Summary of the Conference Call for 德业股份 Company Overview - **Company**: 德业股份 (DeYee Co., Ltd.) - **Industry**: Inverter and energy storage solutions Key Financial Performance - **Revenue**: In the first three quarters of 2025, revenue reached 8.846 billion RMB, a year-on-year increase of 10.36% [4] - **Net Profit**: Net profit was 2.347 billion RMB, up 6.53% year-on-year [4] - **Inverter Business Revenue**: Revenue from inverter business was 4.585 billion RMB, a 9.76% increase [4] - **Energy Storage Inverter Revenue**: Revenue from energy storage inverters was 3.694 billion RMB, a 14.47% increase [4] - **Energy Storage Battery Pack Revenue**: Revenue from energy storage battery packs was 2.423 billion RMB, a significant increase of 57.88% [2] Business Segments and Growth - **Inverter Product Breakdown**: - Household storage contributed 2.598 billion RMB - Commercial storage contributed 1.096 billion RMB - String inverters revenue was 699 million RMB, up 10.75% - Micro-inverter revenue decreased by 55.53% to 129 million RMB [2][4] - **Market Share in Australia**: Currently at approximately 5%, with a target to increase to 15% by 2026. Expected sales in Australia for 2025 are projected between 250 million to 300 million RMB, and 1 billion to 1.5 billion RMB for 2026 [11][12] - **AIDC Product Development**: Focus on SST (Solid State Transformer) and PSU (Power Supply Unit) products, with SSD entering solid state transformer phase expected to complete in one year [13] - **AI Intelligent Scheduling System**: Used for VPP (Virtual Power Plant) management, currently applied in household storage market (90%) and commercial storage market (10%). Future monetization is possible to enhance customer energy management efficiency [14] Market Expansion and Future Outlook - **Indonesia Market**: Established presence over three to four years, leading brand with partnerships for a million photovoltaic plan. Large off-grid photovoltaic systems expected to roll out in 2026 [20][21] - **Ukraine Market**: Monthly growth rate of 70%-80%, with significant demand expected post-conflict [16] - **Global Demand**: Anticipated 20%-30% growth in household storage business, particularly in Europe, Southeast Asia, and the Middle East [19] - **US Market Strategy**: Collaborating with SolarEdge for inverter promotion and battery sales. Positive growth expected in 2026 due to demand and compliance with the "Great American Law" [22] Profitability and Cost Management - **Gross Margin**: Overall gross margin for the third quarter was 39%, with improvements due to increased shipments of energy storage inverters and maintaining a gross margin of around 60% for commercial storage [5][18] - **Sales Expense Control**: Sales expenses have remained stable despite rapid business expansion, with a decrease in sales expense ratio [33] Emerging Markets and Competitive Landscape - **Emerging Markets**: High market share in Southeast Asia, Middle East, and Africa, with annual growth rates of 30%-40% in regions like the Philippines and Vietnam [35] - **European Market Demand**: Focused on arbitrage and ancillary services, with strong growth expected [28] - **Battery Supply Chain**: Long-term contracts with battery suppliers, maintaining inventory levels and managing price increases effectively [30] Conclusion 德业股份 is positioned for significant growth in various markets, with a strong focus on innovation in energy storage and inverter technology. The company is actively expanding its market presence in Australia, Indonesia, and the US while maintaining profitability through effective cost management and strategic partnerships.

Core Viewpoint - The energy storage industry is transitioning from "policy-driven" to "market-driven" under the influence of global energy transformation and "dual carbon" goals, with Guoxia Technology's IPO marking a significant milestone in this evolution [1][8]. Group 1: Company Overview - Guoxia Technology is a leading enterprise in the "AI + Energy Storage" sector, developing a dual-platform service system called Safe ESS and HANCHU iESS, which enhances energy storage systems with intelligent capabilities [3]. - The company has established deep collaborations with universities and research institutions to tackle cutting-edge technical challenges in energy storage, forming strong technological barriers in key areas like liquid cooling storage [3]. Group 2: Financial Performance - Guoxia Technology's revenue is projected to soar from 142 million yuan in 2022 to 1.026 billion yuan in 2024, reflecting a compound annual growth rate (CAGR) of 168.9%, while gross profit is expected to rise from 35.6 million yuan to 155 million yuan, with a CAGR of 108.6% [4]. - The company ranks as the eighth largest energy storage system supplier in China and the tenth globally in terms of household energy storage system shipments in 2024 [4]. Group 3: Market Strategy - The company employs a "dual brand" strategy, focusing on the domestic market with the "Guoxia Technology" brand and expanding internationally with the "HANCHU ESS" brand, creating a complete cycle of "R&D - Manufacturing - Service" [6]. - Guoxia Technology plans to allocate IPO funds towards three strategic areas: advancing cutting-edge technology R&D, expanding intelligent production lines, and enhancing localized operations in overseas markets [6]. Group 4: Industry Impact - The IPO represents a commitment from Chinese energy storage companies to achieve global leadership, establishing a model of "technology-driven + capital-enabled" development for the industry [8]. - As technology continues to evolve and market expansion occurs, Guoxia Technology is expected to occupy a more central position in the global energy storage sector, leading the industry towards intelligent and international high-quality development [8].

Group 1 - The company is currently collaborating with the Shanghai Artificial Intelligence Research Institute to develop vertical applications of AI large models in the coal industry, including coal mine knowledge systems, AI intelligent safety hazard inspection systems, and AI intelligent scheduling systems [1] - The company plans to deepen its cooperation with research institutions in the future, expanding both the dimensions and depth of collaboration based on its operational development needs [1]