According to the Red Star Development announcement, the holding subsidiary Dazu Hongdie needs to be relocated to a chemical park, and the company plans to stop production of existing equipment due to aging and high operating costs. Dazu Red Butterfly had revenue of 265.4617 million yuan in 2024, and revenue of 2604.232 million yuan from January to September 2025. After production is discontinued, part of the production equipment will be transferred to Redstar, which will take over the subsequent business. Dazu Red Butterfly has sorted out orders to ensure a smooth transition, and employees will be properly placed. It is estimated that some assets of Dazu Red Butterfly will be depreciated by 30 million yuan, affecting net profit attributable to mother in the 2025 consolidated statement - 19.8 million yuan.

According to the Red Star Development announcement, the holding subsidiary Dazu Hongdie needs to be relocated to a chemical park, and the company plans to stop production of existing equipment due to aging and high operating costs. Dazu Red Butterfly had revenue of 265.4617 million yuan in 2024, and revenue of 2604.232 million yuan from January to September 2025. After production is discontinued, part of the production equipment will be transferred to Redstar, which will take over the subsequent business. Dazu Red Butterfly has sorted out orders to ensure a smooth transition, and employees will be properly placed. It is estimated that some assets of Dazu Red Butterfly will be depreciated by 30 million yuan, affecting net profit attributable to mother in the 2025 consolidated statement - 19.8 million yuan.