Guangxin Technology (920037) uses 20 million yuan of raised funds to purchase financial products to improve the efficiency of fund utilization

On February 24, HuNan Guangxin Technology Co., Ltd. announced that the amount of idle funds used for cash management this time is 20 million yuan, and the remaining balance of idle funds used for cash management that has not yet matured is 1.064 billion yuan.

Guangxin Technology stated in the announcement that the sixth board of directors’ fourth meeting and the sixth supervisory board’s fifth meeting approved the proposal for using idle funds for cash management, agreeing that the company plans to use up to 180 million yuan of temporarily idle funds for cash management.

According to industry insights, the company is a leading domestic supplier of fiber insulation materials, mainly engaged in the research, production, and sales of high-voltage, ultra-high-voltage, and extra-high-voltage AC/DC power transformers, as well as insulation fiber materials and molded insulation parts for traction equipment used in rail transit.

Its products are mainly used in power transmission and transformation systems, electrified railways and rail transit traction systems, new energy industries, and military equipment. After nearly twenty years of industry development, the company’s products now cover all voltage levels of power transmission and transformation equipment, including medium, low, high, ultra-high, and extra-high voltage AC/DC systems, making it one of the leading companies in the domestic insulation fiber materials and molded products field.

The company is committed to technological innovation and R&D-driven development. Since its establishment, it has continuously advanced towards international technology levels. It is one of the few domestic companies capable of producing insulation fiber materials (including complete outlet devices) for 750kV and above ultra-high-voltage and extra-high-voltage products, and it is among the few industry players providing insulation fiber materials and solutions across all voltage levels. As a leading enterprise in domestic insulation materials, the company enjoys a high market reputation and industry recognition. It has established long-term, stable partnerships with transformer industry leaders such as TBEA Co., Ltd., Shandong Electric Power Group Co., Ltd., Shandong Taikai Transformer Co., Ltd., Baoding Tianwei Baobian Electric Co., Ltd., and Chint Electric Co., Ltd., becoming their core supplier of insulation fiber materials and molded products.

The company is a national “Little Giant” specialized and innovative enterprise and has been selected as a key “Little Giant” enterprise supported by the state. It owns three provincial-level R&D platforms: the “Provincial Recognized Enterprise Technology Center,” the “Hunan Province Special Paper and Cardboard Engineering Technology Research Center,” and the “Hunan Province Industrial Design Center.” As a project undertaking unit, it participated in the “2017 Key Basic Material Technology Improvement and Industrialization Key Special Project” under the “National Key R&D Program for Key Basic Materials Technology Enhancement and Industrialization.” Thanks to stable product quality and advanced technical standards, the company’s products have been recognized as “National Key New Products” by the Ministry of Science and Technology; they have been identified as “Hunan Province Manufacturing Single Champion Products” by the Hunan Provincial Department of Industry and Information Technology; and its core team has been awarded as “Hunan Province Enterprise Technology Innovation Leading Team.” The company has received the “Second Prize of China Machinery Industry Science and Technology Award” jointly awarded by the China Machinery Industry Federation and the China Mechanical Engineering Society; the “Second Prize of Hunan Province Scientific and Technological Progress,” the “Second Prize of Hunan Province Technological Invention Award,” and the “Second Prize of Hunan Province Patent Award” issued by the Hunan Provincial People’s Government; the “Hunan Famous Brand” award from the Hunan Provincial Quality and Technical Supervision Bureau; and has been recognized as a “Hunan New Material Enterprise” by the Hunan Provincial Department of Industry and Information Technology and the Hunan Provincial Bureau of Statistics. As of the end of June 2025, the company holds 124 authorized patents, including 14 invention patents.

In terms of performance, in the first three quarters of 2025, the company achieved an operating revenue of 586 million yuan, a year-on-year increase of 41.35%; and a net profit attributable to the parent company of 150 million yuan, a year-on-year increase of 91.95%. The growth in net profit is mainly due to an increase in operating revenue compared to the same period last year, along with an improvement in the company’s gross profit margin.