TKC(SZ:200512)2025-05-14 07:44Group 1: Impact of U.S. Tariffs - The U.S. imposed a 10% base tariff starting April 2, 2025, with a 90-day exemption period for other countries, leading to cautious order placements from clients [3] - The company has shifted existing orders to its Indonesian subsidiary to mitigate tariff impacts, with increased costs borne by customers [3] - The company is adopting FOB trading terms to avoid direct exposure to high import tariffs and is enhancing supply chain collaboration to reduce costs [3] Group 2: Domestic Market Development - The company is actively expanding its domestic market presence through a joint venture established in Q1 2025, leveraging the partner's industry resources and sales experience [4] - Efforts are underway to integrate resources for brand building in the domestic market [4] Group 3: Financial Management and Shareholder Returns - The company holds over 1 billion in cash assets, significantly exceeding its market value, with a proposed dividend distribution of 1.8 per share for 2024, representing 45.85% of net profit [4] - The estimated dividend yield is approximately 6%, which is above market averages, but the company is cautious about mid-term dividends due to global economic uncertainties [4] - The feasibility of share buybacks is complex due to the need for alignment with the parent company's decisions and local regulatory requirements [5] Group 4: Market Valuation and Stock Exchange Considerations - The company's market value is significantly lower than its net assets, raising questions about potential share buybacks for long-term development [5] - The B-share market's low liquidity and trading volume pose challenges, and transitioning to the Hong Kong stock market may not be advantageous due to the company's profile as a small to medium-sized enterprise [5]