Summary of New Yangfeng Conference Call Company Overview - **Company**: New Yangfeng - **Industry**: Fertilizer Production Key Points and Arguments Sales Performance - In the first half of 2025, conventional fertilizer sales declined due to early spring demand and raw material price fluctuations, while new fertilizers were less affected. Sales in Q3 are expected to benefit from delayed demand release [2][5] - Conventional fertilizer sales dropped by over 10% in Q2, while new fertilizers, targeting economic crops, showed resilience [5] Risk Management - New Yangfeng effectively mitigates raw material price volatility through price protection agreements, potassium fertilizer import rights, and high integration within the supply chain. The company maintains low inventory levels to avoid speculative losses [2][6] Profit Margins - The gross margin for monoammonium phosphate (MAP) remains low, influenced by high phosphate rock prices. A decrease in phosphate rock prices is anticipated to improve profitability for MAP and conventional fertilizers [2][7] - Conventional fertilizers have a gross margin of only about 12%, as farmers are price-sensitive and the company cannot fully pass on cost increases [7] Research and Development - R&D expenses have increased due to the need for innovation in new fertilizer types and the construction of new production lines to meet market demand [2][8] - The company is focused on developing high-end controlled-release and water-soluble fertilizers, which require ongoing R&D investment [8][25] Export Opportunities - New Yangfeng received its first batch of phosphate fertilizer export quotas in May 2025, but limited exports were completed in H1 due to procedural delays. Most exports are expected to occur in Q3 [2][10][11] Market Dynamics - The company holds a high market share in Northeast China but faces limited growth potential there. However, it is experiencing rapid growth in South and Southeast China, with good revenue growth expected in East, South, and Northwest regions [3][21] - Climate disasters have a limited impact on overall sales, as farmers can adjust their fertilization schedules [3][22] Future Outlook - The company is optimistic about Q3 sales growth due to pent-up demand from Q2 and potential for increased exports [2][12] - The phosphoric acid project is 90% complete but is on hold due to unfavorable market prices. It can be launched quickly if profitability improves [2][15] Competitive Landscape - Small enterprises face challenges in capital expenditure, while large companies like New Yangfeng can invest significantly without major impacts on their operations [9] - The industry is experiencing increased concentration, with larger companies gaining market share due to their ability to adapt to raw material price fluctuations [13] New Product Development - Water-soluble fertilizers are identified as a promising new product category with high industrial profits [24] Financial Health - The company does not need to adjust convertible bond terms due to stable growth expectations, with projected earnings exceeding 2.5 billion yuan in the coming years [20] Additional Important Information - The company’s gross margin for new compound fertilizers is not expected to decline significantly due to technological advancements and the ability to innovate [23] - The impact of internal inspection policies on the phosphoric acid business is currently negligible, with expectations of reduced losses and potential profitability in the near future [18]

Summary of Yonyou Network Conference Call Company Overview - **Company**: Yonyou Network - **Industry**: Enterprise Resource Planning (ERP) and AI applications Key Points and Arguments 1. **Financial Performance**: Yonyou Network significantly reduced losses through personnel optimization, achieving a positive cash flow with a year-on-year increase of 600 million in operating cash flow in the first half of the year [2][3][4] 2. **Contract Growth**: New contract value increased by nearly 8% in the first half of the year, with a growth rate of 18% in the second quarter, indicating a notable improvement in operational conditions [2][3] 3. **Organizational Restructuring**: The company shifted from a regional management structure to an industry vertical management model, which initially impacted orders but is expected to improve significantly starting from Q1 2025 [2][3][7] 4. **BIP Platform Investment**: Yonyou has invested 10 billion in the BIP platform, accounting for 60% of total revenue, aiming to provide comprehensive solutions by integrating internal data and business flows, similar to ServiceNow [2][5][6] 5. **Upcoming Product Launch**: A new version of the BIP platform (BIP5) will be released in mid-August 2025, enhancing technical architecture and functionality to better meet the needs of large enterprises [2][5][6] 6. **AI Product Development**: The company plans to launch multiple AI agent products in areas such as inventory management and human resources next week, with further AI-related updates expected in the mid-term report on August 30, 2025 [2][8] 7. **Revenue Forecast**: Yonyou Network anticipates a revenue growth of nearly 10% this year, reaching 9.88 billion, with projections of over 10% growth next year and 12.5 billion by 2027 [4][10] 8. **Profitability Outlook**: The company expects to significantly narrow losses this year, achieve breakeven next year, and gradually restore normal profit margins thereafter [4][10] 9. **Valuation Comparison**: Yonyou's current price-to-sales (PS) ratio is 5.4 times, which is over 40% lower than the industry average of 7.6 times, indicating substantial upside potential [4][10] Additional Important Information - **Market Position**: As the largest ERP provider in China, Yonyou's BIP platform is positioned to compete effectively in the enterprise service market [5][6] - **AI Application Trends**: The global enterprise service AI application market is rapidly evolving, with significant developments from companies like SAP, Salesforce, and ServiceNow, which Yonyou aims to leverage [6][8] - **Other Companies of Interest**: Recommendations include Wanjun Technology and Shensanda, with Wanjun expected to see significant progress in the multi-modal field and Shensanda excelling in data services [11][12]

Summary of Anqi Yeast Conference Call Company Overview - The conference call focuses on Anqi Yeast, a company significantly impacted by production capacity cycles and raw material costs, particularly molasses, which accounts for 40%-50% of raw material costs [2][3]. Key Points and Arguments 1. **Profitability Influences**: Anqi Yeast's profitability is significantly affected by molasses prices and transportation costs, leading to cyclical profit changes [2][3]. 2. **Strategies to Mitigate Costs**: The company is implementing strategies such as building factories near molasses production sites, exploring alternatives like hydrolyzed sugar, and attempting to acquire upstream sugar factories to manage raw material costs [2][5]. 3. **Capital Expenditure and Depreciation**: During the 14th Five-Year Plan, Anqi Yeast underwent large-scale capacity migration, resulting in high fixed asset investments and increased depreciation costs. As the domestic market saturates, the focus is shifting to overseas markets, leading to a slowdown in capital expenditures [2][6]. 4. **Global Molasses Price Trends**: Global molasses prices have significantly declined since 2023 and are expected to continue decreasing over the next 1-2 years due to slowed yeast production expansion and increased sugarcane and beet planting areas [2][7]. 5. **Profit Margin Improvement**: The decline in molasses prices is anticipated to enhance Anqi Yeast's profit margins, with a projected turning point in profitability expected between Q4 2024 and Q1 2025, leading to an increase in ROE for 1-2 years [2][7]. 6. **Market Growth**: The company maintains a business structure with 80% B-end and 20% C-end, relying on capacity release and order conditions for growth. Despite a slowdown in the domestic market, overseas markets are expected to grow at 15%-20% annually [3][7]. 7. **Core Products and New Growth Points**: Anqi Yeast's core products include yeast, yeast extracts, and yeast protein, with ongoing investments in marketing and capacity building. New product launches in the sports yeast protein sector are expected to drive revenue growth [3][8]. Additional Important Insights - **Cyclical Revenue Growth**: Anqi Yeast's revenue growth typically ranges from 10% to 20%, but profit growth shows significant cyclical fluctuations, influenced by capital expenditure and raw material costs [3]. - **Long-term Investment Value**: The company is viewed as a long-term investment opportunity due to the expected decline in raw material prices, which will positively impact profit margins and ROE, alongside stable growth potential from overseas market expansion [7][8]. - **Product Line Diversification**: The company is diversifying its product line with derivatives for animal feed and other synthetic biological products, contributing to a clearer main business structure and a gradient growth model [8].

Summary of Beijing Geekplus Technology Co., Ltd. Conference Call Company Overview - **Company**: Beijing Geekplus Technology Co., Ltd. - **Industry**: Autonomous Mobile Robots (AMR) - **Market Position**: Largest third-party AMR warehouse fulfillment solution provider with a 9% global market share in 2024 [15][3] Key Industry Insights - **AMR Market Growth**: The global AMR Total Addressable Market (TAM) was Rmb39 billion in 2024, representing 8% of the total warehouse automation market. It is projected to grow at a 33% CAGR from 2024 to 2029, reaching Rmb162 billion and achieving a penetration level of 20% by 2029 [2][8] - **Demand Drivers**: The demand for AMRs is driven by the need for efficiency in logistics and fulfillment centers, with a projected increase in global warehouse count by 27% to 180,000 by 2025 [55][62] Financial Performance and Projections - **Revenue Growth**: Geekplus's revenue expanded at a 29% CAGR from 2022 to 2024 and is expected to rise at a 31% CAGR from 2025 to 2027, reaching Rmb5,453 million by 2027 [18][77] - **Profitability**: The company is projected to achieve its first positive profit in the second half of 2025, with net margins expected to reach 13% by 2027 [4][50] - **Overseas Revenue Contribution**: In 2024, 72% of revenue came from overseas sales, expected to increase to 75% by 2027, with a gross profit margin of 47% compared to 11% domestically [3][4] Competitive Advantages - **Comprehensive Solutions**: Geekplus offers a wide range of AMR solutions tailored to different warehouse needs, including shelf-to-person, tote-to-person, and pallet-to-person systems, which enhances its competitive edge [72][75] - **Scalability**: The company has demonstrated industry-leading scalability, managing large fleets of robots with proprietary software algorithms, allowing for optimal warehouse management [73][74] Risks and Challenges - **Market Competition**: Key downside risks include intensifying competition from existing players and new entrants, as well as geopolitical uncertainties [5][54] - **Cyclical Demand**: Potential weakness in the warehouse automation cycle and loss of key clients could impact growth [5][54] Investment Outlook - **Price Target**: Initiated at Overweight with a price target of HK$21.60, representing a 20% upside from the current price of HK$17.95 [4][40] - **Valuation Methodology**: The price target is based on a 6.5x price-to-sales multiple, which is a 40% discount to Symbotic's 2026e P/S, justified by differences in revenue and customer stickiness [4][40] Conclusion - **Market Leadership**: Geekplus is well-positioned to capture the fast-growing AMR market, supported by strong product offerings and increasing overseas revenue contributions, while facing challenges from competition and market cycles [43][44]

Summary of China Pet Foods (002891.SZ) Earnings Call Company Overview - **Company**: China Pet Foods (002891.SZ) - **Market Cap**: Rmb17.3 billion / $2.4 billion - **Enterprise Value**: Rmb17.9 billion / $2.5 billion - **Current Price**: Rmb58.72 - **Target Price**: Rmb63.00 - **Upside Potential**: 7.3% [1][4] Key Highlights Domestic Sales Performance - **Sales Growth**: Domestic sales increased by over 35% year-on-year (yoy) in 2Q25, driven by strong performance from brands Wanpy and Toptrees, which grew by 30% and 70% respectively [1] - **Sales Target Adjustment**: Management raised the domestic sales growth target for 2025 from 30% to 35% yoy due to better-than-expected momentum [1][2] Overseas Sales and Expansion - **Export Impact**: The company anticipates that the negative impacts from tariffs on overseas orders will stabilize starting from 3Q25, with ongoing negotiations on order prices [1] - **Factory Developments**: A new factory in New Mexico with an annual capacity of Rmb150 million has been launched, contributing to a projected 30% yoy growth in overseas factory sales for the full year [1] - **Own Brand Sales**: Achieved approximately Rmb200 million in sales from its own brand overseas in 1H25, with Wanpy contributing over 50%. The mid-term revenue target for its own brand is set at USD200 million, with FY25 sales guidance increased from Rmb400 million to Rmb450 million [1][2] Financial Performance and Projections - **Revenue Estimates**: FY25 revenue estimates increased by 1% to Rmb5,455 million, while net income estimates were lowered by 2% due to higher-than-expected selling costs [2][23] - **Earnings Projections**: Expected EPS for FY25 is Rmb1.47, with a projected growth of 9.5% in EPS for FY26 [4][11] - **Gross Margin**: Domestic gross profit margin (GPM) increased by approximately 1 percentage point yoy to 38% in 1H25, with expectations for future margin improvements [20] Strategic Initiatives - **Product Launches**: Wanpy is set to launch a new Precision Nutrition series at the Asia Pet Fair, with higher pricing and margin expectations compared to the Little Golden Shield series [20] - **Market Positioning**: The company is expanding its team for overseas markets, focusing on Southeast Asia, the Middle East, and South America, while targeting developed countries with specific brands [20] Risks and Challenges - **Key Risks**: Potential risks include slower-than-expected domestic revenue growth, food safety issues, foreign exchange fluctuations, rising freight and raw material costs, and additional tariffs on pet food exports to the US [27] Conclusion - **Investment Recommendation**: The company maintains a "Buy" rating with a target price of Rmb63.00, supported by strong domestic growth and strategic overseas expansion initiatives [16][23]

Summary of Vanchip (688153.SS) Conference Call Company Overview - **Company**: Vanchip - **Ticker**: 688153.SS - **Industry**: Semiconductor, specifically focusing on RF (Radio Frequency) Power Amplifiers (PA) for smartphones and automotive applications Key Points Industry and Market Dynamics - Vanchip is diversifying its product offerings towards automotive applications due to slowing growth in the smartphone market [1] - The company provides comprehensive 5G cellular solutions for vehicles, including various automotive-grade chips that meet AEC-Q100 qualification [1] - The automotive market presents higher technical barriers compared to consumer electronics, with chips needing to operate under a wide temperature range and have life cycles exceeding 12 years [1] Financial Performance and Projections - Management expects Vanchip to generate revenues of over Rmb10 million in 2025, significantly lower than the estimated Rmb2.8 billion for the same year [2] - Earnings estimates for 2025-2027 have been revised down by 62%, 51%, and 23% respectively due to lower revenue expectations and gross margins [3] - Revenue projections for 2025-2027 have been cut by 20%, 21%, and 21% respectively, reflecting a flat smartphone market and intense competition [3] Revenue and Earnings Estimates - Revised revenue estimates for 2025: Rmb2.846 billion (down from Rmb3.578 billion), 2026: Rmb3.892 billion (down from Rmb4.951 billion), and 2027: Rmb4.721 billion (down from Rmb5.965 billion) [8] - Gross profit and net income estimates have also been significantly reduced, with net income for 2025 now projected at Rmb105 million (down from Rmb280 million) [8] Growth Outlook - Despite the downward revisions, Vanchip is expected to see solid revenue growth with a projected 66% year-over-year growth in the second half of 2025, driven by better seasonality and increased shipments of high-end smartphone RFFE products [3] - The company anticipates a compound annual growth rate (CAGR) of 29% in revenues from 2025 to 2027 [3] Competitive Landscape - The smartphone market is saturated, and competition among PA players is expected to impact Vanchip's near-term valuation expansion [2] - The company is focusing on product expansion into higher-end 5G PA modules and increasing adoption by local smartphone customers [10][19] Valuation and Price Target - The 12-month target price for Vanchip is set at Rmb35.4, reflecting a P/E multiple of 68x based on 2026E EPS [18] - The target P/E is lower than the company's historical average, indicating the impact of competition in the saturated smartphone market [18] Risks and Considerations - Key risks include fluctuations in smartphone demand, the pace of new product development, and the level of competition in the market [18] Conclusion - Vanchip is positioned to benefit from the growing demand for 5G RF ICs and product line expansion, but the current valuation suggests that most positives have already been factored in, leading to a Neutral rating [20]

Summary of Estun Automation Co. (002747.SZ) Conference Call Company Overview - **Company**: Estun Automation Co. (002747.SZ) - **Industry**: Industrial Robotics and Automation - **Current Rating**: Downgraded from Neutral to Sell - **12-Month Target Price**: Rmb9.90, implying a 57% downside potential from the current price of Rmb24.21 [1][25] Key Points Financial Performance and Forecasts - **YTD Performance**: Stock has rebounded +16% in 2025 YTD, outperforming both the average return of the China Industrial Tech sector (+13%) and the CSI300 index (+6%) [1][19] - **Revenue Forecasts**: - 2025E Revenue: Rmb4,710.6 million - 2026E Revenue: Rmb5,442.6 million - 2027E Revenue: Rmb6,224.2 million [3][11] - **EPS Forecasts**: - 2025E EPS: Rmb0.08 - 2026E EPS: Rmb0.28 - 2027E EPS: Rmb0.35 [3][11] - **EBITDA**: Expected to improve from a loss of Rmb27.2 million in 2024 to Rmb387.3 million in 2025E [3][11] Market Position and Competitive Landscape - **Market Share**: Estun is the No.1 industrial robot maker in the domestic market, achieving an 11% market share YTD [7][22] - **Competition**: The humanoid robot market is becoming increasingly competitive, with Estun facing challenges from numerous competitors despite its early-stage R&D in humanoid robots [14][23] End-Market Exposure - **High Exposure**: Estun has a 38% exposure to unfavorable end-markets, specifically solar (13%) and auto (25%) sectors, compared to an average of 14% for its peers [7][15] - **Capex Trends**: Expected capex growth in solar is projected to decline by -72% in 2025E and -5% in 2026E, while auto capex is expected to turn negative at -16% in 2026E [7][25] Margin and Profitability Concerns - **Stagnant Margins**: Despite gaining market share, Estun's margins have shown limited improvement due to persistent pricing competition [13][34] - **Earnings Track Record**: The company has an inconsistent earnings track record, which raises concerns about its ability to sustain profitability [34] Risks and Upside Potential - **Downside Risks**: - High exposure to unfavorable end-markets - Stagnant margins despite market share gains - Uncertain outlook for humanoid robot business - Inconsistent earnings performance [34][35] - **Upside Risks**: - Faster-than-expected market share gains - Shift towards favorable end-markets - Improved margin trends - Accelerated humanoid robot development [27][28][31] Conclusion - **Investment Thesis**: Estun Automation Co. is positioned as a leader in the domestic industrial robot market but faces significant challenges due to high exposure to unfavorable end-markets, stagnant margins, and intense competition in the humanoid robot sector. The current valuation appears demanding given the substantial downside potential, leading to a Sell rating [34][35]

Summary of Wuhan Raycus Fiber Laser Tech (300747.SZ) Conference Call Company Overview - **Company**: Wuhan Raycus Fiber Laser Tech (300747.SZ) - **Industry**: Fiber Laser Generators within China Industrial Tech & Machinery Key Points and Arguments 1. **Share Price Performance**: Raycus' share price increased by 27% year-to-date in 2025, outperforming the China Industrial Tech coverage median of 8% due to positive sentiment around its defense business, particularly low-altitude laser anti-drone systems [1][2] 2. **Defense Business Contribution**: The defense segment is expected to contribute less than Rmb100 million (or <3% of total sales) in 2024, indicating limited earnings impact in the near term [1][2] 3. **Challenges in Core Business**: The main business of fiber laser generators faces several challenges: - High base and tariff concerns leading to a softening of domestic automation capital expenditure demand in the second half of 2025 [1] - Stagnation in market share gains since 2021 due to intense competition [1] - Pressure on margins, with gross profit margin declining by 6 percentage points year-over-year in Q1 2025 and 1 percentage point in 2024 [1] 4. **Revenue and Earnings Forecasts**: The 2025-2030 net income forecasts have been cut by an average of 30%, leading to a target price decline of approximately 14% to Rmb13.4 [2] 5. **Valuation Metrics**: Current share price levels are considered premium, trading at 45x 12-month forward P/E against a 24% earnings CAGR for 2026-2030 [2] 6. **Market Share**: Raycus holds a 23% market share in the domestic fiber laser generator market, but growth potential appears limited due to competition from higher-end suppliers like IPG [34][17] 7. **ASP Decline**: Continuous wave (CW) laser average selling prices (ASP) have declined by 23% over the past five years, with expectations of an additional 11% CAGR decline from 2024 to 2030 due to competition [33][34] 8. **Long-term Growth Outlook**: Despite challenges, the long-term growth outlook for the fiber laser generator market is projected at a 6% CAGR from 2024 to 2030, with higher growth anticipated in high-power applications [34] Additional Important Content 1. **Financial Projections**: - Revenue projections for 2025E are Rmb3,405.1 million, with a net income of Rmb173.1 million [4][13] - EPS is expected to grow from Rmb0.24 in 2024 to Rmb0.31 in 2025 [4][13] 2. **Cash Flow and Capital Expenditures**: Cash flow from operations is projected to be Rmb325.8 million in 2025, with capital expenditures of Rmb170.3 million [13] 3. **Risks and Upside Potential**: - Risks include intense pricing competition and limited market share improvement [34] - Upside potential exists if overseas expansion or defense business progress exceeds expectations, or if pricing pressure is less severe than anticipated [33][35] Conclusion Wuhan Raycus Fiber Laser Tech is facing significant challenges in its core business of fiber laser generators, with limited contributions from its defense segment. The company is currently rated as a "Sell" due to overvaluation and a modest long-term growth outlook, despite a strong market position in the fiber laser generator industry.

Summary of Luster LightTech Co. (688400.SS) Conference Call Company Overview - **Company**: Luster LightTech Co. (688400.SS) - **Industry**: Optical Motion Capture (MoCap) and Machine Vision Technology Key Points and Arguments Industry Dynamics - The optical MoCap business is experiencing a surge driven by increasing demand for humanoid training from universities, scientific institutions, and AI companies, with a projected 4-5x year-over-year growth in 2025 [17][30] - The global market share for optical MoCap is expected to decline from 64% in 2025 to 56% in 2030, while hybrid solutions will increase from 18% to 23% in the same period [18][23] - The total addressable market (TAM) for humanoid-related MoCap is forecasted to expand from Rmb3 billion in 2025 to Rmb26 billion by 2030, representing a CAGR of +54% [18][22] Financial Performance and Projections - Luster's revenue is expected to grow at a CAGR of 16% from 2025 to 2030, driven by a 28% CAGR in machine vision systems and a 15% CAGR in machine vision equipment [30] - The company's optical motion capture system is projected to contribute 18% to revenue and 17% to net income by 2030, up from just 3% in 2025 [22][28] - The earnings outlook for 2025 has been adjusted down by 6% due to lower-than-expected consumer electronics demand, while EPS for 2026-2030 has been revised up by 6% to 27% [30][33] Market Position and Valuation - Luster's 12-month target price (TP) has been increased by 44% to Rmb22.1, based on a 2030E P/E of 30x [30][31] - The current valuation implies a 30% downside from current levels, compared to 4% for the broader China Industrials coverage [30][33] - The company has seen a significant increase in revenue from its FZMotion motion capture systems, particularly in humanoid robot applications, with a 180% year-over-year revenue increase in Q1 2025 [19] Risks and Challenges - Key risks include the pace of recovery in the new energy sector, development of vision software, and competition in the machine vision industry [15][34][36] - The company has lost 2 percentage points in net profit margin over the past two years due to pricing competition, which could continue to impact margins if the industry remains competitive [37] Conclusion - Luster LightTech is positioned to benefit from the growing demand for humanoid-driven MoCap technology, with significant revenue growth expected in the coming years. However, the company faces challenges related to market competition and external economic factors that could impact its performance.

Summary of Haibo's Conference Call Company Overview - Haibo focuses on energy storage system integration, covering power side, grid side, and user side, with self-developed EMS and operation & maintenance products [2][3] - The company has achieved a revenue growth of 117% over the past four years, with sustained high profit growth [2][3] Core Insights and Arguments - **Market Dynamics**: The domestic energy storage market is transitioning from mandatory to market-based allocation, leading to uncertain demand. However, data since Q3 indicates that energy storage demand will continue to grow through 2025 [2][5] - **Profitability**: Haibo's gross margin for energy storage systems has slightly declined but remains above the industry average, benefiting from a favorable domestic market and expansion into high-margin overseas markets [5][11] - **Independent Storage Growth**: The proportion of independent energy storage has significantly increased, with a gradual formation of a spot trading model and the introduction of capacity pricing policies, providing important revenue models [2][6] - **Strategic Partnerships**: Collaborations with Ningde and Yiwei have enabled Haibo to secure better pricing and rebate mechanisms, contributing to the lowest expense ratio in the industry [3][9] Overseas Market Expansion - Haibo has successfully entered overseas markets, with rapid growth in Europe, the Middle East, Australia, and Latin America. The company has signed supply agreements and received multiple GWh-level project orders [10][11] - Price differences across regions are notable, with gross margins in the U.S. potentially reaching over 35%, while Europe and Australia maintain around 30% [11][12] Future Growth and Profitability - Haibo's domestic profitability is stable at approximately 0.03 CNY per watt. If overseas business reaches 10% of total revenue with a profit of 0.1 CNY per watt, overall profitability could double [12][13] - The company anticipates that by 2026, overseas business will exceed 10% of total revenue, significantly enhancing unit profitability elasticity [13] Additional Important Points - Haibo is actively pursuing excess revenue sharing models and AI collaborations to strengthen its competitive edge [2][6] - The company plans to focus on operation and maintenance services as a key growth area, with overseas operations becoming an important revenue source [8][10] - The stable pricing system and refined management capabilities in the domestic market contribute to Haibo's competitive advantage [9]