Venture(US:VEMLY) Sou Hu Cai Jing·2025-08-28 22:31Core Viewpoint - Zuxing New Materials Co., Ltd. has submitted its third IPO application, indicating its persistent pursuit of capital market recognition despite previous failures [1][7] Group 1: Company Overview - Founded in 2007, Zuxing New Materials specializes in metal pigments, particularly aluminum pigments and fine spherical aluminum powder, which are widely used in automotive coatings, industrial coatings, and printing inks [1] - The company has a prestigious client list, including renowned paint companies such as Nippon, PPG, BASF, and AkzoNobel [1] Group 2: Financial Performance - Zuxing New Materials' revenue has shown consistent growth, increasing from 629 million yuan in 2022 to 707 million yuan in 2024, while net profit has fluctuated significantly [1][2] - Net profits for 2022, 2023, and 2024 were 51.78 million yuan, 86.74 million yuan, and 58.72 million yuan respectively, with a more than 32% decline in 2024 compared to 2023 [1][2] Group 3: Product Structure - The importance of aluminum pigments has increased, with revenue rising from 258 million yuan in 2022 to 336 million yuan in 2024, accounting for 47.65% of total revenue [2] - Revenue from fine spherical aluminum powder has remained stable, fluctuating between 360 million yuan and 390 million yuan, with a slight decrease in its revenue share [2] Group 4: Cash Flow and Receivables - The company has reported negative operating cash flow for three consecutive years, primarily due to high amounts of notes receivable, prepayment for raw materials, and long sales collection cycles [2] - Accounts receivable have consistently remained high, exceeding 30% of total revenue, exacerbating cash flow issues [2] Group 5: Supply Chain and Customer Base - Zuxing New Materials has a highly concentrated procurement structure, with the top five suppliers accounting for over 85% of purchases, and the largest supplier, Yunnan Aluminum, representing over 75% for three consecutive years [4] - The customer base is relatively diversified, with no single customer accounting for more than 21% of sales revenue, although concerns exist regarding the stability of some major customers [4][5] Group 6: Internal Control and Management - The company has faced multiple administrative penalties related to various operational aspects, raising questions about the effectiveness of its internal controls [5] - The founding team, consisting of Liang Xiaobin and Xia Feng, remains confident in the company's future, with Liang holding 52.14% and Xia holding 21.17% of the shares [5] Group 7: Future Outlook - The success of Zuxing New Materials' third IPO attempt remains uncertain, but its strength and influence in the metal pigment industry are notable [7]