On the evening of March 26, Chongqing International Composites Co., Ltd. (hereinafter referred to as "International Composites") released its 2024 annual report. In 2024, the company achieved operating revenue of 7.362 billion yuan, an increase of 2.87% year-on-year. Affected by factors such as a decline in product prices, reduced foreign exchange gains, and increased asset impairments, the net profit attributable to shareholders of the listed company was -354 million yuan. During the reporting period, the net cash flow generated from operating activities was 1.701 billion yuan, a significant increase of 209.76% year-on-year.

In 2024, the global economic situation is complex and ever-changing, with increasing uncertainties in the external development environment of the fiberglass and products industry. The company and major fiberglass enterprises are actively responding to the reality of transitioning from rapid growth to high-quality development, continuously optimizing structures and controlling capacity, while the industry gradually breaks free from the vortex of "involutionary" vicious competition. During the reporting period, the company actively implements the "14th Five-Year Plan" development strategy, aiming to "strengthen and optimize the fiberglass and composite materials industry." This includes deepening reforms, focusing on core business, thoroughly exploring markets, comprehensively analyzing market development patterns, enhancing internal management, seizing market opportunities, stabilizing production operations, strictly controlling operational risks, optimizing capital structure, and continuously improving the company's operating performance.

The annual report shows that in 2024, the company will focus on digital empowerment to create a benchmark for intelligent manufacturing. By undertaking the "Yuntianhua Group Digital Five-Year Plan," the company will further improve its top-level design for digitalization and fully implement the five-year digital transformation plan. In terms of digital efficiency improvements, during the reporting period, the company has deployed industry-leading intelligent manufacturing systems on newly built production lines, successfully launching the drying process auxiliary scheduling system for the first time in the industry, resulting in an 80% increase in employee operating efficiency and a 0.5% reduction in energy consumption for the drying process. The company also deployed, for the first time in the industry, an intelligent optimization control system for the drying unit based on edge computing terminals, reducing natural gas consumption of the burners by approximately 8.5%.

In 2024, the company strengthened innovation and quality enhancement, increased R&D investment, and implemented innovative development, promoting the deep integration of market, research and development, and production through full-chain innovation. For example, specialized fabrics were developed to address the fatigue performance of biodegradable epoxy resins, meeting the requirements of leading offshore wind power enterprises; based on self-produced raw materials, upgrades and development of flagship products 301HP third generation and core product 305G second generation fiberglass formulations were achieved, resulting in a 34% reduction in the cost of the wetting agent used, with the self-sufficiency rate of both products exceeding 50%.

In 2024, the company will seize significant opportunities arising from the development of green energy, automotive lightweighting, new infrastructure, energy-saving buildings, and electronic communication industries, accelerating the construction of an industrial ecosystem comprising "mineral raw materials + fiberglass yarn + fiberglass products + fiberglass reinforced composites." Looking ahead to 2025, International Composites will continue to focus on the core processes of the entire industry chain, including "mineral raw materials - wetting agent raw materials - precious metal leakage plates - pool kiln equipment - fiberglass products - fiberglass composites," continuously optimizing product structure, expanding market share, ensuring stable production operations, and enhancing product added value and economic benefits. At the same time, we will accelerate the research and development of composite materials and the transformation of achievements, comprehensively improve product quality, reshape brand image, and consolidate our leading position in the industry. Through deepening reform, strengthening innovation, planning development, and improving efficiency, we will promote sustainable high-quality development.