Core Viewpoint - Huike has signed a strategic cooperation agreement with Zhengzhou Airport Economic Comprehensive Experimental Zone, marking the establishment of a significant new display device project with an investment exceeding 30 billion RMB, focusing on high-end IT displays, automotive displays, and emerging Mini/Micro LED technologies [1][3]. Group 1 - The total investment for the project is expected to exceed 30 billion RMB, with an anticipated annual output value surpassing 50 billion RMB upon completion [1]. - The project will be constructed in two phases, with the first phase involving an investment of approximately 3 billion RMB and covering an area of about 300 acres, aimed at producing ultra-high-definition new display modules and complete machines, expected to generate an annual output value of around 8 billion RMB [3]. - The establishment of the Zhengzhou base is a crucial part of Huike's strategic layout, enhancing its core competitiveness in the display industry and improving the supply chain in the central and western regions of China [3]. Group 2 - In March of this year, Huike's seventh complete machine production base was also launched in the Zhengzhou Airport area [2]. - Huike has four G8.6 high-generation production lines with distinct technical features and multiple intelligent display terminal production bases, along with display module production bases and accessory factories [3]. - In the TV sector, Huike's product sizes range from 24 to 107 inches, with partnerships including major brands such as Samsung, TCL, Haier, Hisense, VESTEL, Xiaomi, Skyworth, Philips, and ROKU [3]. Group 3 - At the DIC 2025 event held in early August, Huike showcased several new TV products, including the global debut of 85 and 100-inch ultra-high refresh rate TVs, featuring HSR 360Hz engine and FSA Pro high-transparency LCD architecture [4][6]. - The 85 and 100-inch TVs support native refresh rates of 180Hz, overclocked to 360Hz at 4K resolution, with a brightness of 600 nits and a contrast ratio of 8000:1 [6]. - Huike also introduced the world's first 116-inch 4K ultra-thin wallpaper TV, utilizing Mini LED backlight technology and a 9.9mm ultra-thin floating borderless design, achieving a reflectivity reduction to 1.8% through a nano-coating [6].

Core Viewpoint - The establishment of the new production base in Zhengzhou marks a significant step in the company's strategic layout, enhancing its competitiveness in the display industry and expanding its influence in the central and western regions of China [3]. Group 1: Zhengzhou Production Base - The Zhengzhou base covers approximately 1253 acres and is being built in two phases, with the first phase involving an investment of about 3 billion yuan, focusing on ultra-high-definition display modules and complete machine production lines, expected to achieve an annual output value of around 8 billion yuan upon reaching full capacity [1]. - The project commenced construction in September 2024 and has a total construction period of 180 days [1]. - The production facility will be the largest single production building in the TV industry, featuring high integration and advanced automation levels [2]. Group 2: Automation and Production Efficiency - The production line will utilize a dual-line testing design and a modular assembly line structure, which reduces costs associated with line and cleanroom construction while maximizing capacity utilization by accommodating multiple product sizes [2]. - The facility is designed with 13 efficient production lines on the first floor, with nearly 60% of processes expected to be automated, significantly improving efficiency and precision [2]. Group 3: Recent Project Developments - Since early 2025, the company has initiated several projects, including a Mini-LED backlight and direct display module project in Changsha, with a total investment of 9 billion yuan [4]. - A Mini-LED phase one project in Mianyang has also been launched, with a total investment of 5 billion yuan, expected to achieve an annual output value of 5 billion yuan by 2026 [5]. - The second phase of the electronic commerce project in Dongguan has started, with a total investment of 760 million yuan, focusing on the production of TV, LED displays, tablets, smartphones, and other smart IoT display terminal products [5].