Core Insights - The company reported a revenue of 166 million yuan for the first half of 2025, representing a year-on-year increase of 6.57% [1] - The net profit attributable to shareholders was 33 million yuan, up 3.45% year-on-year, while the net profit excluding non-recurring items was 32 million yuan, reflecting a 5.31% increase [1] - The second quarter of 2025 saw a revenue of 86 million yuan, with quarter-on-quarter and year-on-year growth of 11.98% and 7.10%, respectively [1] Financial Performance - The main business segments experienced growth across the board, with sales revenue for electric vehicle components, traditional fuel vehicles, and general automotive components increasing by 8.06%, 28.27%, and 7.49% year-on-year, respectively [1] - The revenue contribution from electric vehicle components was 41.86%, traditional fuel vehicles 26.10%, and general automotive components 22.91% [1] - The overall gross margin for the company was 32.63%, with the gross margin for electric vehicle components at 32.80%, an increase of 1.68 percentage points [1] Business Development - The company made significant breakthroughs in the air suspension sector, enhancing its market share through key products like the compression ring and support ring [2] - Strategic partnerships were established, including a collaboration with Konghui Automotive to develop metal parts for controllers and shock absorbers, which is expected to increase the per-vehicle value [2] - The company’s second-generation welding ring production line has been applied in multiple vehicle models, contributing to cost reduction and increased output [2] M&A Activity - The company announced plans to acquire 51% of Tongyihe, a firm with strong capabilities in precision stamping molds and products, which is expected to enhance customer resource sharing and market synergy [3] - The acquisition is projected to yield net profits of 28 million yuan, 32 million yuan, and 36 million yuan for the years 2025 to 2027 [3] - Tongyihe's technology is anticipated to significantly lower manufacturing costs and improve the precision and fatigue life of key components in robotic reducers [3] Profit Forecast - The company is expected to achieve revenues of 403 million yuan, 497 million yuan, and 609 million yuan from 2025 to 2027, with year-on-year growth rates of 25.45%, 23.29%, and 22.51%, respectively [3] - The net profit attributable to shareholders is projected to be 65 million yuan, 81 million yuan, and 101 million yuan for the same period, with growth rates of 20.85%, 23.35%, and 25.61% [3] - Earnings per share (EPS) are forecasted to be 0.56 yuan, 0.69 yuan, and 0.87 yuan for 2025 to 2027 [3]