Summary of Conference Call Records Company Overview - The company, established in September 2003 in Suzhou, has developed a global service system over 20 years, becoming a leading semiconductor service provider in the industry [1] - The domestic business is centered in Suzhou, with strategic service points in East, Central, and South China, leveraging regional advantages for advanced manufacturing [1] Core Industry Insights - The company specializes in crystalline engineering construction, focusing on advanced manufacturing and providing a comprehensive range of technical services from project consultation to system operation management [2] - The company has a strong presence in various sectors, including optoelectronics, biotechnology, and commercial buildings, showcasing its capability as a comprehensive contractor with cross-industry and cross-border engineering service abilities [3] Financial Performance - In 2024, the company reported a revenue of 1.008 billion yuan, a decrease of 0.56% year-on-year, with a net profit of 114 million yuan, down 17.45% [3] - The gross profit margin for 2024 was 12.51%, a decline of 0.82% from the previous year [3] - Revenue from the semiconductor industry accounted for 59.54% of total revenue, down 11.31% year-on-year [3] Revenue Breakdown - The revenue composition for 2024 includes: - System integration engineering: 48.5%, down 31.89% - Secondary distribution engineering: 14.38%, up 43.21% - Other infrastructure installation and maintenance: 35.41%, up 156.99% - Equipment sales: 1.17%, up 194.88% [4] Market Expansion - The Southeast Asian market has shown strong growth, particularly in the semiconductor and electronics manufacturing sectors, with overseas revenue reaching 677 million yuan, accounting for 33.78% of total revenue, up 55.39% year-on-year [4] - The company has established a significant presence in Southeast Asia, with a focus on localizing operations and building a collaborative network [5][6] Order Backlog - The company has an order backlog of 897 million yuan from overseas markets, representing 51.7% of total orders, surpassing domestic orders for the first time [5] Dividend Policy - The company maintains a stable dividend policy, distributing 80 million yuan in cash dividends for 2023, a 23.08% increase year-on-year, with a payout ratio of 57.72% [5] Competitive Advantages - The company has developed a cross-border capacity coordination network and a localized talent pool, ensuring effective communication and project delivery [6][7] - A stable management team with extensive industry experience supports the company's operational continuity and innovation capabilities [7] Future Outlook - The company plans to focus on brand expansion in Southeast Asia and emerging markets such as AI, semiconductors, and data centers [9] - Initiatives include optimizing project management, promoting green innovation, and enhancing talent development [9][10] Conclusion - The company is positioned for sustainable growth through strategic market expansion, a robust service offering, and a commitment to quality and innovation, despite facing challenges in the domestic market and industry competition [10]