On January 18, HGtech held its 2024 annual business conference. Continuing with the theme of "Standing Tall, Advancing Far", the conference objectively summarized the achievements and shortcomings of the past year and deployed key tasks for the new year with a pragmatic and enterprising attitude. To commend outstanding operators and put value contributors in the spotlight, the "Outstanding Business Award for 2024" was also presented at the conference. Ma Xinqiang, Secretary of the Party Committee, Chairman and President of HGtech, along with other members of the management team, management teams of subsidiaries and representatives of core backbones attended the conference.

The conference was presided over by Xiong Wen, Vice President of the company. Zhang Qin, Vice President, delivered the "2024 Annual Business Work Report of HGtech". General managers of each first - level core subsidiaries comprehensively analyzed opportunities and challenges, and put forward business objectives and key measures for the new year.

In 2024, with global economic turmoil, geopolitical tensions, surging technological innovation, intensifying industry competition and accelerating reshuffle, HGtech targeted tracks such as new energy, digital empowerment and shipping. Focusing on national needs and industry development, it "stood tall" by concentrating on high - growth areas and "advanced far", presenting an outstanding report of continuous development. It added one single champion in manufacturing and one project of leading in intelligent manufacturing solution. It won more than 20 honors, including the "Benchmark" in the "Science and Technology Reform Action" assessment by the State - owned Assets Supervision and Administration Commission of the State Council, the Second Prize of National Science and Technology Progress, and the First Prize of Machinery Industry Science and Technology Award. It has been rated as Class A in information disclosure, the highest rating on the Shenzhen Stock Exchange, for 9 consecutive years.

Innovation - Oriented

Adhere to collaborative innovation of industry, academia, research and application, and integrated innovation of the industrial ecosystem. Vertically build a two - level and four - gradient R & D framework consisting of the Central Research Institute and core enterprises. Unifiedly appoint CTOs of first - level core enterprises, promote the construction of R & D platforms and pilot - scale platforms, increase the recruitment of high - quality R & D personnel, and solidify high - level innovation infrastructure. Integrate internal and external resources, and in response to national strategies, major industrial needs and common basic fields, deploy more than 20 projects at the Central Research Institute, such as silicon - photonics chips and modules, semiconductor processing and testing equipment, intelligent equipment + AI, in - vehicle intelligent optoelectronic sensors, and ultra - large - format laser composite milling and welding integrated intelligent equipment. Throughout the year, 38 products that are "industry - leading, domestically substituting, and specialized, refined, distinctive and innovative" were launched. Take the lead in establishing the Industrial Innovation Joint Laboratory for Semiconductor Laser Equipment, and sign strategic cooperation agreements with 21 units including Tsinghua University, Jiufengshan Laboratory and Inovance Technology, promoting two - way upgrading of technology and industry.

Efficient Operation

Focus on efficiency and effectiveness, pragmatically improve management efficiency, and strengthen the comprehensive budget management system and compliance management system. Based on the "big quality" management concept, establish key indicators in terms of quality management, lean production, supply chain management and asset management to guide the optimization of operational quality and efficiency. Efficiently promote the first - phase project of the Research and Innovation Park for Optoelectronic Information Industry and the construction of three major overseas bases for core businesses to ensure the expansion of strategic space.

The Sensing Business improved the sensor family system, developing new products such as refrigerant gas sensors, in - vehicle sensing integrated sensors, in - vehicle gas sensors and PTC integrated modules. It consolidated its market share in the home appliance and automotive fields, and rapidly penetrated the photovoltaic energy storage and power battery sectors. Sales of products such as PTC heaters, NTC temperature sensors and pressure sensors for new energy vehicles continued to grow. IMR and INS products developed based on in - mold injection technology achieved breakthroughs in the automotive industry, and IMD is accelerating its introduction to major home appliance manufacturers.

The Connectivity Business focused on AIGC, the next - generation information and communication network and the Internet of Vehicles, and laid out new fields from chips, materials, technologies, processes and applications. In 2024, it successfully launched a number of cutting - edge products in the industry, such as 800G ZR/ZR + Pro, 800G OSFP 2*FR4 TRO, 800G LPO silicon - photonics, 1.6T - 200G/λ silicon - photonics. The company's product capabilities in the AI field gradually entered the first echelon. It continuously expanded the delivery share to domestic leading AI customers, obtained the formal bidding opportunity from a global leading AI manufacturer, and rapidly improved its delivery capacity for products above 400G, becoming one of the first companies in the world to deliver silicon - photonics modules.

The Intelligent Manufacturing Business, with the concept of "intelligent equipment, automated production lines and digital - intelligent factories", tackled a series of forward - looking and common technical problems, such as scanning femtosecond lasers, high - temperature alloy cutting and welding equipment, high - end numerical control systems based on artificial intelligence, and key technologies for advanced automatic optical inspection. It launched a number of innovative products, including the fifth - generation three - dimensional five - axis laser cutting machine, the automatic welding production line for alkaline electrolyzer plates, the automated production line for in - vehicle glass laser processing "Guangren X5 Pro", the full - marking intelligent equipment, and the all - weather intelligent weeding robot. It focused on improving software capabilities, with more than 30 high - end industrial software being applied in batches. It grandly released three self - developed software, namely "Zhushi" (production line control system), "Zhulong" (manufacturing execution system) and "Zhumei" (digital twin system). Focusing on high - quality tracks, it deepened cooperation with major customers, and the contract value of major customers increased significantly.

Capital Synergy

Give play to the CVC industrial advantages. HGInvestment under the company has formed a multi - level combination matrix of direct investment + science and technology start - up angel investment + venture capital funds + industrial funds. It initiated the establishment of a laser industry fund, deeply deployed around the laser industry chain and the ICT optoelectronics industry chain, and promoted the value integration of the invested enterprises and the company's business.

At the conference, Chairman Ma stated that 2024 was a year when HGtech faced difficulties head - on and improved quality and efficiency amidst various risks and uncertainties. From subsidiaries to product lines, with a sense of responsibility for the business, they fully recognized the strategic significance of high - quality talents. The proportion of master's and doctoral talents and R & D talents in the company increased significantly. The globalization business concept evolved from consensus to concrete actions. Each business leader implemented the requirement of "going abroad is like going on a business trip", actively explored the market, and integrated high - quality major customer resources. The whole company strengthened coordination and cooperation in aspects such as overseas base construction, talent localization, supply chain and logistics support, laying a good foundation for going global comprehensively. The group headquarters effectively played the functions of the strategic center, support and service center, and management center, gathered innovation resources inside and outside the company, deeply promoted organized innovation, optimized the operation mechanisms of the Central Research Institute and the technical centers of subsidiaries, and all functional departments jointly escorted the sustainable development of business entities. All achievements were the result of unity and joint efforts.

He pointed out that over the past 20 years, the company has forged a team with high cultural identity, the courage and ability to tackle tough tasks. It has served a large number of domestic and foreign industry - leading customers. The software and hardware conditions for high - level innovation and global operation are constantly being solidified. In line with national and industry development needs, shareholder expectations and the realization of employees' value, HGtech must take active and leap - forward development as its top priority, be bold in thinking and action. Based on the goals we expect to achieve before 2030, re - position the visions and missions of each business entity and comprehensively and systematically plan all work.

He emphasized that for active development, a new consensus of "technology - driven, market - guided" must be formed. Firmly and deeply implement the talent strategy. The number of doctors should be no less than 500 and the number of masters should be no less than 2000 within 5 years. The R & D investment should increase by more than 50% annually. Show genuine sincerity and offer real benefits to improve the sense of gain and belonging of technical talents, improve talent efficiency, and actively develop first - launched and industry - leading products to support the company's medium - and long - term development.

The core backbone talents of the company are the key force for its active and leap - forward development. He required participants to adapt to trends in thinking, match strategic goals in ability, strengthen self - motivation, take the initiative to learn new knowledge, new technologies and new trends, be good at self - reflection, brave in challenging, break through the comfort zone, cultivate innovative thinking and personal leadership, attach importance to physical and mental health management, break through cognitive, ability and responsibility boundaries, and be leaders in the right direction, team - builders who know people well and put them in the right positions, enterprising innovators, courageous problem - solvers and defenders of the company's interests. Stand tall, advance far, go wide and do deep, and meet a better self.