Recently, Sen Qilin (002984) responded to investors’ concerns on the investor relations platform.
An investor asked: “Hello Secretary, why did our company’s profit drop so much in the fourth quarter of 2025? What was the reason? Has there been any change in 2026?” Sen Qilin replied that in 2025, the company will face many challenges.
On the one hand, raw materials have increased significantly, which directly increases production costs and compresses profit margins.
On the other hand, competition in the tire industry has intensified and the competition for market share has been fierce, putting the company’s sales under greater pressure.
In addition, the uncertainty of global tariff policies has intensified and the international trade environment is complex and volatile, which has brought many unstable factors to the company’s export business.
Under the influence of these practical factors, the company’s short-term operations are under pressure.
However, for 2026, the company’s management has shown a positive attitude and clear plans.
They continue to adhere to the concept of sound operations and are committed to working hard to create higher corporate value.
In fact, it is not the first time for the company to deal with periodic pressures such as raw material costs and international trade protection.
The company relies on its rich response experience accumulated over many years to give full play to the layout advantages of global smart factories.
By rationally allocating resources, optimizing production processes, and further refining operations and management, we can improve production efficiency and reduce costs.
In terms of market expansion, the company continues to expand its global market share.
Actively participate in various international exhibitions, strengthen communication and cooperation with overseas customers, and continuously enhance the brand’s visibility and influence in the international market.
At the same time, the company also focuses on product innovation and quality improvement, increases investment in research and development, and launches more high-performance tire products that meet market demand.
In order to enhance brand value, the company has adopted a multi-step strategy.
In addition to the above-mentioned market expansion and product innovation, we also strengthen brand publicity and promotion, and establish a good brand image by sponsoring sports events and carrying out charity activities.
The company strives to continuously move closer to the international first-tier brand value, and hopes to continue to increase product selling prices through the improvement of brand value in the future, thereby creating higher corporate value.
From the valuation analysis of Securities Star, Senkylin has a good moat of competitiveness in the industry, good profitability, and average revenue growth. Looking at all aspects of comprehensive fundamentals, the valuation is low.
This also provides certain potential and space for the company’s future development.
I believe that with the active efforts of the company’s management, Senqilin can overcome the current difficulties and achieve better development in 2026.
