Group 1: Business Overview - The company's strategic focus is on solidifying existing operations while preparing for long-term breakthroughs, particularly in the motor sector with new product expansions [2] - The cleaning business aims to optimize customer structure and enhance product profitability through proactive market expansion [2] Group 2: Technology and Product Development - The harmonic magnetic field motor technology represents a fundamental shift in motor technology, offering advantages such as lightweight design, reduced material consumption, and higher power density compared to traditional motors [3] - The cost structure of harmonic magnetic field motors is optimized due to material savings from lightweight design, establishing a stronger cost moat [3] Group 3: International Expansion - The establishment of factories in the U.S. and Thailand is expected to enhance the company's overseas market share and inject new growth momentum into overall business development [3] Group 4: Robotics Sector Progress - The company is focusing on humanoid robots and robotic dogs, developing customized solutions based on harmonic magnetic field motor technology for various applications [3] Group 5: Financial Outlook - The company aims to improve gross margin in 2026 by continuously developing new products, expanding into new markets, and enhancing operational efficiency through automation and information technology [3]

Core Viewpoint - The company, Hengshuai Co., is focusing on solidifying its existing business while preparing for long-term breakthroughs, emphasizing a dual strategy of maintaining stability and pursuing growth opportunities [1] Group 1: Business Strategy - The core strategy of the company is to strengthen its existing business while balancing stability and long-term growth [1] - In the motor segment, new products are being developed systematically to diversify the business matrix [1] - The company aims to enhance the value-added per vehicle by expanding existing motor varieties, promoting a "1+N" integration trend for motors and other components [1] Group 2: Cleaning Business - The cleaning business is focused on optimizing the customer structure and improving profitability through proactive expansion in the cleaning sector [1]

Business Structure - The company's core business consists of cleaning services (46.3% revenue share) and motor products (45.6% revenue share), with other businesses accounting for 8.1% [2][3]. Motor Product Development - The company plans to expand its motor product offerings, focusing on new categories such as in-vehicle motors and chassis motors, with significant investments in high-torque harmonic brushless motors and various automotive systems [3][4]. Competitive Landscape - The traditional cleaning business faces intense competition and price wars, making profitability challenging for new entrants. In contrast, the micro-motor market is currently stable with high technical barriers, limiting the number of competitors [3][4]. ADAS System Progress - The company has secured mass production projects for its ADAS sensor cleaning systems with clients like Waymo and Meituan, targeting an annual production capacity of 250,000 units, with some production planned in Thailand [4]. Technology Pathways - The ADAS sensor cleaning products utilize various cleaning methods, including liquid, gas, and gas-liquid mixed cleaning, with the latter offering superior cleaning performance despite higher costs due to complex structures [4]. Thermal Management Business - The company has developed a range of thermal management products, including electronic circulation pumps and valves, with rapid growth in production for North American clients [4]. Strategic Expansion - The company is actively diversifying its business beyond the automotive sector, exploring opportunities in industrial automation and humanoid robotics to create new market spaces for long-term growth [4].

Group 1: Research Basic Information - The research object is Hengshuai Co., Ltd., belonging to the automotive parts industry, and the reception time was April 7, 2025. The company's board secretary, Liao Weiming, received the visitors [17] Group 2: Detailed Research Institutions - Participating institutions include China - Europe Fund (fund management company, with relevant personnel including Zhong Ming, Wang Ying, etc.), Penghua Fund (fund management company, with relevant personnel including Yan Siqian, Huang Yisong, etc.), and Minsheng Securities (securities company, with relevant personnel including Bai Ru, Cui Yan, etc.) [18] Group 3: Main Content Company's Business Overview - In 2024, the automotive industry was generally stable and improving. The company focused on cleaning and motor businesses, took multiple measures to develop business, strengthened R & D, and improved production management. The main business income was 950.51 million yuan, a 4.31% increase from the previous year, and the net profit attributable to shareholders of the listed company was 213.71 million yuan, a 5.75% increase [22] - The cleaning and motor businesses were basically equal. The cleaning business declined year - on - year, while the motor business remained stable and its proportion increased. Domestic sales accounted for about 60%, and exports accounted for about 40%, with little change in the ratio [23] Q&A - **Motor Business Expansion Plan**: The company will continue existing strategies and explore emerging motor and fluid products, focusing on expanding in - vehicle and chassis motor varieties, and has obtained batch project approvals for EPB motors [23][24] - **Application of Harmonic Magnetic Field Motor Technology**: The technology has been applied to logistics system roller motors and is in the mass - production ramp - up phase. In the automotive field, it has limited mass - production scale but has potential for future applications [25] - **Application of Harmonic Magnetic Field Motor Technology in Cleaning Business**: Traditional cleaning business has low demand for new technologies currently, but there may be applications in high - level autonomous driving scenarios [25][26] - **Outlook for Cleaning Business**: The traditional cleaning business faces competition and short - term growth pressure, while the ADAS cleaning system business has good market prospects with the development of L3+ intelligent driving [26] - **Impact of Tariff Policy Changes**: The company closely monitors overseas tariff policies, has a small direct - sales business proportion in the US market (2.7% in 2024), and uses EXW, FOB and other quotation methods, so the impact of tariff increases is currently small [26][27] - **ADAS Active Sensing Cleaning System Business**: The company has obtained batch project approvals from customers such as Waymo and Meituan, and will configure an annual production capacity of 250,000 sets of gas - liquid mixing cleaning systems, with some production in Thailand [28]