Core Viewpoint - The decision by the company to lease its offshore wind installation vessels represents a strategic retreat from its offshore wind business due to ongoing financial losses and operational challenges [1][3][7]. Company Summary - The company plans to lease two vessels, "Jinhua 01" and "Jinhua 02," to OOS International B.V. for a minimum of 1,095 days and a maximum of 1,245 days, generating an estimated total rental income of approximately 347 million RMB (about 48.73 million USD) [1][2]. - The daily rental rate for each vessel is set at 22,250 USD, with a potential increase to 29,500 USD if the lease is extended by two years [2]. - Following the lease, the company will cease its offshore wind business operations, indicating a significant shift in its strategic focus [2][3]. Financial Performance - The offshore engineering business has been a financial burden, with revenues of 47.78 million RMB and costs of 78.68 million RMB in 2023, resulting in a negative gross margin of 64.66% [3]. - The company’s financial struggles are evident, with consecutive net losses of 170 million RMB in 2022 and 145 million RMB in 2023, and a further loss of 70.98 million RMB in the first three quarters of 2025 [6]. - The gross margin has declined from 31.08% in 2020 to 4.82% in 2024, reflecting a significant deterioration in profitability [6]. Industry Challenges - The company's difficulties mirror broader structural challenges in the offshore wind industry, including a significant drop in installation and operation prices since the 2021 "rush" for offshore wind projects [7]. - The rapid technological advancements in wind turbine sizes pose a risk of obsolescence for existing equipment, as the average capacity of new offshore wind turbines has increased significantly [9]. - The high investment and long cycle characteristics of offshore engineering equipment, combined with a lack of stable orders, have created substantial financial pressure on the company [5][7]. Cash Flow Improvement - The rental income from the vessels is expected to significantly enhance the company's cash flow situation, providing a stable income stream that can alleviate financial burdens [10]. - The anticipated rental income exceeds the company's projected total revenue for 2024, indicating a critical improvement in financial stability [11].

Core Viewpoint - Daya Smart plans to lease its two offshore wind installation vessels, "Jinhua 01" and "Jinhua 02," to OOS International B.V. for a total rental income of approximately 347 million RMB, marking a strategic shift away from its offshore wind business due to ongoing financial pressures and operational challenges [3][5][7]. Group 1: Leasing Details - The lease agreement specifies a minimum rental period of 1095 days (about 3 years) and a maximum of 1245 days (about 3 years and 4 months), with a daily rental rate of $22,250 per vessel [4]. - If the rental period is extended, the daily rental rate will increase to $29,500 per vessel [4]. Group 2: Financial Impact - The expected total rental income of 347 million RMB will help alleviate short-term cash flow issues for Daya Smart, although it falls short of the 854 million RMB spent on acquiring the vessels [5][7]. - The company has faced continuous losses, with net profits of -170 million RMB in 2022 and -145 million RMB in 2023, and a projected loss of 108 million RMB after non-recurring gains in 2024 [6][7]. Group 3: Business Strategy Shift - The leasing of the vessels indicates a complete exit from the offshore wind business, as the company has stated that there will be no further operations in this sector during the lease period [6][9]. - Daya Smart's offshore wind operations have been unprofitable, with significant operational costs and declining revenue, leading to a strategic reevaluation of its business model [8][9].

Core Viewpoint - Dayang Intelligent (大烨智能) announced on November 2 that its wholly-owned subsidiaries, Jinhua Zero One and Jinhua Zero Two, plan to sign a bareboat charter agreement with OOS International B.V. to lease two vessels for offshore oil and gas projects in Brazil, generating significant revenue from the contracts [1] Group 1: Contract Details - The vessels Jinhua 01 and Jinhua 02 will be leased at a rate of $22,250 per day each [1] - The total rental income from the bareboat charter contracts over the lease period is estimated to be $48.7275 million, calculated based on a daily rate and an operational period of 1,095 days [1] - The calculation does not include any potential extension options for the lease [1]