Core Viewpoint - The company, Lvtian Machinery, has approved a plan to engage in futures hedging to mitigate risks associated with raw material price fluctuations, ensuring stable production costs and reducing operational impacts [13][25]. Group 1: Company Overview - Lvtian Machinery is focused on utilizing futures markets to hedge against raw material price volatility, specifically targeting materials such as copper, aluminum, and polypropylene [13][17]. - The maximum margin amount for futures trading is set at RMB 10 million, with a trading period not exceeding 12 months from the board's approval date [15][18]. Group 2: Board Meeting Details - The 14th meeting of the 6th Board of Directors was held on August 21, 2025, with all 7 directors present, and the meeting adhered to legal and regulatory requirements [4][7]. - The board unanimously approved the proposal for the 2025 semi-annual report and the plan for futures hedging [5][9]. Group 3: Risk Management - The company emphasizes a cautious approach to futures hedging, aiming to avoid speculation and focusing on risk mitigation related to raw material price fluctuations [22][23]. - A comprehensive risk management system has been established, including regular audits and adherence to established guidelines for futures trading [22][24]. Group 4: Financial Impact - Engaging in futures hedging is expected to enhance the company's ability to manage market price fluctuations, thereby strengthening its core competitiveness without affecting normal business operations [25].