Analysis of the Strong Performance of Fanya Weitou (688386): Driving Factors and Prospects

As a company focusing on ePTFE (expanded polytetrafluoroethylene) membrane materials and related components, Fanya Weitou (688386)'s recent strong performance can be explained from the dimensions of industry trends, company fundamentals, and market demand. First, China’s new energy vehicle (NEV) market continues to expand, and ePTFE membranes are widely used in battery packs (waterproofing, pressure balance), motors, and electronic components. The company’s technical accumulation and layout in this field allow it to directly benefit from industry growth [3]. Second, the company’s 2024 financial data shows that revenue increased by 25.91% year-on-year to 514 million yuan, and the gross profit margin of the core rubber and plastic materials business reached 47%, far higher than the industry average, demonstrating strong profitability and business growth momentum [4]. In addition, in 2025, the company obtained patents in power battery pack drain valves and anti-fouling coatings, further strengthening its competitiveness in NEV-related products [3]. The company’s long-term cooperation with global leading automakers such as Volkswagen Group, General Motors, and SAIC Motor also provides support for its revenue stability and future growth [3].

1. Strong Correlation Between NEV Industry and Company Business
   : The core product of Fanya Weitou, ePTFE membrane, is widely used in the NEV field, making its performance highly tied to the growth of the NEV industry. With the Chinese government’s promotion of clean energy vehicles, the continuous development of this field will bring long-term growth opportunities for the company.
2. Technology and Patent Advantages
   : The company’s accumulation in ePTFE technology and 2025 patent innovations give it a competitive edge in the NEV-related product market, helping to consolidate and expand its market share.
3. Stable Customer Resources
   : Long-term cooperation with global leading automakers not only ensures the stability of the company’s revenue but also provides a foundation for its future expansion of new businesses and product application scenarios.

• Market demand expansion driven by the continuous growth of the NEV industry [3];
• The company’s technological innovation and patent layout may promote product upgrades and new market expansion;
• Cooperation with leading automakers is expected to bring more business opportunities.

• Dependence on automotive industry customers may expose it to the risk of industry cyclical fluctuations [3];
• The competition in the ePTFE membrane market is increasingly fierce, and pressure from domestic and foreign competitors may affect the company’s market position and profitability;
• To maintain competitiveness, the company needs to continue investing in research and development to keep up with the rapid development of NEV technology.

The strong performance of Fanya Weitou (688386) is mainly driven by NEV industry growth, the company’s own performance growth, technological innovation, and stable customer resources. Fundamentally, the company has core technology and a gross profit margin higher than the industry average, supporting its growth potential; although there is a lack of real-time technical data, fundamental factors show that it has value support. Investors need to pay attention to risks such as industry cyclicality, market competition, and technical innovation pressure, while also focusing on the development trend of the NEV industry and the company’s business expansion.