Core Viewpoint - The company plans to invest 1.124 billion yuan in establishing a production base in Indonesia as part of its internationalization strategy, aiming to enhance market reach and competitiveness in the soft furniture industry [2][3]. Investment Details - The investment will be used to build a production base in the Kendal Industrial Park, Semarang, Central Java, Indonesia, including new production and R&D facilities, warehouses, and equipment [2]. - The project is expected to start in Q3 2025, with a total construction period of 4 years, and aims to achieve an annual revenue of approximately 2.52 billion yuan within 3 years after completion [2]. Market Context - The global soft furniture market reached 73.2 billion USD in 2023, with the Asia-Pacific and North America regions accounting for nearly 70% of consumption [2]. - The top five consumers in the global soft furniture market are the United States (28%), China (26%), Germany (5%), the United Kingdom (5%), and India (5%) [2]. Strategic Importance - The establishment of the Indonesian base is expected to expand production scale, improve efficiency, shorten supply cycles, and better meet customer demands, thereby enhancing the company's global competitiveness and market share in the soft furniture sector [3]. Previous Investments - Since 2018, the company has invested in overseas bases in Vietnam, Mexico, and the United States, which are now operating normally, providing valuable operational experience for the new Indonesian project [3]. Financial Performance - In the first half of 2025, the company reported a revenue of 9.801 billion yuan, a year-on-year increase of 10.02%, and a net profit of 1.021 billion yuan, up 13.89% [3].