Core Viewpoint - The company, Lihong Testing (01586), has demonstrated strong performance in the Hong Kong stock market, achieving a market capitalization increase of 28.9% this year, with a long-term growth trajectory reflected in over 100% growth in the past three years and over 300% in the past six years [1][8]. Financial Performance - For the first half of 2025, Lihong Testing reported revenues of HKD 603 million, with gross profit and net profit attributable to shareholders at HKD 258 million and HKD 41 million, respectively, showcasing resilience despite external challenges [1]. - The company anticipates steady growth from 2022 to 2024, with a compound annual growth rate (CAGR) of 15.7% in revenue and 9.4% in net profit [1]. Share Buyback and Investor Confidence - Lihong Testing initiated a share buyback plan on December 19, 2022, and has conducted 116 buybacks totaling 17.64 million shares, representing 3% of total share capital, with a total expenditure of HKD 40.25 million [2]. - The company's market capitalization increased by 48.7% during the buyback period, and as of June 2025, it held cash equivalents of HKD 216 million, a 13.1% increase year-on-year [2]. Strategic Initiatives and AI Integration - The company is aligning with AI trends, establishing AI as a core strategic direction for 2025, and aims to leverage AI and robotics to enhance its service offerings [6]. - Lihong Testing is integrating IoT, big data analysis, and multimodal AI technologies to develop a safety production intelligent platform, focusing on optimizing safety management efficiency [6]. ESG and Global Expansion - The company is committed to long-term development through ESG initiatives, assisting clients in addressing climate change and contributing to green low-carbon transitions [7]. - Lihong Testing is expanding its global footprint, with overseas revenue reaching HKD 295 million in the first half of 2025, accounting for 48.92% of total revenue, and establishing a network across 19 countries [7]. Shareholder Support - The company has received strong support from shareholders, with consistent buying activity from major stakeholders since its IPO, indicating confidence in its long-term growth prospects [8]. - The ongoing buyback efforts not only support stock price stability but also significantly enhance shareholder returns, with the company maintaining a favorable valuation outlook [8].

Core Viewpoint - The company, Lianjian Technology, has extensive experience in the construction industry, focusing on building inspection, testing, and evaluation, and is well-equipped to provide integrated solutions for structural safety and quality enhancement [2]. Group 1: Company Expertise and Services - The company has qualifications for structural testing and can conduct various engineering quality inspections and structural evaluations, as well as real-time monitoring of building safety [2]. - It emphasizes the development of quality assurance and enhancement services for existing buildings and municipal infrastructure, particularly in urban renewal and renovation projects [2]. - The company has established research collaborations with institutions such as the Beijing Residential Building Design Institute and the Jiangsu Architectural Vocational and Technical College to study housing safety and insurance systems [2]. Group 2: Achievements and Recognition - The company has received several honors, including being recognized as an excellent unit in the Jiangsu construction engineering quality testing industry and a 3A-rated enterprise for evaluation and consulting [2]. - It has participated in numerous judicial evaluations and has provided professional testing and evaluation reports for various cases, gaining significant project experience across different building types [2]. - Since 2022, the company has been involved in safety inspections of self-built houses across multiple provinces, receiving consistent recognition from local governments for its contributions [2].

Group 1: Company Operations and Acquisitions - The company has officially entered the automotive testing field through the acquisition of Guanbiao Testing, which provides comprehensive testing services for automobiles and components, enhancing its capabilities in various areas such as material, environmental reliability, electrical performance, and electromagnetic compatibility (EMC) [2] - Guanbiao Testing has obtained third-party testing qualifications from major automotive manufacturers including Geely, Chery, and NIO, expanding its recognition in both traditional and new energy vehicle sectors [2] - The company employs a three-dimensional acquisition strategy focusing on "regional penetration + track expansion + qualification enhancement" to achieve precise mergers and acquisitions, aiming to quickly gain regional qualifications and customer resources [2] Group 2: International Expansion - The company is advancing its global layout in phases, initially focusing on countries along the "Belt and Road" by establishing localized teams to provide tailored testing and certification services [2] - In the mid-term, the company plans to build R&D centers in mature technical standard markets such as Europe and the U.S. to absorb advanced experiences and promote mutual recognition of qualifications [2] - As of now, the company has established regional offices in countries like Vietnam, Thailand, and Indonesia, creating a grid service system that covers "Belt and Road" countries [2] Group 3: Building Safety and Research Initiatives - The company has extensive experience in building safety inspections and has established research collaborations with various institutions to study housing safety management and insurance systems [3] - It has received multiple honors, including being recognized as an excellent unit in construction quality testing in Jiangsu Province and a 3A-rated consulting enterprise [3] - The company has participated in nationwide safety inspections for self-built houses since 2022, covering a wide range of provinces and receiving recognition from local governments [3]

Group 1: Company Strategy and Performance - The company has adopted a strategy of "technology deepening + flexible adjustment" to address challenges in traditional construction and real estate sectors, resulting in a 20.37% increase in revenue and a 30.13% increase in net profit in Q1 2025 [2] - The company aims to reduce reliance on single sectors by focusing on high-value testing fields and expanding its service chain through a "Testing+" model [2] - The company has successfully transitioned to new business areas such as automotive and food safety testing, compensating for the decline in traditional construction business [2] Group 2: Competitive Advantages - The company differentiates itself through a "demand-driven integrated service ecosystem" and "cross-domain technology integration capabilities," enhancing customer loyalty and service value [2] - It offers a closed-loop service model that includes testing diagnosis, problem identification, and solution provision, particularly in construction safety and environmental monitoring [2] Group 3: Automotive Testing Sector - The company entered the automotive testing sector through the acquisition of Guanbiao Testing, which achieved a net profit of 12.37 million yuan in 2024 [3] - It has obtained third-party testing qualifications from major automotive manufacturers, including Jianghuai, Geely, and NIO, enhancing its market penetration [3] Group 4: International Expansion - The company is expanding its overseas market presence, focusing on "Belt and Road" countries and establishing localized teams to provide tailored testing services [4] - Significant achievements in 2024 include partnerships with Indonesian and Tanzanian companies and the establishment of specialized teams for Southeast Asia, the Middle East, and Africa [4] Group 5: Real Estate Testing - The company has extensive experience in housing inspection and has established a research center for housing safety management in collaboration with local institutions [5] - It provides integrated solutions for structural safety monitoring and quality improvement in urban renewal projects [5] Group 6: Green and Low-Carbon Initiatives - The company is actively involved in low-carbon initiatives and has developed a carbon emission accounting platform in collaboration with Tongji University [7] - It has successfully created nearly zero-carbon parks and factories, contributing to local economic green transformation [8] Group 7: Mergers and Acquisitions Strategy - The company plans to achieve growth through targeted mergers and acquisitions, focusing on regional laboratories and high-growth sectors such as water conservancy and low-carbon technologies [8] - The strategy includes a three-dimensional approach of regional penetration, sector expansion, and qualification enhancement [8] Group 8: Future Growth Drivers - Future growth will be driven by continuous optimization of business structure, focusing on high-value emerging sectors like new energy and electronics [8] - The company aims to leverage digitalization and technological innovation to enhance testing efficiency and service quality, while expanding its international footprint [8]