Xin Lang Cai Jing·2026-02-26 10:22Core Viewpoint - Jinlong Rare Earth has initiated IPO counseling for listing on the Beijing Stock Exchange, aiming to leverage capital for capacity expansion and technological enhancement, while focusing on high-purity rare earth oxides and deep processing [3][30][27]. Company Overview - Jinlong Rare Earth Co., Ltd. was established on March 3, 2000, with a registered capital of 247.5 million yuan. The controlling shareholder is Xiamen Tungsten Co., Ltd., holding 65.20% of the shares [4][31][34]. - The company has undergone multiple equity changes, with the actual controller being the Fujian State-owned Assets Supervision and Administration Commission [7][34]. Financial Performance - In the first half of 2025, Jinlong Rare Earth reported an operating income of 2.72 billion yuan, a year-on-year increase of 34%, and a net profit attributable to the parent company of 110 million yuan, representing a 110% increase [19][27]. - The company's gross profit margin was 10.5% in the first half of 2025, with a net profit margin of 4.4% [19][18]. Industry Position - Jinlong Rare Earth ranks among the top four companies in the A-share rare earth permanent magnet industry based on operating income and is in the top three for net profit [20][21]. - The company is recognized as the number one rare earth enterprise in Fujian Province, with a comprehensive competitive edge in the industry [22]. Business Model and Operations - Jinlong Rare Earth does not own rare earth mining resources and has transferred its rare earth ore smelting and separation business to a joint venture with China Rare Earth Group, focusing solely on downstream manufacturing of rare earth materials [11][15][43]. - The company primarily manufactures rare earth oxides, rare earth metals, magnetic materials, and luminescent materials, with a significant portion of revenue derived from the production of rare earth metals and magnetic materials [27][46]. Supply Chain and Procurement - Jinlong Rare Earth has historically procured rare earth ores from affiliated companies but shifted to third-party suppliers in 2024, indicating a change in its procurement strategy [39][42]. - The company’s procurement in 2023 included significant amounts from non-affiliated suppliers, reflecting a diversification of its supply chain [41][42]. Strategic Partnerships - The company has strategic investments from notable firms such as BYD and North Rare Earth, enhancing its market position and operational capabilities [9][37].