Core Viewpoint - Despite a significant revenue increase of 52.27% year-on-year to 365 million yuan in 2024, the company continues to face net losses, marking its sixth consecutive year of losses since 2019 [1][2] Revenue and Profitability - The revenue growth is primarily driven by double-digit increases in the cable polymer materials and semiconductor equipment segments, with the cable polymer materials contributing over 60% of total revenue [2] - The company reported a net loss attributable to shareholders of 30.53 million yuan, which is an improvement from a loss of 44.42 million yuan in 2023 [1][2] Cost Structure and Financial Health - The company is experiencing rising sales and management expenses due to increased market investments to maintain market share, alongside a significant rise in financial expenses due to expanded financing [3] - The traditional polymer materials business is facing low gross margins, while the semiconductor equipment business has not yet achieved sufficient scale to offset the profit gap from traditional operations [3] Market Position and Product Development - The company is struggling with a product structure that remains predominantly mid-to-low-end, limiting its penetration in high-end applications such as new energy and photovoltaics [3][4] - The company has emphasized its core product, environmentally friendly low-smoke halogen-free polyethylene cable polymer materials, which align with national industrial policies and are recognized by major cable manufacturers [3] Strategic Adjustments - In response to performance pressures, the company is working to reduce inefficient production capacity and shift resources towards high value-added products [4] - The company needs to find a new balance between enhancing product technology and controlling operational costs to break the cycle of increasing losses [4] Regulatory Issues - The company faced regulatory penalties in February for a past violation involving a guarantee of 16.70 million yuan related to a personal loan taken by a former controlling shareholder [5] - The company has been involved in frequent asset restructuring announcements, including a significant transaction to acquire 99.97% of Advanced Packaging Materials International Limited [6]