LSR(SZ:002858)2022-12-06 07:26Group 1: Company Overview - The company operates four main business areas: events, racetracks, racing teams, and automotive activity promotion [1] - Currently, the company has three racing teams, with the SAIC Volkswagen 333 team being the most established since 2001 [1] - The company focuses on event operations and racetrack management as its primary business objectives [2] Group 2: Event Operations - The company hosts three major national events: CTCC (China Touring Car Championship), China Karting Championship, and Huaxia Racing Grand Prix [2] - The CTCC has been renewed for another five years, with event rights held by the China Automobile and Motorcycle Sports Federation [2] - The company also organizes grassroots entertainment events, leveraging its racetrack facilities [2] Group 3: Racetrack Management - The Shanghai International Circuit was reportedly built with an investment of approximately 2.5 billion RMB, excluding land costs [2] - The company operates two international standard racetracks and is constructing a third in Zhuzhou, Hunan [2] - The profitability of racetracks is challenging due to high initial investment costs, but operational income can still be generated [2] Group 4: Automotive Activity Promotion - Revenue from automotive activity promotion is highly dependent on the needs of automotive manufacturers [2] - The company has the advantage of owning its facilities and understanding automotive needs, allowing for tailored promotional strategies [2] Group 5: Market Insights - The modified car market is seen as having significant potential, primarily driven by replacement and upgrade demands [3] - The karting market in Shanghai is still developing, with a positive outlook for future growth [3] - The automotive sports industry is supported by a substantial sports industry, indicating strong potential for growth [3]