Investment Rating - The report initiates coverage with a "Buy" rating for the company [5]. Core Insights - The company is a leading player in the domestic nano-coating industry, focusing on customized nano-film products and equipment, achieving breakthroughs across multiple fields [1][3]. - The demand for nano-films is expected to grow significantly, driven by innovations in various industries, including consumer electronics, automotive, and healthcare [2][28]. - The company has established a strong market presence by becoming a core supplier for major global clients, including Apple and Xiaomi, and has successfully penetrated both domestic and international markets [11][19]. Summary by Sections 1. Company Overview - Founded in August 2016, the company has developed into a global leader in the nano-coating field, focusing on high-performance, multifunctional nano-films and related services [10][14]. - The company has achieved significant recognition from major clients, having provided nano-coating protection for over 1 billion mobile devices and 700 million earphones [11][19]. 2. Industry Trends - The global nano-film market was valued at approximately $14.18 billion in 2023 and is projected to exceed $66.35 billion by the end of 2032, with a CAGR of 18.7% from 2023 to 2032 [2][45]. - The rise of the Internet of Things (IoT) is expanding the application scenarios for nano-films across various electronic products [42][45]. 3. Technological Capabilities - The company has developed a comprehensive set of core technologies in nano-coating, including equipment manufacturing, material formulation, and customized services, successfully breaking foreign technology monopolies [3][57]. - The company’s proprietary nano-coating equipment has achieved mass production and is designed to meet diverse customer needs, enhancing production efficiency and product quality [57][58]. 4. Financial Projections - The company is expected to see revenue growth from 4.79 billion yuan in 2024 to 11.96 billion yuan by 2027, with net profit projected to increase from 0.45 billion yuan to 2.23 billion yuan during the same period [4][19]. - The earnings per share (EPS) is forecasted to rise from 0.23 yuan in 2025 to 0.66 yuan in 2027, reflecting a positive outlook for the company's financial performance [4][19].

Core Viewpoint - The report outlines the ongoing supervision and compliance of Jiangsu Feiwo Tai Nano Technology Co., Ltd. by China International Capital Corporation, emphasizing the company's adherence to regulations and the establishment of effective governance and internal control systems [1][2][3]. Group 1: Continuous Supervision - The sponsor has established and effectively implemented a continuous supervision system and corresponding work plans for Feiwo Tai [1]. - The sponsor has signed a sponsorship agreement with Feiwo Tai, outlining rights and obligations during the supervision period [2]. - Regular communication, site inspections, and due diligence are conducted to ensure compliance with laws and regulations [2][3]. Group 2: Financial Performance - In 2024, the company achieved operating revenue of approximately 479.46 million yuan, a 55.21% increase from the previous year [12]. - The net profit attributable to shareholders was approximately 45.11 million yuan, marking a turnaround from a loss of 41.55 million yuan in 2023 [12]. - The company's gross profit margin stood at 53.09%, primarily due to a higher proportion of revenue from the more profitable external integrated production model [10]. Group 3: Research and Development - The company invested approximately 89.81 million yuan in R&D, representing 18.73% of its operating revenue, maintaining a high level of investment [14]. - The company holds a total of 334 authorized patents, including 240 invention patents, reflecting its commitment to innovation [14]. Group 4: Market and Industry Risks - The company faces risks related to concentrated downstream applications, primarily in the consumer electronics sector, which could impact future performance if market conditions change [6][7]. - The company is also exposed to risks from high customer concentration, with significant revenue derived from its top five clients [6][7]. - The competitive landscape in the nano-coating industry is intensifying, with potential threats from traditional protective product companies entering the market [11][12]. Group 5: Use of Funds - As of December 31, 2024, the company has utilized approximately 136.08 million yuan of raised funds, with specific allocations for projects and working capital [15][16]. - The company has complied with regulations regarding the use of raised funds, ensuring no harm to shareholder interests [19]. Group 6: Corporate Governance - The company has established effective governance structures, including rules for shareholder meetings and board operations, to ensure compliance with regulatory requirements [3][4]. - There have been no reported violations or issues regarding the company's governance or compliance during the supervision period [5]. Group 7: Future Outlook - The company plans to expand its business into automotive electronics, security equipment, and medical devices, indicating a strategic diversification of its revenue sources [6]. - The ongoing development of new products is crucial for maintaining competitiveness in a rapidly evolving market [6][9].