Source: Xiaocai Mier
Xiaocaimier noted that on the evening of May 9, 2023, the CSRC's website disclosed that it agreed to approve the initial public offering of shares registration of four science and technology innovation board enterprises, including Guangzhou Ankai Microelectronics Co., Ltd., Shanghai Kangpeng Technology Co., Ltd., Shenzhen Yuchen Intelligent Equipment Co., Ltd., and Shenzhen Wemax New Energy Co., Ltd.
Guangzhou Ankai Microelectronics Co., Ltd
Ankaiwei is mainly engaged in the research and development, design, final testing and sales of IoT intelligent hardware core SoC chips, the main products include IoT camera chips and IoT application processor chips, which are widely used in smart home, smart security, smart office and industrial Internet of Things and other fields. During the reporting period, the composition of the company's main business income is shown in the following table:
Shanghai Kangpeng Technology Co., Ltd
Kangpeng Technology is mainly engaged in the research and development, production and sales of fine chemicals. The products are mainly new materials and pharmaceutical and pesticide chemicals, new material products mainly cover display materials, new energy battery materials and electronic chemicals, silicone materials and other fields, and the downstream sales of customized pharmaceutical and pesticide chemicals belong to CDMO business. During the reporting period, the revenue of the company's main businesses and product types is shown in the following table:
Shenzhen Yuchen Intelligent Equipment Co., Ltd
The main business of Yuchen Intelligent is the research and development, production and sales of non-standard automatic intelligent assembly equipment and testing equipment. The company's main products are lithium-ion battery intelligent manufacturing equipment and consumer electronics intelligent manufacturing equipment, which can be widely used in the intelligent production and manufacturing of new energy, automotive electronics, consumer electronics and other fields. During the reporting period, the sales revenue of the company's main products and the proportion of their main business income are as follows:
Shenzhen Wemax New Energy Co., Ltd
It is understood that Wemax is mainly engaged in the research and development, production, sales and technical services of new energy vehicle related power electronic products, the main products include on-board chargers, on-board DC/DC converters, on-board power integration products, motor controllers, electric drive assemblies, and liquid-cooled charging pile modules for electric drive systems. During the reporting period, the main components of the company's main business income are as follows:
In fact, this is not the first IPO meeting of Wemax Games, as early as August 2020, when the small and medium-sized board was not merged with the main board, the company was rejected at the IPO meeting. After that, Wemax moved on to the science and technology innovation board IPO. However, it is interesting that Wemax was originally held on January 18, 2023 for the IPO of the Science and Technology Innovation Board, but on the eve of the meeting, Wemax cancelled the meeting, and the relevant meeting was canceled.
From 2016 to June 2022, the operating income of Wemax was 256.9008 million, 425.1526 million, 615.8323 million, 728.8617 million, 657.2232 million, 1695.1032 million and 1502.3006 million, respectively, and the net profit for the same period was 24.3467 million, 16.3534 million, 68.5226 million, 34.138 million, 5.5112 million, respectively. 71.3709 million and 122.89 million, and the net profit margin of sales was 9.48%, 3.85%, 11.13%, 4.68%, 0.84%, 4.21% and 8.18% respectively. After the company's profit fell to a minimum in 2020, it began to grow rapidly from 2021, and the net profit margin on sales also began to increase exponentially during the same period.
At the same time, since 2020, Wemax has seen its performance grow significantly, but the corresponding cash-to-cash ratio has shown a downward trend. From 2016 to June 2022, the company's revenue-to-cash ratio was 0.99, 0.73, 0.84, 0.85, 0.84, 0.59, and 0.65, respectively, and the company's cash-to-cash ratio did not change much from 2016 to 2020, and decreased more in 2021.
Also in 2021, the gross margin of Wemax also declined. From 2016 to June 2022, the company's gross profit margin was 29.07%, 27.62%, 29.53%, 24.82%, 26.09%, 21.89%, and 20.43%, respectively, and the company's gross profit margin in 2021 decreased by nearly one-fifth compared with 2020.
In addition, the inventory turnover rate of Wemax also showed a certain fluctuation trend. From 2016 to June 2022, the company's inventory turnover rate was 4.44, 4.78, 3.42, 3.68, 3.02, 3.71 and 1.80, respectively, from 2016, the company's initial inventory turnover rate was declining.
The growth of Wemax in the later period was accompanied by a decline in the cash-to-cash ratio, a decline in gross margin and fluctuations in inventory turnover. The reason behind this may be the shadow of the company's largest customer, SAIC Motor Group Co., Ltd.
In 2016 and 2017, SAIC Motor was only the fourth and fifth largest customer of Wemax Group, accounting for only 9.01% and 8.89% of operating revenue. However, in 2018, SAIC Motor became the largest customer of Wemax and its proportion of operating income soared to 30.17%. In the first three quarters of 2019, SAIC Motor is also the largest customer of Wemax Group, accounting for 29.55% of operating revenue. It is worth mentioning that SAIC Motor invested in Wemax through two shareholding companies, Shenzhen Tongsheng Jinyuan Investment Partnership (Limited Partnership) (hereinafter referred to as "Tongsheng Jinyuan") and Yangzhou Shangqi Phase III Automotive Industry M&A Equity Investment Fund Center (Limited Partnership) (hereinafter referred to as "Yangzhou Shangqi"). In March 2018, Tongsheng Jinyuan and Yangzhou Shangqi acquired a total of 55 million yuan of shares in Wemax through the transfer of shares and capital increase.
The regulator is also more concerned about this, and requires Wemax to explain whether the company's receipt of orders from SAIC Motor and its subsidiaries is related to Yangzhou Shangqi and Tongsheng Jinyuan's total holding of 7.93% of the company's shares; whether SAIC Motor can control Yangzhou Shangqi and Tongsheng Jinyuan; After Yangzhou Shangqi and Tongsheng Jinyuan took a stake in the company, whether the cooperation conditions between the company and SAIC Motor and its subsidiaries changed significantly.