What is the reason why your company's gross profit margin has shown a significant downward trend in the past three to four years?

Rikeda: Dear investors, thank you for your attention. In the past three years, the company's operating gross profit margin was 29.37%, 30.96%, and 28.49% respectively (after excluding logistics costs). There are certain fluctuations, but it is basically stable. The company's gross profit margin level is affected by the development status and multiple factors such as product structure, raw material prices, and employee salary levels. If the above factors continue to change adversely, it will have an adverse impact on the company's gross profit margin level and profitability. In addition, with the development of the downstream communications industry and the new energy vehicle industry, market competition may intensify, and the company may face the risk of product price cuts, which will lead to a decline in the company's gross profit margin. In addition, the company's main products include communication connector products, new energy connector products and other connector products, and their gross profit margins are somewhat different. Changes in the gross profit margins of various products and changes in the proportion of their main business revenue are important factors affecting the company's main business gross profit margin.