Summary of Chaoyang Technology Conference Call Company Overview - **Company**: Chaoyang Technology - **Industry**: Flexible Display, Solid-State Batteries, Optical Films Key Points Industry Trends and Market Demand - Chaoyang Technology has postponed some projects due to investment pressure and market demand considerations [2][3] - Current domestic models still use CPI (Polyimide) solutions, but brands like Apple prefer UTG (Ultra-Thin Glass) combined with PET [2][3] - SKC from South Korea meets most domestic CPI demand, but no local companies have achieved stable mass production [2][12] - CPI has significant potential in commercial aerospace, particularly for solar wings, with a projected market demand of $300 million to $600 million if 10,000 satellites are launched annually, each with a solar wing area of 20 square meters [2][3] Product Developments - Chaoyang Technology has made progress in solid-state battery electrolyte composite films, achieving a thickness breakthrough to 7 micrometers and stable mass production, leading the industry [2][5] - The company is developing a lithium-ion membrane and is currently validating it with the Institute of Physics at the Chinese Academy of Sciences, expecting to launch a finished product by the Spring Festival or March [2][5] - The company plans to establish a production line with an annual capacity of 500,000 square meters in the second half of the year to meet flexible display and commercial aerospace demands [2][6] Financial Performance and Projections - The reflective film business is stable, with a global market share of approximately 55% to 60%, primarily in the liquid crystal display sector [3][9] - Expected revenue for 2026 is between 900 million to 1 billion RMB, with a gross profit of 350 million to 380 million RMB and a net profit of 150 million to 200 million RMB, maintaining stable performance [3][10] - The solid-state battery business anticipates significant production from major clients, with a capacity of 4 GW, and other client orders expected to clarify in the second half of the year [3][7] Competitive Landscape - No domestic companies have achieved stable mass production of CPI films, with only SKC having a production capacity of 800,000 to 1 million square meters [12] - Chaoyang Technology is one of the earliest entrants in the solid-state electrolyte film sector, having established relationships with major clients like Ningde, Beijing Weilan, Panasonic, and Samsung [15] - The company’s membrane thickness of 7 micrometers is significantly thinner than competitors, who typically exceed 12 micrometers, providing a competitive edge in product compatibility [15] Challenges and Risks - The dry separator business faced challenges in 2025, leading to no production due to narrow application fields and intense market competition [8] - The company plans to handle impairment of related equipment this year, which may delay impacts but has been accounted for in previous financial assessments [8][20] - The optical base film business has a small capacity of about 20,000 tons, with actual production below 10,000 tons last year, but market conditions are improving [19] Future Outlook - The solid-state battery development is seen as a gradual process, with 2026 expected to be a pivotal year for advancements in semi-solid and solid-state technologies [16][17] - The reflective film business is projected to see slight growth due to stable television demand and increasing screen sizes [18] - Overall, Chaoyang Technology is focused on enhancing product value and expanding market applications to solidify its technological leadership [6]

Group 1 - The "2025 High-Quality Development Conference" was successfully held in Beijing, focusing on the theme "Crossing Cycles, Resilient Growth," with participation from over 200 listed companies and various industry leaders [1] - The "Golden Intelligence Award" was announced, recognizing over 140 companies, including Haier Smart Home and Eastroc Beverage, as exemplars of high-quality development from more than 8,000 candidates [1] Group 2 - Wog Technology's transformation from traditional display glass processing to advanced semiconductor packaging has garnered significant attention, marking a successful entry into the glass circuit board (GCP) industry [3] - The company has achieved a technological breakthrough after seven years of dedicated research, integrating glass with electronic circuit boards to create innovative materials essential for semiconductor packaging [3][4] - Wog Technology's self-developed CPI film has become a key substrate material for flexible solar wings in satellites, meeting the reliability requirements of extreme space environments [4] - The company emphasizes the importance of core equipment and materials in the development of AI and communication technologies, highlighting the urgency of addressing upstream challenges in the industry [4]

Core Viewpoint - The first Global Intelligent Machinery and Electronic Products Expo (AIE Expo) was held in Macau and Zhuhai, showcasing over 1,000 companies and numerous groundbreaking products and technologies, with a focus on the theme "Bay Area Intelligent Manufacturing, Global Sharing" [1] Group 1: Company Innovations - Woge Optoelectronics presented revolutionary technologies in GCP (Glass Circuit Board) and CPI (Transparent Polyimide) films, highlighting its advancements in Mini/Micro LED, CPO optoelectronic packaging, RF devices, advanced packaging, and flexible aerospace materials [1] - The company's CPI film, known as "flexible glass," features high transparency, high-temperature resistance, and foldability, making it suitable for flexible solar wings in satellites, significantly reducing satellite volume and weight while enhancing energy density [3][4] Group 2: Market Opportunities - The Chinese commercial aerospace industry is experiencing dual benefits from policy and market growth, with the "14th Five-Year Plan" emphasizing the construction of a "strong aerospace nation" and the establishment of a Commercial Aerospace Department by the National Space Administration [4] - Predictions indicate that the global commercial aerospace market will exceed $700 billion by 2025, with the domestic market potentially reaching 2.8 trillion yuan, growing from approximately 0.38 trillion yuan in 2015 to 2.3 trillion yuan by 2024, reflecting a compound annual growth rate of about 22% [4] Group 3: Technological Advancements - Woge Optoelectronics is set to launch the world's first 8.6-generation AMOLED glass-based precision processing production line, with an investment of 628 million yuan, marking a significant step in the new display sector [6][7] - The company has developed ECI technology for AMOLED glass thinning, cutting, and screen printing, enhancing panel precision and production efficiency, positioning it as a core supplier for the 8th generation OLED industry [9][10] Group 4: Strategic Positioning - Woge Optoelectronics has established a strong foundation in high-end new materials, leveraging its advancements in flexible aerospace materials to benefit from the explosive growth of the commercial aerospace industry [5] - The company has built a comprehensive technological ecosystem across semiconductor, new display, artificial intelligence, and commercial aerospace sectors, showcasing its capabilities at the AIE Expo [12]

Core Viewpoint - The company will participate in the Global Intelligent Machinery and Electronic Products Expo (AIE) from December 4-6, showcasing multiple technological achievements in the fields of GCP (Glass Circuit Boards) and CPI (Transparent Polyimide) films [1] Group 1: Event Participation - The company is set to exhibit at the AIE, highlighting its advancements in technology [1] - The event will take place from December 4 to 6 [1] Group 2: Technological Achievements - The company will showcase CPI films, particularly their application in flexible solar wings for aerospace satellites [1] - The company has successfully delivered CPI film materials and protective coatings for satellite flexible solar wings to clients, which are now in orbit [1]

Core Viewpoint - The company is focused on expanding its market share globally by enhancing its reflective functional films and exploring new application scenarios [1] Group 1: Business Strategy - The company aims to strengthen its core product lines, particularly reflective functional films, while actively seeking new application areas [1] - There is a commitment to concentrate resources and R&D efforts on optical base films, solid and semi-solid electrolyte base films, and CPI films to overcome technical barriers and achieve industrialization [1] - The company plans to develop a champion product series while ensuring comprehensive import substitution [1] Group 2: Target Applications - The company will focus on four major application scenarios: new displays, semiconductors, 5G, and new energy vehicles, as well as energy storage [1] - There is an emphasis on developing key functional film products that are heavily reliant on imports and urgently need to achieve import substitution within these four application areas [1] - The company is also committed to researching and reserving new products that align with future technological frontiers [1]

Core Viewpoint - The company Longyang Technology (SH688299) reported a research and development (R&D) expenditure of 48.21 million yuan for the first three quarters of 2025, indicating a commitment to innovation and development in various functional films [1] R&D Expenditure Details - The total R&D expenditure for the first three quarters of 2025 is 48.21 million yuan [1] - Specific R&D investments in various functional films such as reflective films, CPI films, semi-solid/solid battery skeleton films, semi-solid/solid battery ion-conducting films, and lithium battery separators were not detailed but can be found in the company's semi-annual and annual reports for 2025 [1]

Core Viewpoint - The company has not yet ventured into chip manufacturing and packaging for functional films, focusing instead on its CPI film project which is currently undergoing customer validation [1] Group 1: Company Developments - The company is collaborating with the Institute of Physics, Chinese Academy of Sciences, for research and development, with details available in their announcement regarding the signing of a technology development contract [1] - The company has developed a unique separator product with ultra-high porosity, large pore size, and high compressibility, which can be widely used across different electrolyte technology routes [1] Group 2: Product Applications and Benefits - The separator product demonstrates a leading ionic conductivity in polymer solid electrolyte batteries, surpassing competitors by an order of magnitude [1] - In practical applications with other electrolyte routes, the product effectively addresses the expansion issues of carbon-silicon anodes or lithium metal anodes [1] - Overall, the product significantly enhances the cycle life, capacity, operating temperature, safety, and cycling performance of solid and semi-solid batteries compared to traditional separators [1]

Core Viewpoint - The company, Changyang Technology, is currently not engaged in chip manufacturing and packaging for functional membranes, focusing instead on its CPI film project which is under customer validation [1] Group 1: Company Developments - The company is collaborating with the Institute of Physics, Chinese Academy of Sciences, for research and development, with details available in their announcement regarding the signing of a technology development contract [1] - The company has developed a unique membrane product with ultra-high porosity, large pore size, and high compressibility, which can be widely used across different electrolyte technology routes in solid-state or semi-solid-state batteries [1] Group 2: Product Applications and Benefits - When applied in polymer solid electrolyte batteries, the company's membrane can achieve ionic conductivity that is an order of magnitude higher than competitors [1] - The membrane effectively addresses the expansion issues associated with carbon-silicon anodes or lithium metal anodes in practical customer applications [1] - Overall, the product significantly enhances the cycle life, capacity, operating temperature, safety, and cycling performance of solid-state and semi-solid-state batteries compared to traditional membranes [1]

Group 1 - The core viewpoint of the article is that Changyang Technology is currently validating its CPI film project with customers, indicating ongoing development and potential future demand [1] - The electrolyte composite membrane (solid-state battery skeleton membrane) has received orders from leading domestic and international clients, although the market demand has not yet ramped up significantly, resulting in minimal revenue impact in the short term [1] - The company is also developing an industry-first ion-conducting membrane, which is still in the verification phase [1]

Group 1 - The core point of the article is that Changyang Technology (688299.SH) is currently validating its CPI film project with customers, indicating ongoing development in its product offerings [1] - The company has received orders for its electrolyte composite membrane (solid-state battery skeleton membrane) from leading domestic and international clients, although the market demand has not yet ramped up significantly, resulting in minimal revenue impact in the short term [1] - The company is also developing an industry-first ion-conducting membrane, which is still in the verification phase [1]