An investor asked a question on the investor interaction platform: Hello, secretary, at present, the capacity utilization rate of the company’s main business is very high. If you want to continue to expand profits, you need to expand capacity. The funds raised in this listing are mainly used for production line transformation and expansion. At present, the company’s main customers are Maotai, Wuliangye Yibin Co.Ltd(000858) , IKEA, etc. Will the company expand its production according to the needs of these cooperative downstream enterprises to increase procurement, or just make preparations in advance to develop new customers? Does the company take precautions against the risk that its products are unsalable after expansion and its production capacity cannot be digested?
Hunan Hualian China Industry Co.Ltd(001216) (001216. SZ) said on the investor interaction platform on January 7 that the company’s production line transformation and expansion plan is determined according to the needs of major customers and the company’s business development plan. At present, priority is given to the construction of projects that meet the order needs of existing major customers. All investments of the company are subject to strict feasibility study, and the balance between grasping opportunities and controlling risks is well done.
(source: Daily Economic News)
