Core Viewpoint - Guangdong Jingsheng New Energy Co., Ltd. (Jingsheng New Energy) has refiled its listing application on the Hong Kong Stock Exchange amid a challenging period for the lithium battery industry, characterized by price declines and intensified competition, while the company aims to leverage its resource recycling technology to tell a new story in the capital market [1]. Company Overview - Jingsheng New Energy is a leading global provider of lithium battery recycling and regeneration solutions, recognized as the second-largest in the world by revenue from recycling sales in 2024, and the largest third-party service provider in this sector [2]. - The company's recycling business covers mainstream battery systems, including ternary lithium batteries and lithium iron phosphate batteries, with products widely used in electric vehicles, energy storage systems, and consumer electronics [2]. Financial Performance - The company has reported cumulative losses exceeding 1 billion RMB over the past three and a half years, with a 56.5% year-on-year revenue decline in the first half of 2025 [2][3]. - Revenue figures for the fiscal years 2022 to 2025 (up to June 30) are approximately 2.905 billion RMB, 2.892 billion RMB, 2.157 billion RMB, and 995 million RMB, respectively, with net profits showing a significant downturn [3][4]. Market Dynamics - The lithium battery metal market has experienced extreme volatility, with lithium carbonate prices plummeting over 80% from a peak of 426,900 RMB per ton in 2022 to 80,100 RMB in 2024, and further dropping to 62,300 RMB in the first half of 2025 [5]. - The company has faced significant pressure on profitability due to the drastic decline in metal prices, leading to a situation where product prices fell below production costs [4][5]. Strategic Initiatives - Jingsheng New Energy is pursuing an aggressive vertical integration strategy to mitigate the impacts of price volatility and financial losses by enhancing upstream black powder production capacity and expanding downstream into cathode material manufacturing [7][8]. - The company plans to increase its capacity for processing retired batteries to 80,000 tons per year and aims to produce 10,000 tons of lithium iron phosphate cathode materials, marking its entry into the manufacturing sector [7][8]. Risks and Challenges - The company faces execution risks related to technological barriers in transitioning from recycling to cathode material production, as well as financial pressures from capital expenditures amid tight cash flow [9]. - Customer concentration is a growing concern, with the top five customers accounting for 67.3% of revenue in the first half of 2025, indicating a high dependency on a limited number of clients [9][10]. - The average collection period for trade receivables has increased from 38 days in 2022 to 56 days in the first half of 2025, suggesting potential liquidity issues and a weakening ability of customers to pay [10].
新股前瞻|碳酸锂暴跌80%行业至暗时刻 金晟新能谋“一体化”破局
智通财经网·2025-09-12 00:28