During the reporting period of Nabaichuan, “customers and suppliers were relatively concentrated”
[ad_1]
Recently, Nabaichuan New Energy Co., Ltd. (“Nabaichuan”) has updated its prospectus, and the company plans to apply for listing on the Shenzhen Stock Exchange GEM. A reporter from the “Economic Information Daily” noticed that during the reporting period (referring to 2021 to 2023, the same below), Nabaichuan’s operating income grew steadily, but the gross profit margin of its main business continued to decline, and there was an “increased revenue” in 2023. No increase in profits” situation. At the same time, during the reporting period, Nabaichuan’s customers and suppliers were relatively concentrated. Na Baichuan admitted in the prospectus that the company is heavily dependent on its important customer CATL.
“Increase revenue but not profit” in 2023
According to the prospectus, Nabaichuan focuses on the research and development, production and sales of products related to new energy vehicle power battery thermal management, fuel vehicle power system thermal management and energy storage battery thermal management. Its main products include battery liquid cooling plates and battery integrated boxes. , fuel vehicle engine radiator, heater warm air, etc.
What is worthy of recognition is that in the domestic new energy vehicle power battery thermal management market segment, Nabaichuan is in a leading position, serving many OEMs such as NIO, Xpeng Motors, and Li Auto. In terms of energy storage thermal management systems, Nabaichuan has become a supplier to the top domestic new energy equipment manufacturers such as CATL, China Aviation, and Sungrow.
In recent years, Nabaichuan’s operating income has grown relatively steadily. During the reporting period, it was 520 million yuan, 1.031 billion yuan, and 1.136 billion yuan, representing year-on-year increases of 161.95%, 98.37%, and 10.21% respectively. In terms of net profit attributable to the parent company, Nabaichuan achieved RMB 48 million, RMB 113 million and RMB 98 million respectively during the reporting period, representing year-on-year increases of 502.11%, 134.65% and -13.29% respectively. In 2023, “increased revenue does not increase profits”. Case.
During the reporting period, the gross profit margins of Nabaichuan’s main business were 23.47%, 22.36% and 19.84% respectively, which continued to decline. Among them, in 2023, the company’s main business gross profit margin dropped significantly. In this regard, Na Baichuan explained that in addition to the impact of the company’s pricing strategy and the decline in the proportion of mold sales, battery boxes began to enter the market for promotion. However, the gross profit margin for the year was negative because the scale effect had not yet been achieved, which lowered the main business. Comprehensive gross profit margin of the business.
However, the reporter noticed that in addition to the battery box, the gross profit margin of Nabaichuan’s other products will also decline in 2023. Data shows that in 2022, the gross profit margins of Nabaichuan battery liquid cooling plates and fuel vehicle thermal management components will be 20.14% and 24.41% respectively. By 2023, they will drop to 19.29% and 22.55% respectively.
Significant dependence on CATL
Nabaichuan was established in October 2007. After decades of development, it has become a company with annual revenue exceeding 1 billion yuan. Regarding the development of Nabaichuan, we have to mention an important customer, that is Ningde Times. Nabaichuan launched the power battery thermal management system product project in 2011, and cooperated with CATL for joint development from 2012 to 2015. In 2015, a strategic partnership was established and has been maintained to this day. In 2022, it exclusively signed an agreement with CATL in the field of battery liquid cooling plates. Strategic cooperation agreement.
It is not difficult to see from the series of financial data disclosed in the prospectus that CATL has played a crucial role in the development of Nabaichuan. During the reporting period, CATL has always been the largest customer of Nabaichuan, with revenue contributions of 158.3493 million yuan, 389.3414 million yuan and 378.1876 million yuan respectively, accounting for 30.47%, 37.77% and 33.28% of Nabaichuan’s operating income. In addition, Nabaichuan’s major customers, such as Ningde Kaili Energy Technology Co., Ltd., purchase battery liquid cooling plates from Nabaichuan and assemble them with battery boxes, and eventually sell them to CATL. Therefore, during the reporting period, Nabaichuan’s direct sales and indirect supply of products to CATL through battery box factories and other accessories accounted for 50.33%, 53.73% and 48.94% of the operating income respectively.
In the prospectus, Na Baichuan reminded of the “risk of a relatively high sales share of CATL”: the company is heavily dependent on CATL. This situation is mainly due to the current concentration of the power battery industry, and CATL ranks first in the world all year round, and the market Due to the high occupancy rate. In recent years, CATL’s main business has maintained a good development trend, promoting the rapid growth of the company’s production and sales scale. However, if changes in market conditions in the future lead to a decrease in procurement demand from CATL, it will have an adverse impact on the company’s production and operations.
In view of this, in the first round of inquiries, the Shenzhen Stock Exchange required Na Baichuan to explain: the reasons and rationality for the high proportion of Ningde Times’ revenue; whether there is significant dependence on Ningde Times and whether the dependence has a major adverse impact; in the prospectus Fully disclose relevant risks.
Nabaichuan replied that as one of the earliest liquid cooling plate manufacturers in China to cooperate with CATL to develop and supply battery liquid cooling plates to it in batches and a strategic supplier of battery liquid cooling plates to CATL, the company and CATL have formed a relationship. With the establishment of a mutually beneficial and win-win cooperative relationship, the company’s significant reliance on CATL will not have a significant adverse impact on the company’s ability to continue operating in the future.
“Since its establishment, Nabaichuan has continued to increase its efforts to develop downstream customers on the basis of continuing to deepen cooperation with existing major customers. At present, the customer network has covered major domestic power battery manufacturers except CATL, and all have achieved mass production. Production and supply, many of which were newly expanded customers by the company during the reporting period, and the customer structure has been continuously optimized,” Na Baichuan told reporters.
Customers and suppliers are relatively concentrated
The reporter of “Economic Information Daily” noticed that both customers and suppliers in Nabaichuan are relatively concentrated. During the reporting period, the total revenue contributed by Nabaichuan’s top five customers was 334.421 million yuan, 618.9894 million yuan and 706.0814 million yuan respectively, accounting for 64.35%, 60.05% and 62.13% of the current operating income.
In this regard, Na Baichuan explained that the downstream power battery industry is highly concentrated. The company relies on its high-quality battery liquid cooling plate product system to continuously expand the scale of cooperation with major downstream power battery and accessories manufacturers. During the reporting period, the company’s power battery The growth rate of thermal management business is higher than that of traditional fuel vehicle thermal management business.
At the same time, Nabaichuan’s suppliers are also relatively concentrated. During the reporting period, its purchase amounts from the top five raw material suppliers were 222.89 million yuan, 462.3506 million yuan, and 538.665 million yuan respectively, accounting for 64.94%, 68.09%, and 76.83% of the purchase amount. Among them, Shanghai Huafeng Aluminum Co., Ltd. and Its subsidiaries’ holding subsidiaries account for more than 50% of their purchases in 2021. In this regard, Na Baichuan said that on the one hand, the company’s business is growing rapidly, the demand for raw materials is growing rapidly, and the main suppliers have large production and operation scales, which can meet the company’s purchasing growth needs in a timely manner; on the other hand, the company’s centralized procurement, through the advantages of scale, Enhance bargaining power to reduce procurement costs.
Among the series of suppliers, Maanshan Xiangchuan Technology Co., Ltd. (“Xiangchuan Technology” for short) was established in July 2021. It is 100% owned by Wu Jianbo, a former employee of Nabaichuan, and his spouse. In 2022, it entered the former Nabaichuan Group The list of the five largest suppliers has resulted in a purchase amount of 13.238 million yuan. This situation also attracted the attention and inquiry of the Shenzhen Stock Exchange, requiring Na Baichuan to explain the necessity and fairness of the cooperation with Xiangchuan Technology, and whether there was a transfer of mutual interests.
Na Baichuan explained that Wu Jianbo was a technical engineer at Ma’anshan Na Baichuan Heat Exchanger Co., Ltd. (referred to as “Ma’anshan Na Baichuan”), a wholly-owned subsidiary of the company. He was responsible for product quality management related work in the thermal management components business of fuel vehicles and was familiar with engine heat dissipation. The production link of products such as air conditioners and heaters. In addition, the price of the plastic water chamber purchased by the company from Xiangchuan Technology is slightly lower than that of other suppliers. This is mainly because the production site of Xiangchuan Technology is close to the company’s subsidiary Ma’anshan Nabaichuan. The transportation distance is short and the related products do not need to be packaged, which saves transportation and packaging costs. , both parties took into account the impact of transportation costs and packaging costs when determining the purchase price. Therefore, the price at which the company purchases the plastic water chamber from Xiangchuan Technology is fair, and the cooperation between the company and Xiangchuan Technology does not convey benefits to each other.
“Economic Information Daily” will continue to pay attention to the problems existing in Nabaichuan’s IPO.
[ad_2]
Source link