龙辰科技IPO：行业产能过剩，毛利率持续下滑

Core Viewpoint - Hubei Longchen Technology is attempting its IPO on the Beijing Stock Exchange for the second time after facing previous setbacks due to concerns over related party transactions with Jiangsu Shuangkai Electronics [3][4][10]. Company Overview - Company Name: Hubei Longchen Technology Co., Ltd. - Established: November 6, 2003 - Major Shareholder: Lin Meiyun controls 54.08% of the shares - Main Business: Research, production, and sales of BOPP film materials for film capacitors, divided into base film and metallized film [5]. - Industry Position: Recognized as a high-tech enterprise and a national-level "specialized and innovative" small giant, with a market share of 16.9% in BOPP base film products, ranking first in the industry [5]. IPO Progress - The IPO application was first accepted in December 2022 but faced multiple delays and was ultimately terminated in 2023 due to issues related to related party transactions [2][3]. - In 2024, the company acquired the remaining equity of Jiangsu Shuangkai for 45 million yuan to eliminate concerns over related party transactions and restarted its IPO plan, which was accepted again in June 2025 [4][11]. Financial Performance - Revenue from 2022 to 2024 showed a continuous growth trend, with figures of 344 million yuan, 371 million yuan, and 604 million yuan, respectively, reflecting a compound annual growth rate of over 32% [12]. - However, net profit fluctuated significantly, with figures of 70.07 million yuan, 43.48 million yuan, and 69.31 million yuan during the same period [12][14]. - The company reported negative cash flow from operating activities over the three years, totaling a net outflow of 124 million yuan [15][16]. Profitability Concerns - The company's gross profit margin has been declining for two consecutive years, with rates of 41.12%, 33.23%, and 29.66% from 2022 to 2024, a total decrease of 11.46 percentage points [20]. - The decline in gross margin is attributed to falling product prices and rising costs of polypropylene resin, which constitutes 60%-70% of production costs and is heavily reliant on imports [21][22]. Industry Challenges - The domestic BOPP industry is experiencing overcapacity, with a significant increase in production lines leading to a supply-demand imbalance [26][29]. - By 2024, the BOPP industry's capacity reached 768,040 tons, with a utilization rate of only 59.82% [29]. - The company plans to raise 375 million yuan for expansion projects, but it faces challenges in justifying this to the Beijing Stock Exchange amid industry overcapacity concerns [30].