SANY(SH:600031) Zhi Tong Cai Jing·2025-10-19 23:21Core Viewpoint - SANY Heavy Industry (600031) is launching an IPO for 580 million H-shares, with a price range of HKD 20.3 to 21.3, aiming to raise approximately HKD 11.926 billion for global expansion and R&D enhancement [1][3]. Group 1: Company Overview - Founded in 1994, SANY Heavy Industry is a leading global player in the engineering machinery sector, focusing on the R&D, manufacturing, sales, and service of a full range of machinery products [1]. - The company ranks as the third largest globally and the largest in China based on cumulative revenue from core engineering machinery products from 2020 to 2024 [1]. - SANY's products are sold in over 150 countries, with 57.4% of total revenue coming from international markets as of April 30, 2025 [1]. Group 2: Financial Performance - The company has demonstrated strong financial resilience, with revenues of RMB 80.839 billion, RMB 74.019 billion, RMB 78.383 billion, and RMB 29.426 billion for the years 2022, 2023, 2024, and the first four months of 2025, respectively [4]. - Gross margin improved from 22.6% in 2022 to 26.4% in 2023, reaching 27.1% in the first four months of 2025 [4]. - Net margin increased from 5.5% in 2022 to 6.2% in 2023, further rising to 11.8% in the first four months of 2025 [4]. Group 3: Use of Proceeds - Approximately 45% of the net proceeds from the IPO will be allocated to expanding the global sales and service network [3]. - About 25% will enhance R&D capabilities, focusing on smart and low-carbon technologies [3]. - 20% will be used to expand overseas manufacturing capacity and optimize production efficiency, while 10% will support working capital and general corporate purposes [3].