Company Overview - Balanshi is set to launch its IPO on August 19, 2023, with a price of 15.78 yuan per share and a total issuance of 19 million shares, potentially raising 300 million yuan [1] - The company specializes in automotive maintenance, testing, and repair equipment, with key products including tire changers, balancing machines, and lifting equipment [2][10] - As of May 30, 2025, the actual controllers of the company are Cai Xilin and Sun Lina, who collectively hold 46.66% of the shares [2] Financial Performance - Balanshi's revenue for 2022, 2023, and projected 2024 is 643 million yuan, 794 million yuan, and 1.057 billion yuan respectively, with net profits of 30.04 million yuan, 80.55 million yuan, and 129.40 million yuan [3][4] - The company reported a revenue increase of 5.64% year-on-year for the first half of 2025, with a net profit growth of 11.80% [3] Market Context - The automotive aftermarket in China reached approximately 1.1 trillion yuan in 2023, reflecting a growth of 12.96% since 2020, driven by the aging vehicle population [2] - The average vehicle enters the maintenance phase at around 3-3.5 years, indicating a growing demand for maintenance services as vehicles age [2] Revenue Composition - In 2024, the revenue breakdown shows that lifting machines account for 48.57%, tire changers for 24.08%, and balancing machines for 10.64% of total revenue [5][7] - The overall gross margin for Balanshi was 28.55% in 2024, which is slightly below the industry average [8][9] R&D and Clientele - R&D expenses for the company were 23.48 million yuan, 28.44 million yuan, and 35.83 million yuan for 2022, 2023, and 2024, representing 3.65%, 3.58%, and 3.39% of revenue respectively [9] - Major domestic clients include well-known automotive manufacturers such as BYD, Li Auto, and Great Wall Motors, as well as large automotive maintenance chains [9][10] Export and Competition - Approximately 75% of Balanshi's revenue comes from exports, with products sold in over 100 countries [10] - The company faces challenges from increasing competition in the automotive maintenance sector, particularly in the mid-to-low-end market [10]