荣联再生科技招股书解读：净利润骤降58.5%，毛利率下滑2.6个百分点

Core Viewpoint - Ronglian Recycling Technology International Co., Ltd. is pursuing an IPO in Hong Kong, revealing significant financial challenges, including a 58.5% drop in net profit for the first half of 2025 compared to the same period in 2024, and a 2.6 percentage point decline in gross margin for the same period, indicating various operational risks and challenges ahead [1]. Group 1: Business Model and Operations - The company focuses on the research and production of recycled acrylic materials, providing recycled MMA and PMMA sheets, and has been recognized as a "High-tech Enterprise" since 2020, holding 7 invention patents and 19 utility model patents, showcasing its technological advantages [2]. - The company collects waste PMMA from acrylic manufacturers and plastic recycling companies to convert it into recycled MMA, which is then used to produce PMMA sheets, supporting a sustainable industrial chain and promoting circular economy development [3]. Group 2: Financial Data Analysis - Revenue growth is notable, with total revenue increasing by approximately 53.9% from 133,188 thousand RMB in FY2023 to 205,031 thousand RMB in FY2024, and a 20.2% increase in the first half of 2025 compared to the same period in 2024, driven by rising demand for recycled acrylic products [4]. - Net profit showed volatility, increasing by about 44.0% from 24,173 thousand RMB in FY2023 to 34,812 thousand RMB in FY2024, but then plummeting by approximately 55.3% in the first half of 2025 to 7,071 thousand RMB due to rising expenses and reduced government subsidies [4]. - Gross margin fluctuated, increasing from approximately 23.0% in FY2023 to 23.9% in FY2024, but slightly decreasing to 21.3% in the first half of 2025 due to falling average selling prices and increased costs from new PMMA production lines [5]. - Net profit margin decreased from 18.1% in FY2023 to 17.0% in FY2024, and further dropped to 7.2% in the first half of 2025, reflecting the impact of revenue, costs, and government subsidies [6]. Group 3: Customer and Supplier Concentration - The company has a high customer concentration risk, with sales to its top five customers accounting for approximately 54.8%, 71.4%, and 65.3% of total revenue in FY2023, FY2024, and the first half of 2025, respectively, indicating potential vulnerability if key customers are lost [8]. - Supplier concentration is also significant, with purchases from the top five suppliers representing 45.8% to 69.5% of total procurement from FY2023 to the first half of 2025, which poses risks related to dependency on a limited number of suppliers [14]. Group 4: Industry Position and Competition - Ronglian Recycling Technology ranks first in domestic production capacity for recycled MMA in FY2024, holding a market share of 4.4%, and also ranks first in revenue for recycled MMA and PMMA sheets with a market share of 4.0%, although the industry remains fragmented and competitive [11].