Core Viewpoint - The company is enhancing its production capabilities and optimizing its operations in response to market conditions, particularly in the context of rising metal prices and cost pressures [2] Group 1: Project Overview - The Jiangxi Xinke project utilizes oxygen-rich melting technology, enabling the production of a diverse range of metals, including copper, precious metals, and refined nickel sulfate, with a comprehensive capacity of 100,000 tons of electrolytic copper and other multi-metal deep processing annually [2] - The company has been continuously optimizing its production lines and has added a new electrolytic tin production line to improve capacity utilization [2] Group 2: Cost Management and Pricing - The company is managing raw material procurement for its hazardous waste resource utilization business by aligning it with project capacity progress, signing long-term cooperation agreements, and using futures tools to mitigate price volatility [2] - Despite rising costs, product sales prices have also increased, and the combination of previous low-cost inventory appreciation and technological upgrades is expected to enhance the industry's gross profit margin [2]

Meeting Overview - The company held a Q3 earnings presentation on December 8, 2025, at the Shanghai Stock Exchange, featuring key executives including the Vice Chairman and President, and the CFO [1] Key Questions and Responses - The company expects the capacity utilization rate of the Jiangxi Xinke project to significantly increase in 2026, with full production anticipated by the end of the year [2] - The company is expanding its overseas raw material sourcing, focusing on regions like South America, Africa, and Southeast Asia, where profit margins are higher compared to domestic sources [2] - The company has acquired four mines, with two already explored and awaiting mining rights, while the other two are still under exploration [2] Financial Performance - The company's Q3 net profit excluding non-recurring items increased by 177% year-on-year, while the net profit attributable to shareholders slightly decreased by 1.05% due to non-recurring losses [3] - The company plans to optimize operations and asset allocation to mitigate the impact of non-recurring items on net profit [3] Revenue Growth Expectations - The company anticipates a return to revenue growth in Q4, driven by the recovery of major solid waste recycling plants and operational improvements in the Jiangxi Xinke project [4] - The company has established a strong recovery capability in precious metals and is one of the largest in the domestic platinum group metal recycling sector [4] Overseas Expansion - The company has successfully won contracts for small waste screening projects in Thailand and is establishing recycling bases in Southeast Asia and Latin America [6][7] - The company emphasizes risk management in its overseas operations, implementing detailed risk assessments and compliance systems [7] Raw Material Procurement Strategy - The company is adapting its raw material procurement strategy to match project capacity progress, utilizing long-term agreements and hedging tools to manage cost pressures from rising precious metal prices [5] - Despite increased costs, the company expects improved gross margins due to rising product prices and enhanced recovery rates [5] Shareholder Engagement - The company is committed to optimizing its return mechanism and will adjust dividend policies based on operational performance and cash flow [6]