NCIC(SZ:002246)2025-06-11 08:24Group 1: Safety and Production Capacity - The company is closely monitoring market demand and will assess production capacity based on operational needs following recent safety incidents in the industry [3] - The utilization rate of the company's nitrocellulose production capacity was approximately 85% in 2024 [3] - The company has implemented safety measures to enhance the inherent safety level of its nitrocellulose production line, including online monitoring and alarm systems [3] Group 2: Market and Pricing Strategy - The company employs a flexible pricing strategy for its nitrocellulose products, adapting to market conditions and customer needs [3] - The export of traditional nitrocellulose products is primarily directed towards Southeast Asia, while high-end ink products are mainly exported to Europe [4] - The overall market demand for nitrocellulose is expected to remain stable in 2025, with growth anticipated in the high-end ink market [3][4] Group 3: Financial Performance - In Q1 2025, the company's operating revenue increased by CNY 146.9 million, a growth rate of 49.50%, primarily due to higher sales of nitrocellulose and defense products [6] - The total profit increased by CNY 45.72 million, attributed to the rise in revenue and corresponding gross profit [6] - The company’s cash balance at the end of 2024 was CNY 1.383 billion, with plans to focus on core business development and upgrading existing production lines [6] Group 4: Future Development and Investments - The company is currently constructing a 7,500 tons/year green intelligent casting production line, expected to support the pump industry’s transition towards greener and smarter production [6] - The company is exploring solutions for environmentally friendly fireworks, leveraging its nitrocellulose products [4] - The company is actively seeking more orders in the defense and environmental protection sectors as domestic economic conditions improve in 2025 [5]