Star Shuai (002860) issued an announcement on September 25th, 2021: Teda Manulife Fund Management Co., Ltd. Zhang Xun, Zhang Yan, Qiu Nanyu, Sun Shuo, Chinese Merchants Fund Management Co., Ltd. Huang can, Qiu Kai, Zhang Yudi, Chen Xiaqiong, Yang Zhidong, Jinxi, China Galaxy Securities Co., Ltd. Li Guanhua, Tian Wei investigated our company on September 24, 2021 The survey was received by Lu Qunfeng, deputy general manager and secretary of the board of directors, and Tian Bihua, representative of securities affairs.

The main contents of this survey are as follows:
Lu Qunfeng, deputy general manager and secretary of the board of directors, briefly introduced the basic situation of the company. Thank you very much for your research on Xing Shuai er by researchers and investors. This research activity is in the form of a conference call. Welcome to come to the company for on-site research, visit and guidance. Xingshuai was listed on the small and medium-sized board of the Shenzhen Stock Exchange in April 2017. as a high-tech enterprise, it has strong innovation ability and independent research and development ability. it organizes or participates in the formulation of national or industry standards and is highly recognized by customers. The company's main business is R & D, production and sales of various types of thermal protectors for refrigeration compressors, starters, sealed terminal posts, temperature controllers for small household appliances, small and medium-sized and micro motor products, and solar photovoltaic modules. in the future, the company will focus on the photovoltaic field. In the first half of 2021, the company continued to give full play to the advantages of the industry, solidly carried out production, operation and management activities, actively opened up new markets, increased revenue and reduced expenditure, and made sufficient orders, achieving an operating income of 734 million yuan and a net profit of 85.23 million yuan, up 76.20% and 60.68% respectively over the same period last year.
II. Question session
1. What is the company's plan for future business development? The performance of the company's white goods business segment can maintain steady growth every year, constantly breaking through the all-time high. In the future, we will build a development model with one body and two wings, that is, "based on the home appliance plate and guided by the new energy plate", focusing on the new energy plate, marching into the photovoltaic field, and actively grasping the development tide of the global photovoltaic industry. in this brand-new track, serve the global green new energy cause, become a great company, and actively return to the majority of investors.
2. The company attaches importance to the photovoltaic technology team of Fuller New Energy. Are there any measures to attract and retain talents? Fuller New Energy exceeds the performance commitment, and the company will reward its relevant personnel in a certain proportion. If the company implements equity (options, etc.) incentives in the later stage, it will also include the management, R & D personnel and talents of Fuller New Energy into the scope of incentive objects.
3. How are the customers of Fuller New Energy? Fuller New Energy's photovoltaic products are sold directly or indirectly at home and abroad, and customers have cooperated with Taiheng New Energy, a Canadian company, Hebei Juli rigging (Juli New Energy), China Electronic Technology (Jiaxing 36), and other potential high-quality customers are also in cooperation negotiations. Fuller New Energy is the only qualified supplier for a Canadian customer in China. The cooperative relationship is very stable and technical exchanges have been maintained all the time. Although affected to some extent by the epidemic, the supply of components remained good. In addition, in May this year, we signed an annual procurement framework strategic cooperation agreement with Taiheng New Energy, which stipulates that Taiheng New Energy shall purchase no less than 5GW monocrystalline silicon 182 solar modules from Fuller New Energy; at the same time, Fuller New Energy will purchase solar panels from Taiheng New Energy. Fuller New Energy currently has very full orders, far exceeding the existing production capacity. More enterprises went to Fuller to review the factory, and the two sides maintained a cooperative relationship of close communication and communication. Due to the shortage of existing production capacity of Fuller, we will adhere to the cautious attitude of being responsible to investors, speed up the construction of plant and equipment for the expansion project, and hold in-depth cooperation with customers after the new production line is completed and put into production. strive to expand the business territory of domestic and foreign markets.
4. Does Xingshuai have any other investment plans in the future besides component products in the photovoltaic field? Yes, Xingshuai will combine the advantages of capital and management of listed companies with the advantages of talent, customers, technology and equipment resources of Fuller New Energy, while expanding and strengthening photovoltaic modules, layout to the upstream and downstream of the components, such as batteries, materials, power station construction and other areas, in a variety of ways to expand the business layout. In particular, as the core element of solar modules, we look forward to the opportunity to cooperate with relevant companies producing solar panels. The company has ample cash reserves and can cooperate through other forms of financing if necessary.
5. What are the plans for the production capacity of Fuller New Energy? Fuller New Energy currently has a production capacity of 500 megawatts and is gradually implementing production expansion plans. For example, Starbucks will provide financial assistance to Fuller New Energy with its own funds of no more than 200 million yuan to meet the financial needs of Fuller New Energy to expand production, operation and development. Expand production capacity Xingshuar, Fuller New Energy and the management committee of Huangshan Economic Development Zone signed an Investment Agreement. Fule New Energy plans to purchase real estate from the management committee of Huangshan Economic Development Zone for the construction of the "1GW photovoltaic module project". The total investment of the project is 300 million yuan (excluding working capital, etc.). The investment in fixed assets in the first phase is not less than 100 million yuan, which is expected to be completed and put into production by the end of this year. The second phase plans to invest 200 million yuan.
6. How is the progress of the annual 1GW project? The construction plan for the first phase of the investment plan has been confirmed, the earthwork of the infrastructure has been completed, and the equipment manufacturers have basically confirmed that they are expected to auction the land use rights early next month in order to complete and put into production by the end of this year. At the same time, we are also actively docking with the development zone on the land use of the second phase of the investment plan. The company will disclose the progress in time. Please follow us.
7. What is the expected sales of Fuller New Energy in 2021? With the existing production line production capacity, sales are expected to reach about 300 million this year.
8. Why did Xingshuai choose to cooperate with the smaller Fuller New Energy? It is mainly based on the following advantages of Fuller New Energy: (1) excellent technology. Fuller New Energy has a mature product development process and is good at developing products according to customer requirements. The production process has a complete quality inspection system, more than 40 steps of quality control and inspection process. Follow strict acceptance standards and strict tolerance requirements to ensure that every solar module received by the customer meets the standards required by the customer. (2) the core personnel have rich experience. Among them, Zhang Wei, vice president of technology, quality and R & D, has worked in Ates and Jiangsu Aikang (as director of the national laboratory), and Wan Feng, vice president of sales, has worked in Wuxi Shangde and other companies. Qiu Baiyuan, vice president of production, has worked in Maodi, Lianhua Electronics and other companies. The team is very important. The core team members of Fuller New Energy have many years of experience in the photovoltaic industry, bringing rich technical reserves and advanced production management models to the enterprise. (3) the customer is stable. Fuller New Energy has become the only certified supplier of Canadian Company An in China, and has been widely recognized by all kinds of domestic customers. The company's customer advantage comes from the excellent service ability, through its own professional to provide a full range of solutions, efficient response and meet customer needs. As the investor relations activity is in the form of a teleconference, participants are unable to sign the research "commitment". However, in the process of communication, our company strictly abides by the relevant regulations to ensure that the information disclosure is true, accurate, timely and fair, and there is no disclosure of major information.

Xingshuai's main business: production: relays, kitchen electronic equipment, chip components, sensitive components, frequency conversion controllers, sealed wiring sockets. Sales: products produced by the company; import and export of goods (except for projects prohibited by laws and administrative regulations, projects restricted by laws and administrative regulations can be operated only after obtaining permission) (projects that must be approved according to law, business activities can only be carried out with the approval of the relevant departments).

According to the 2021 medium report of Xingshuai, the company's main income was 734 million yuan, up 76.2% from the same period last year; the net profit from the return to the mother was 85.2304 million yuan, up 60.68% from the same period last year; deducting 77.9914 million yuan from non-net profit, up 62.57% from the same period last year; debt ratio 40.76%, investment income 6.8339 million yuan, financial expenses 8.0746 million yuan, gross profit margin 23.42%.