Summary of Icewheel Environment Conference Call Company Overview - Icewheel Environment is a leading player in the domestic cold chain equipment industry, possessing independent intellectual property rights for screw refrigeration compressors. The company has a comprehensive technology system and competitive advantages in technology levels, serving the global market through its manufacturing bases [2][3]. Core Business Segments - The company operates in four main segments: cold chain equipment, energy and chemical equipment, central air conditioning, and industrial heat management. In 2024, the revenue breakdown is as follows: - Cold chain equipment: over 30% - Energy and chemical equipment: approximately 25% - Central air conditioning: about 33% - Industrial heat management: less than 10% [3][7]. Financial Performance - For 2024, the subsidiary Shun'an Bush is expected to achieve revenue of 2.26 billion RMB and a net profit of 243 million RMB, indicating a good growth trend [2]. - The overseas revenue for 2024 is projected to be close to 2 billion RMB, a year-on-year increase of 21%, accounting for 29.8% of total revenue. By the first half of 2025, the overseas revenue proportion has exceeded 30% [2][8]. Growth Drivers - The data center and industrial heat management segments are anticipated to be significant growth drivers in the coming quarters. The data center business is expected to rapidly increase its revenue share, while industrial heat management will benefit from policy support [9]. Competitive Advantages - Icewheel Environment's competitive advantages include: 1. A complete technology system, being the only domestic company with independent intellectual property for screw refrigeration compressors [3]. 2. High technical standards, with products recognized in national technology advancement awards [5][6]. 3. A global manufacturing base that allows the company to serve international markets effectively [5][10]. Market Outlook - The industrial heat management market is expected to grow rapidly in the next five years, driven by energy-saving and carbon reduction policies. This segment is projected to become a new growth point for the company [7][14]. - The company is expanding its overseas manufacturing bases to address the supply-demand imbalance in global chiller production, particularly in the North American market [4][11]. Challenges and Future Expectations - Traditional business segments, including cold chain and industrial energy chemical orders, have faced challenges due to declining capital expenditures in industries like photovoltaic polysilicon. However, recent trends indicate stabilization, with a 40.5% positive growth in contract liabilities in Q3 2025, suggesting a recovery in revenue and profit in the upcoming quarters [15]. - The company's current PE valuation is approximately 16 times based on 2026 earnings, which is within the historical range and provides a safety margin for investors [16]. Conclusion - Icewheel Environment is well-positioned for future growth, particularly in the data center and industrial heat management sectors, supported by its technological advantages and global market presence. The company’s financial recovery and strategic expansion plans indicate a positive outlook for investors [9][16].

Group 1: Company Performance and Financial Outlook - The company expects a revenue of 3.301 billion CNY and a net profit of 692 million CNY for 2025, indicating a decline compared to 2024 [6][23]. - In 2024, the company reported a revenue of 3.674 billion CNY and a net profit of 863 million CNY [6][23]. - The decline in performance is attributed to the overall market environment and the downturn in the photovoltaic industry affecting the vacuum pump segment [23][21]. Group 2: Product Development and Market Strategy - The company is focusing on developing refrigeration products towards heat pumps and high-efficiency variable frequency compressors, while air compression products are moving towards oil-free options [4][30]. - The company has achieved full localization of magnetic suspension technology, eliminating risks associated with supply chain disruptions [3][4]. - The semiconductor vacuum pump technology is at par with international standards, with ongoing collaborations with major semiconductor companies [4][30]. Group 3: Market Challenges and Risk Management - The company faces challenges from industry cycles, raw material price fluctuations, and tariff policies, which have been disclosed in the 2024 annual report [7][23]. - Accounts receivable turnover days have exceeded 85 days for three consecutive years, raising concerns about potential delays in payments from semiconductor clients [6][3]. - The company is actively managing credit risks through enhanced accounts receivable management and collection policies [3][6]. Group 4: Investor Relations and Market Perception - The company is committed to improving long-term investment value through stable operations, compliance disclosures, and investor relations activities [6][26]. - The stock price has been under pressure, and the company is monitoring market dynamics closely [12][26]. - There are no current plans for stock buybacks, despite having sufficient cash reserves [32][26].