Hangao Group: As the price trend of raw materials stabilizes, the company's profitability will further improve.

On August 10, Han Gao Group stated in a conference call that the downstream home hardware industry is currently in a deep adjustment phase, with significant structural changes in the market. As the home building materials market matures, the demand for renovations and partial modifications of existing homes is gradually becoming a new growth driver. Domestic high-end brands are seizing good development opportunities due to their strong channel penetration and product adaptability. The process of domestic substitution is accelerating comprehensively, and in the long term, the concentration of market resources among leading enterprises is expected to become a trend. Furthermore, the company stated that in the second half of the year, its operational goals will simultaneously consider the growth of operating revenue along with improvements in profit indicators such as gross margin and net margin. As raw material prices stabilize and several high-end new products are delivered in concentrated batches, the company's profitability will further improve.