Core Viewpoint - Xinqiang Electronics has submitted its prospectus for an initial public offering (IPO) on the ChiNext board, with Minsheng Securities as the sponsor [1] Company Overview - Xinqiang Electronics is a high-end printed circuit board (PCB) manufacturer in China, focusing on storage and optical communication products [1] - The controlling shareholder is YUFAMILY, holding 94.35% of the shares, with the actual controllers being Yu Xiaozhang, Yu Wanling, and Yu Jinlu, collectively holding 95.04% [1] Revenue Composition - In the reporting period (2022-2024), rigid boards accounted for over 75% of revenue, while HDI boards contributed over 14% [1][2] - The revenue from PCB products in the storage sector represents approximately 60% to 70% of total revenue [1] Financial Performance - Revenue for the years 2022, 2023, and 2024 is projected at approximately 8.69 billion, 10.00 billion, and 9.99 billion respectively, with net profits of about 0.85 billion, 1.32 billion, and 1.68 billion [9] - The gross profit margins for the same years are 18.55%, 23.91%, and 26.17%, with improvements attributed to lower raw material costs and increased capacity utilization [9] Product Characteristics - Rigid PCBs provide mechanical strength and support for electronic components, making them widely applicable in various fields [2] - HDI boards are designed for high-density interconnection, primarily used in communication and consumer electronics, with a focus on 6-12 layers [4] Market Risks - The company faces risks related to concentrated revenue sources, particularly in the storage sector, which accounted for 56.06%, 69.69%, and 60.87% of total revenue during the reporting period [11] - Sales in Taiwan represented 32.17%, 38.88%, and 30.56% of total revenue, indicating regional concentration risks [11] R&D Investment - R&D expenses as a percentage of revenue were 3.90%, 3.47%, and 3.78%, which is below the industry average [12][14] - The company plans to raise 9.62 billion through the IPO to enhance its high-density interconnection PCB production capabilities [14]