ZFGF(SZ:300695)2022-12-04 10:14Group 1: Company Overview and Development Strategy - The company has transitioned from solely manufacturing bearings to providing innovative technical solutions, enhancing product design for improved performance [1][2] - The company has successfully developed the fourth generation of hub bearing units and has received recognition for four new products, with two achieving international advanced levels [2] - A total of 43 new products have been recognized at the provincial level, including 14 at international advanced levels and 24 at domestic leading levels [2] Group 2: Market Expansion and OEM Strategy - The company has entered the Southeast automotive supplier sequence and is actively engaging with other OEM clients [2] - Future sales from the OEM market are expected to significantly increase as the company has mastered core technologies to meet market demands [2] Group 3: Cost Structure and Pricing Strategy - Direct material costs accounted for 69.72%, 67.03%, and 69.95% of the main business costs from 2014 to 2016, indicating stability in cost structure [3] - The company employs a "production-based ordering" model for procurement, with raw material price fluctuations impacting production costs [3] - Pricing is determined based on internal cost calculations, market research, and adjustments for production cost fluctuations, considering foreign exchange risks due to international sales [3][4] Group 4: Market Penetration and Sales Efficiency - The penetration rate of third-generation hub bearing units is increasing as domestic brands adopt these technologies in mid-to-high-end models [4] - The company's sales expense ratio is lower than the industry average due to a focused business model and stable customer relationships, although it may rise with new customer acquisition efforts [4]