Tebian Electric Apparatus has shared insights regarding the factors affecting its stock price during a recent engagement with investors. The company highlighted that its stock price is influenced by various elements, including the macroeconomic environment, industry policies, market liquidity, and investor preferences.
During the Q&A session, one investor raised concerns about why Tebian Electric’s stock continues to decline despite its diverse industrial developments, including power transmission and coal businesses that help offset losses in its silicon material sector. Furthermore, the company has secured significant contracts for photovoltaic inverters since last year. The investor questioned whether the company’s communication efforts with investors are effective.
The company’s Secretary stated that it maintains open channels of communication with investors through various platforms, including performance briefings, investor hotlines, and public receptions. Company executives actively participate in events designed to enhance investor understanding of the company’s operations, governance, and strategic direction. This ongoing dialogue aims to boost investor confidence and clarify the company’s development plans and investment value.
Another investor inquired about the company’s silicone material business and its production capabilities at the Inner Mongolia and Zhundong facilities, which are currently undergoing maintenance and technological upgrades. The Secretary responded that once the market conditions are favorable, production can resume at these sites.
Concerns were also raised about potential undisclosed negative news affecting stock performance or suggestions that the company might be deliberately suppressing its stock price in line with quantitative trading strategies. The Secretary assured investors that the company complies with all disclosure regulations and that the stock price fluctuations are due to external factors rather than undisclosed issues.
Regarding technological advancements, an investor asked about Tebian Electric’s plans for granular silicon and its deployment of DeepSeek. The Secretary clarified that the company is not currently researching granular silicon but is exploring applications of artificial intelligence in areas such as smart manufacturing and supply chain management to enhance operational efficiency.
In terms of product development, the Secretary confirmed that the company has the capability to develop robot cables but has not yet marketed any related products, as the focus remains on core areas like electric power transmission and renewable energy.
As of September 30, 2024, the company reported an undistributed profit of 8.58 yuan per share, which is earmarked for operational investments. The dividend strategy will consider annual profits and future funding needs, with the aim of sharing the benefits of sustained growth with investors.
The company recently announced significant investments in an alumina project and two photovoltaic power stations, totaling approximately 101 billion yuan. Investors are eager to understand how these investments will positively impact company performance, especially in light of increasing electricity demand driven by advancements in artificial intelligence.
Inquiries regarding the current production capacity of inverters and existing orders revealed that the company has approximately 30GW of inverter orders for 2024, with varying profit margins depending on product specifications. The Secretary also confirmed that the high-voltage casing project has commenced production, projecting revenues of 369 million yuan for the casing business in 2024.
Finally, discussions about the company’s involvement with gas-insulated transmission lines (GIL) and modular substations indicated that Tebian Electric is actively engaged in research and development of these products, collaborating with universities and research institutions to enhance its technological offerings.
As of September 30, 2024, the total number of shareholders was 318,962, and the company continues to adhere strictly to information disclosure regulations while navigating the complexities of market dynamics.
