Huge LiquidMetal Production Plan remains the same (for someone)

Hello, Board Secretary.

The news that the company has officially submitted the supplementary materials for its magnesium bone screws has renewed optimism regarding future development. I would like to ask:

1. What is the estimated minimum time required for the magnesium bone screws to receive final approval?

2. What is the total current production capacity for liquidmetal components, and what was the capacity utilization rate as of September?

3. Could you provide an update on the progress of the liquidmetal production capacity currently under construction?

Hello! Thank you for your interest in the company.

1. Following the official acceptance of the supplementary materials, the subsequent review and approval process is expected to take 3 to 6 months.

2. In the first half of this year, the overall capacity utilization rate at Yihao Metal was at a temporary low; however, it is expected to improve gradually in the second half of the year as customer projects come to fruition.

3. Construction of the main structure for the company's production base in Changshantou, Dongguan, is expected to be completed by the end of 2026. Interior fit-out work will proceed concurrently, with the facility scheduled to officially commence operations in the first half of 2027. Once this base is completed, the existing production capacity of the subsidiary, Dongguan Yihao Metal Material Technology Co., Ltd., will be fully relocated to the new Changshantou facility.

Regarding the Zhuzhou base, the Zhuzhou High-tech Zone has provided 132 acre of land within a modern industrial park. Over 130,000 square meters of modern standard factory buildings have already been constructed there and handed over to Hunan Yihao for the development of a world-leading liquidmetal production base.

Trial production for the first line at this base is expected to launch and conclude between the end of September and the end of 2026.

Subsequent expansion of production lines will be carried out in phases according to the plan, aligned with the timing of customer order fulfillment.

Thank you!