Kevin Cease's questions to China Automotive Systems Inc (CAAS) leadership • Q2 2025
Question
Kevin Cease of Investor Relations, asking on behalf of an investor, requested commentary on the company's strategy of buying back shares while simultaneously issuing stock options to management, and also asked about the strategic advantages of re-domiciling to the Cayman Islands.
Answer
The moderator explained that share buybacks are used to create shareholder value when the stock is undervalued, while stock options are a standard and critical tool to incentivize and retain key talent for long-term growth. Regarding the move to the Cayman Islands, the primary benefits are significant cost savings from reduced regulatory reporting and increased business flexibility to support the company's expanding global footprint, with no change to the Nasdaq listing or shareholder return programs.