Guangxin Technology (920037) uses 60 million yuan of raised funds and 104.5 million yuan of its own funds to purchase financial products to improve capital utilization efficiency.

On April 2, Hunan Guangxin Technology Co., Ltd. issued an announcement stating that the amount of idle raised funds the company plans to use for cash management this time is RMB 60 million, and the outstanding balance of idle raised funds used for cash management that has not yet matured is RMB 123 million. This time, the company also plans to use RMB 104.5 million of part of its idle own funds for cash management, and the outstanding balance of idle own funds used for cash management that has not yet matured is RMB 104.5 million.

In the announcement, Guangxin Technology stated that the company held the 8th meeting of the sixth session of its board of directors, which approved the “Proposal on Using Idle Raised Funds for Cash Management” and the “Proposal on Using Idle Self-owned Funds for Cash Management.” The company agreed to use no more than RMB 140 million of part of temporarily idle raised funds to purchase wealth-management products with high safety and good liquidity. To improve the efficiency of capital use, the company and its holding subsidiaries, under the premise of not affecting normal operations, ensuring the company’s daily operating capital needs, and effectively controlling investment risks, plan to use temporarily idle own funds of no more than RMB 300 million to purchase cash-management products.

Wall Street Finance learned that the company is a leading domestic professional supplier of fiber insulating materials. It mainly engages in R&D, production, and sales of insulating fiber materials and insulating molded components for high-voltage, ultra-high-voltage, and extra-high-voltage AC/DC transmission transformer equipment, as well as traction transformer equipment for rail transit.

The company’s products are mainly applied in fields such as power transmission and transformation systems, electrified railways and rail transit traction transformer systems, the new energy industry, and military equipment. After nearly 20 years of industry deep cultivation, the company’s products have covered supporting products for power transmission and transformation equipment across all voltage levels, including low-to-medium voltage, high voltage, ultra-high voltage, and extra-high-voltage AC/DC, and have become one of the leading enterprises in the field of insulating fiber materials and their molded products in China.

The company is committed to driving development through technological innovation and technical R&D. Since its establishment, it has continued to catch up with international advanced technologies. It is one of the few domestic enterprises that have production capabilities for insulating fiber material products at 750kV and above ultra/extra-high-voltage levels (including integral outgoing-line device products). It is also one of the few manufacturers of insulating fiber materials and insulating solution providers in the industry whose product coverage includes insulating fiber materials across all voltage levels. As one of the leading companies in insulating materials in China, the company enjoys a high level of market reputation and industry recognition. It has established long-term and stable cooperative relationships with transformer industry leaders such as TBEA Co., Ltd., Shandong Electric Power Equipment Group Co., Ltd., Shandong TaiKai Transformer Co., Ltd., Baoding Tianwei Baobian Electric Co., Ltd., and Tiansheng Electric Co., Ltd., becoming their core supplier of insulating fiber materials and their molded products.

The company is a national-level “specialized, refined, unique, and new” (small giant) enterprise, and it has been selected as a national-level “specialized, refined, unique, and new” (small giant) enterprise supported by recommendations (key “small giant” enterprises). It has three provincial-level scientific research and technology platforms: a “provincial-recognized enterprise technology center,” the “Hunan Special Paper and Paperboard Engineering Technology Research Center,” and the “Hunan Industrial Design Center.” It also serves as a topic undertaking unit and participates in the “Electrical and New Energy Use Paper-Based Composite Materials Preparation Technology” project within the “National Key R&D Program—Key Special Project on Enhancing Fundamental Materials Technology and Industrialization (2017 Annual Project).” With stable product quality and advanced technical indicators, the company’s products were recognized by the Ministry of Science and Technology as “National Key New Products.” They were recognized by the Hunan Provincial Department of Industry and Information Technology as “Hunan Manufacturing Single Champion Product.” Its core team was awarded as a “Hunan Enterprise Science and Technology Innovation Leading Team.” The company has previously received the “Second Prize of the China Mechanical Industry Scientific and Technological Award” jointly issued by the China Mechanical Industry Federation and the China Mechanical Engineering Society. It has also received from the People’s Government of Hunan Province the “Second Prize of Hunan Science and Technology Progress,” the “Second Prize of Hunan Technological Invention,” and the “Second Prize of Hunan Patent Award.” Additionally, it received from the Hunan Provincial Quality and Technical Supervision Bureau the “Hunan Famous Brand,” and it was jointly recognized by the Hunan Provincial Department of Industry and Information Technology and the Hunan Provincial Bureau of Statistics as “Hunan New Materials Enterprise.” As of the end of 2025, the company has 122 authorized patents, including 14 authorized invention patents, and 4 invention patents that are in the substantive examination stage.

In terms of performance, in 2025, the company achieved operating revenue of RMB 796 million, representing a year-on-year increase of 37.74%. Attributable net profit to shareholders was RMB 198 million, representing a year-on-year increase of 70.3%.