal insulation sectors [19]. - KakuSi has established a new energy vehicle division to develop products related to battery fire protection and electromagnetic shielding, successfully supplying major automotive manufacturers [19][20]. - The company has made significant advancements in solid-state battery technology, achieving safety certifications and forming strategic partnerships for product validation [20][21]. - The liquid retarder product has been successfully developed and is gaining market share, with potential for growth in the domestic market due to increasing safety standards [25][26]. Summary by Sections 1. Basic Information - Del Corporation is a comprehensive automotive parts supplier with a global presence, primarily serving clients like Mercedes-Benz, BMW, Audi, and others [19]. - The company has a strong focus on electric vehicle components and has established a dedicated division for new energy vehicles [19]. 2. Research Institutions - The research meeting involved several institutions, including Caifeng Securities, Guoyuan Securities, and Zhonghai Fund, among others [14]. 3. Research Institution Proportion - The majority of participating institutions were securities companies, accounting for 67%, while fund management companies and others made up 17% each [15]. 4. Main Content - KakuSi's product offerings include thermal insulation, noise reduction, and lightweight products, with a significant portion of revenue derived from these categories [22]. - The company has a well-established global production and research base, enabling it to meet diverse customer needs effectively [24]. - Future growth strategies include enhancing product structures to align with the electric vehicle market and expanding into international markets [25].