Qijing Machinery(603677)2024-07-23 10:25Group 1: Business Performance - The gross profit margin for the electric tools and automotive parts businesses is relatively high, while the home appliance parts business has a lower margin [2] - The automotive parts business has a gross profit margin of approximately 15%-20%, influenced by project ramp-up conditions [2] - The electric tools business experienced a year-on-year growth of over 40% in Q1 2024 [3] Group 2: Production Capacity and Utilization - The clutch production capacity utilization rate was over 80% in Q1 2024 [3] - The electric tools production capacity utilization rate exceeded 40%, showing recovery compared to the same period last year [3] Group 3: International Expansion - The company decided to establish a subsidiary in Thailand in 2020 to expand into international markets and meet existing and future customer demands [3] - The new factory in Thailand is expected to be completed in August 2024, with plans to gradually transfer production capacity from leased facilities [3] Group 4: Raw Material Management - The company does not currently engage in hedging transactions for raw materials but prepares to meet about one month of production needs [3] - The main raw materials for the company’s products include steel [4] Group 5: Dividend and Capital Operations - The decision on mid-term dividends for the current year has not yet been determined, but the company has maintained a high dividend payout ratio since its listing in 2017 [4] - The company is actively seeking capital operation opportunities but has not made any significant progress yet [4]