Summary of TianTong Co., Ltd. Conference Call Industry Overview - TianTong Co., Ltd. operates in the new materials sector, focusing on three key materials: 1. Soft magnetic materials, which have been in development since 1984 and show stable growth 2. Sapphire, which started development in 2010 and is expected to reach a low point in 2024, currently nearing breakeven 3. Lithium Niobate/Tantalate, which began development in 2016, driven by applications related to artificial intelligence, including optical modules, optical engines, and AI glasses waveguides [1][1][1] Key Insights and Arguments - Lithium Niobate has two application directions in data centers: 1. Optical engines for "optical in, copper out" within cabinets 2. 3.2T optical modules - At a 1.6T rate, silicon photonics remains mainstream but faces high costs and limited capacity issues - As the industry transitions to the 3.2T era, Lithium Niobate's advantages in loss and heat will become more pronounced, making it a key choice for modulators in Co-Packaged Optics (CPO) [1][1][1] Competitive Advantages - The company has achieved a full industry chain layout in the Lithium Niobate sector, covering key equipment, single crystal pulling, chip production, and thin-film Lithium Niobate - Globally, only two companies can supply thin-film Lithium Niobate wafers, with TianTong being the only supplier in mainland China - Only two companies can mass-produce 8-inch Lithium Niobate chips, with TianTong being one of them, providing strong advantages in cost, quality, and development capabilities [2][2][2] Technological Pathways - There are two main technological pathways for integrating thin-film Lithium Niobate with silicon photonics: 1. Wafer to Wafer: Direct integration of thin-film Lithium Niobate on silicon photonic chips 2. Dieto Wafer: Pre-manufacturing Lithium Niobate modulator chips and then bonding them to silicon photonic chips [3][3][3] Future Developments - The company currently supplies products from both pathways - If 12-inch thin-film Lithium Niobate is developed, the advantages of the Wafer to Wafer pathway will become more apparent - In AI glasses applications, Lithium Niobate is more advantageous than silicon carbide in terms of price, capacity, and compatibility with display modules, making it suitable for large-scale consumer electronics applications - 12-inch wafers are expected to achieve the highest efficiency in this field - Tantalate, as a "brother material" to Lithium Niobate, shows better performance in certain characteristics (e.g., temperature stability) but is still in the research and development phase for industrial applications - TianTong is the only manufacturer globally capable of mass-producing optical-grade 8-inch Tantalate [4][4][4]

Group 1 - Sri Lanka has benefited significantly from the Belt and Road Initiative since joining in 2014, with infrastructure projects such as ports, airports, and highways developed by China [1] - Despite rising global trade protectionism, China continues to maintain rapid growth and is a leader in advanced technologies like artificial intelligence and quantum computing [1] - Sri Lanka aims to improve its economy and views China's capabilities as essential for developing maritime infrastructure, integrating into global supply chains [1] Group 2 - Tourism is a vital pillar of Sri Lanka's economy, with Chinese tourists being the second-largest source of visitors, significantly supporting the local economy through their spending [2] - Sri Lanka's diverse tourism resources, including beaches, tea plantations, and ancient cities, cater to various tourist preferences, and the country is optimizing visa policies to attract more Chinese visitors [2] - Coastal tourism contributes not only to tourism revenue but also drives the development of marine-related industries, highlighting the importance of enhancing maritime cooperation between China and Sri Lanka [2] Group 3 - Major challenges facing the Indian Ocean include global warming, rising sea levels, and overfishing, necessitating collaboration for marine environmental protection [3] - China is recognized for its financial strength and technological capabilities in marine environmental protection, which are crucial for sustainable development [3] - Countries like Sri Lanka, with limited economic power, need to leverage China's advancements in renewable energy to achieve green development and contribute to global climate governance [3] Group 4 - Sri Lanka seeks to learn from China's development experience and anticipates increased investment and technological cooperation from China [4] - The country has the potential to become a manufacturing and logistics hub for China, serving South Asia, Africa, and the Middle East, creating a win-win situation for both parties [4] - Future cooperation can be expanded in investment, technology, and capacity integration for deeper collaboration [4]

Core Viewpoint - The National Gem and Jewelry Authority (NGJA) of Sri Lanka has announced significant reforms to the taxation system for gemstone imports, which will substantially reduce the tax burden on importers and potentially impact the gemstone export market negatively [1] Tax Reform Details - Starting from January 1, 2024, gemstone importers will be required to pay an 18% VAT and a 2.5% SSCL based on the actual value of the gemstone packages, leading to a significant decrease in import volumes for 2024 and 2025 compared to 2023 [1] - To address the heavy tax burden, a simplified and more favorable tax calculation system has been introduced, where the value of precious gemstones such as rubies, sapphires, and emeralds is estimated at $900 per kilogram for tax purposes [1] - For semi-precious stones like amethyst, topaz, and garnet, the estimated value is set at $50 per kilogram, resulting in a VAT and SSCL payment of $10.25, approximately 3,200 Sri Lankan Rupees [1] Industry Development Goals - The reform aims to encourage young entrepreneurs to enter the gemstone industry, particularly in areas such as importation, cutting, polishing, and re-exporting, to further develop Sri Lanka's gemstone and jewelry sector [1]

Group 1 - Tian Tong Co., Ltd. experienced a stock price increase of 5.03%, reaching 14.63 CNY per share, with a trading volume of 1.543 billion CNY and a turnover rate of 8.80%, resulting in a total market capitalization of 18.045 billion CNY [1] - The company, established on February 10, 1999, and listed on January 18, 2001, specializes in the research, manufacturing, and sales of electronic materials (including magnetic materials, sapphire, and piezoelectric crystals) and high-end equipment (including specialized equipment for crystal materials, powder materials, and semiconductor displays) [1] - The revenue composition of Tian Tong Co., Ltd. is as follows: 86.57% from electronic materials sales, 9.38% from specialized equipment manufacturing and installation services, and 4.05% from material sales and others [1] Group 2 - Among the top ten circulating shareholders of Tian Tong Co., Ltd., a fund under Southern Fund holds a position. The Southern CSI 1000 ETF (512100) reduced its holdings by 113,700 shares in the third quarter, now holding 11.2785 million shares, which accounts for 0.91% of the circulating shares [2] - The Southern CSI 1000 ETF (512100) was established on September 29, 2016, with a current scale of 76.63 billion CNY. Year-to-date returns are 7.05%, ranking 1300 out of 5580 in its category; over the past year, returns are 45.31%, ranking 1627 out of 4203; and since inception, returns are 22.43% [2]

Group 1 - Tian Tong Co., Ltd. experienced a stock price increase of 5.22% on January 8, reaching 14.32 CNY per share, with a trading volume of 2.121 billion CNY and a turnover rate of 12.32%, resulting in a total market capitalization of 17.663 billion CNY [1] - The company, established on February 10, 1999, and listed on January 18, 2001, is located in Haining Economic Development Zone, Zhejiang Province. Its main business involves the research, manufacturing, and sales of electronic materials (including magnetic materials, sapphire, and piezoelectric crystals) and high-end equipment (including specialized equipment for crystal materials, powder materials, and semiconductor displays) [1] - The revenue composition of Tian Tong Co., Ltd. is as follows: 86.57% from electronic materials sales, 9.38% from specialized equipment manufacturing and installation services, and 4.05% from material sales and other sources [1] Group 2 - Among the top ten circulating shareholders of Tian Tong Co., Ltd., one fund under Huaxia Fund holds a position. The Huaxia CSI 1000 ETF (159845) reduced its holdings by 14,500 shares in the third quarter, now holding 6.7039 million shares, which accounts for 0.54% of the circulating shares [2] - The Huaxia CSI 1000 ETF (159845) was established on March 18, 2021, with a current scale of 45.469 billion CNY. Year-to-date returns are 4.11%, ranking 2066 out of 5493 in its category; over the past year, returns are 40.64%, ranking 1777 out of 4197; and since inception, returns are 35.19% [2]

Group 1: Equestrian Equipment Industry - Shandong Rocky Sports Goods Co., Ltd. is the only equestrian equipment company in Shandong that integrates design and production, becoming a leading comprehensive equestrian service provider in China [1] - The company has established cooperation with the China Equestrian Association, with products entering over 75% of equestrian clubs nationwide and frequently appearing in major domestic and international events [1] - The equestrian equipment includes helmets, saddles, and leg guards, which are used by athletes at the 15th National Games [1] Group 2: Guitar Manufacturing Industry - Tangkou Town is renowned for electric guitar manufacturing, producing approximately 2 million electric guitars and 5 million accessories annually, exporting to over 130 countries and regions, generating annual revenue exceeding 1 billion yuan [1] - The region is transitioning from "manufacturing" to "branding" in the guitar industry, with the establishment of the "Tangkou Guitar" regional public brand and the cultivation of over 40 independent brands [1] - The industry has accumulated 35 patents and 42 copyrights, promoting traditional Chinese craftsmanship on the global stage through music [1] Group 3: Sapphire and Jewelry Industry - Changle County is recognized as China's largest sapphire mining area, with a mining area of 450 square kilometers and reserves of several billion carats [2] - A fashion industry cluster encompassing design, processing, sales, and brand operation has formed, processing over 10 million carats of gemstones annually, with products sold domestically and internationally [2] - The county supports the development of live e-commerce in the jewelry sector, with over 890 e-commerce enterprises in the China Gem City, leading in sales of mid-to-high-end gemstones [2] Group 4: Gold Jewelry Industry - Changle County has over 560 gold and jewelry processing businesses, employing nearly 5,000 people, and processing more than 100 million pieces of jewelry and over 80 tons of gold annually [2] - The gold jewelry industry is innovating under the "national trend," extending the industrial chain from gemstone processing [2]

Group 1 - TianTong Co., Ltd. experienced a stock price increase of 5.2%, reaching 13.15 CNY per share, with a trading volume of 1.304 billion CNY and a turnover rate of 8.30%, resulting in a total market capitalization of 16.22 billion CNY [1] - The company, established on February 10, 1999, and listed on January 18, 2001, is located in Haining Economic Development Zone, Zhejiang Province. Its main business involves the research, manufacturing, and sales of electronic materials (including magnetic materials, sapphire, and piezoelectric crystals) and high-end equipment [1] - The revenue composition of TianTong Co., Ltd. is as follows: 86.57% from electronic materials sales, 9.38% from specialized equipment manufacturing and installation services, and 4.05% from material sales and others [1] Group 2 - Among the top circulating shareholders of TianTong Co., Ltd., Huaxia Fund's Huaxia CSI 1000 ETF (159845) reduced its holdings by 14,500 shares in the third quarter, now holding 6.7039 million shares, which accounts for 0.54% of the circulating shares [2] - The Huaxia CSI 1000 ETF (159845) was established on March 18, 2021, with a current scale of 45.469 billion CNY. Year-to-date returns are 28.79%, ranking 1864 out of 4197 in its category, while the one-year return is 25.9%, ranking 1948 out of 4179 [2]

Core Viewpoint - The Louvre Museum in France was robbed on October 19, resulting in the theft of over 8,000 diamonds and 200 pearls, with an estimated loss of 88 million euros [1][4]. Group 1: Incident Details - The robbery lasted approximately 4 minutes and involved the theft of 8 pieces of jewelry, which included a total of 8,482 diamonds, 35 emeralds, 34 sapphires, and 212 pearls [3][6]. - Four masked individuals executed the robbery by using a lift to access the museum from an external balcony, threatening security personnel with a grinder during the operation [3][6]. - A total of 9 pieces of jewelry were stolen, including a crown belonging to Empress Eugénie, which has since been recovered [3][6]. Group 2: Arrests and Investigation - As of October 25, two suspects in the Louvre robbery were arrested, followed by a third suspect on October 30, and the fourth suspect was apprehended on November 25, completing the capture of all identified suspects [3][6].

Core Insights - The exhibition titled "Earth's Treasures, Human Splendor - 2025 Colorful Yunnan Gem Carnival" will showcase over 200 rare colored gemstones and jewelry art pieces, including rubies, sapphires, and emeralds, offering a cultural journey through the integration of natural wonders, scientific knowledge, and artistic aesthetics [1] Group 1: Immersive Experience - The exhibition features three immersive thematic zones that break traditional models, using artistic space design, narrative scenarios, and multimedia interactions to transform the "past and present" of gemstones into perceivable visual language [2] - These zones guide visitors to understand the value of gemstones from multiple dimensions, including geology, mineralogy, and craftsmanship aesthetics [2] Group 2: Expert Forum - The "Master Forum" will discuss "New Cycle, New Value: Opportunities and Future of the Chinese Colored Gem Market," featuring experts from various institutions [3] - Experts indicate a market shift from "appearance consumption" to "professional cognition-driven" stages, with consumers increasingly focusing on gemstone provenance, identification standards, design concepts, and asset attributes [3] - The forum emphasizes the importance of collaborative mechanisms among industry, academia, and inspection, advocating for transparency and standardization in the industry through cultural empowerment [3] Group 3: Public Education - A special lecture titled "Appreciation and Collection of Colored Gemstones" will be held during the exhibition, led by Professor He Xuemei from China University of Geosciences (Beijing) [4] - The lecture aims to systematically analyze gemstone classification, identification points, and collection logic, enhancing the audience's aesthetic and collection capabilities through practical demonstrations and case studies [4] Group 4: Exhibition Details - The exhibition will take place from December 18 to December 29, 2025, at 26 Yuetan North Street, Xicheng District, Beijing [5] - The thematic zones include "Heart of Fire," focusing on red gemstones with volcanic rock scenery and holographic projections; "Eye of the Sky," highlighting blue gemstones with a starry dome and sound-light installations; and "Spirit of the Earth," centered on green gemstones, showcasing the symbiotic relationship between gemstones and geological evolution [5]

Core Viewpoint - The "Earth's Treasures, Human Colors - 2025 Colorful Yunnan Color Gem Carnival" opened in Beijing on December 20, showcasing over 200 rare colored gemstones and jewelry art pieces, including rubies, sapphires, and emeralds, over a 9-day exhibition period [2][4][5][7] Group 1 - The event features a diverse collection of gemstones, allowing the public to appreciate the beauty and craftsmanship of these rare items [2][4][5] - The exhibition includes opportunities for attendees to try on jewelry pieces, enhancing the interactive experience [5][7] - The carnival aims to promote the cultural significance and artistic value of colored gemstones from Yunnan [2][4]