HL CORP(SZ:002105)2022-12-06 09:44Business Overview - The company has over 40 years of development history, starting from bicycle parts production and sales, and currently operates in three main business segments: bicycle parts, sports fitness equipment, and rehabilitation equipment [1][2] - The sales revenue of sports fitness and rehabilitation equipment currently accounts for approximately 30%, with a target to reach 50% in the future [2] Performance and Financials - The company experienced good performance growth in the first half of the year due to reduced losses from subsidiaries and improved operational conditions [2] - Received approximately 20 million RMB in compensation and relocation fees from a project agreement, which positively impacted the company's financials [2] - Approximately 60% of the company's products are exported, benefiting from the depreciation of the RMB, which enhances performance [2] Market Strategy - The company primarily sells its products through OEM and ODM models for exports, while focusing on building its own brand in the domestic market [2][3] - The introduction of the "Rim Paradise" project aims to attract children to experience their products in a recreational setting, with a pilot operation starting in July 2015 [3] Production and Supply Chain - The company sources most of its raw materials domestically, with some high-end equipment imported from Taiwan [3][4] - It has three production bases located in Shenzhen, Taicang, and Tianjin, strategically distributing production capacity across northern, central, and southern regions [4] Industry Position and Future Plans - The company has not engaged in capital operations due to sufficient operational funds and the limited availability of suitable acquisition targets in the domestic sports and health industry [4][5] - The company does not plan to enter the gym industry due to high competition and market homogeneity [5]