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 Intelligent has signed a bareboat charter agreement with OOS for its vessels Jinhua 01 and Jinhua 02, aiming to improve operational efficiency and generate stable rental income, which exceeds its projected revenue for 2024 [1][4] Group 1: Financial Impact - The rental price for each vessel is set at $22,250 per day, with a total rental income projected to be approximately $48.73 million (around 347 million RMB) over the lease period of 1,095 to 1,245 days [1] - This rental income surpasses Daya Intelligent's expected operating revenue for 2024, which is estimated at 337 million RMB [1] Group 2: Vessel Capabilities - The vessels Jinhua 01 and Jinhua 02 have a lifting height of 132.6 meters and a maximum lifting capacity that can cover 13.6 MW models, equipped with self-elevating, self-propelling capabilities and a DP-Z power system [2] Group 3: Market Context - The international oil and gas market is improving, with increased development in traditional oil and gas regions like Brazil and Southeast Asia, leading to a growing demand for offshore oil and gas service platforms [3] - OOS, the charterer, has extensive experience in the Brazilian market and has secured contracts with Petrobras for the operation and management of oil and gas service platforms using the chartered vessels [3] Group 4: Challenges and Strategic Response - Daya Intelligent faces challenges in its offshore wind power business due to declining installation and operation prices, high operational costs, and resource allocation issues since the 2021 offshore wind installation surge [4] - By leasing out the underperforming vessels, the company aims to convert inefficient assets into stable cash flow, thereby improving profitability and enhancing its competitive position [4]

Core Viewpoint - Daya Intelligent (大烨智能) has signed bareboat charter agreements for its vessels Jinhua 01 and Jinhua 02 with OOS to improve operational efficiency and generate stable rental income, which exceeds the company's projected revenue for 2024 [1][2][3] Group 1: Financial Impact - The bareboat charter contracts will generate a total rental income of approximately $48.73 million (around 347 million RMB) over the lease period, significantly surpassing the company's expected revenue of 337 million RMB for 2024 [1] - The daily rental price for each vessel is set at $22,250, with a minimum lease term of 1,095 days and a maximum of 1,245 days [1] Group 2: Market Context - The international oil and gas market is currently improving, with increased development efforts in traditional oil and gas regions such as Brazil and Southeast Asia, leading to a growing demand for offshore oil and gas service platforms [2] - OOS, the charterer, has extensive experience in the Brazilian market and has secured contracts with Petrobras for the operation and management of oil and gas service platforms [2] Group 3: Operational Strategy - The vessels Jinhua 01 and Jinhua 02 were originally built for oilfield service support and can be easily modified to meet the requirements of Petrobras [3] - The company aims to convert underperforming assets into stable cash flow through long-term leasing, thereby improving profitability and enhancing its competitive position in the market [3]