CJS(SH:600176) Huan Qiu Wang·2025-11-18 09:05Core Viewpoint - Zhejiang Zhenshi New Materials Co., Ltd. is primarily engaged in the research, production, and sales of fiber-reinforced materials in the clean energy sector, with a focus on wind power, photovoltaic power, and new energy vehicles, and is currently applying for an IPO [1] Supplier Relationships - The main raw material procurement for Zhenshi involves fiber materials, with the top five suppliers in the first half of 2025 including China Jushi (600176.SH) and International Composite (301526.SZ), with procurement amounts of 1,532.49 million yuan and 51.14 million yuan respectively, totaling over 1.58 billion yuan [1] - The total procurement amount for fiber materials in the first half of 2025 is reported to be less than 1.56 billion yuan, indicating a discrepancy [1] Financial Discrepancies - In the first half of 2025, the procurement from China Jushi accounted for 72.36% of the total, with a procurement amount of 1,532.49 million yuan, while the procurement from International Composite was 51.14 million yuan, accounting for 2.41% [2] - The procurement amounts for glass fiber from China Jushi and International Composite were reported as 1,466.80 million yuan and 51.14 million yuan respectively, totaling 1,517.94 million yuan, which also does not align with the total procurement figures [3] Related Party Transactions - Zhenshi's actual controller, Zhang Yuqiang, is also the vice chairman of China Jushi, establishing a related party relationship, with China Jushi being the largest supplier for Zhenshi, with a procurement amount of 2,037.05 million yuan in 2024, accounting for 76.53% of total procurement [4] - The disclosed related party transactions indicate that sales from China Jushi to Zhenshi and its subsidiaries exceeded 2.04 billion yuan, surpassing the procurement amounts disclosed in Zhenshi's IPO prospectus [5] Subsidiary Performance - Zhenshi's wholly-owned subsidiary, Zhenshi Huamei, reported a revenue of 1,113.76 million yuan and a net profit of 13.33 million yuan for 2024, with net assets at 1,063.53 million yuan [6] - The subsidiary's net profit for the first half of 2025 was reported at 28.30 million yuan, with net assets increasing to 1,106.90 million yuan, indicating a significant increase beyond the net profit amount [7] Governance and Compliance - The company’s board secretary is responsible for enhancing corporate governance, including reducing and regulating related party transactions, yet the procurement from China Jushi has remained high, with percentages of operating costs consistently above 50% [7]