Lingyi iTech's credit rating maintained at AA+ stable

China Lianhe Credit Rating Co., Ltd. has affirmed Lingyi iTech (Guangdong) Company's (SZSE:002600) long-term credit rating at AA+ with a stable outlook, maintaining the AA+ rating for its "Lingyi Convertible Bonds." The rating reflects Lingyi iTech's leading industry position, strong manufacturing capabilities, and diversified business expansion into new areas like robotics and AI, as well as its robust customer base and global operations. While the company benefits from solid cash flow generation, analysts noted potential risks from raw material price fluctuations, customer concentration, and international economic uncertainties. For 2024, revenue increased to CNY 44.211 billion, though profit decreased due to asset impairments. At the end of 2024, cash assets were CNY 6.229 billion. The rating agency views the prospect of bond conversion positively for the company, which will reduce investment pressure and increase protection ability.