Core Viewpoint - Zhejiang Bell Rail Equipment Co., Ltd. has initiated the IPO counseling process with plans to list on the Beijing Stock Exchange, with Guangfa Securities as the counseling institution [1]. Company Overview - Zhejiang Bell Rail Equipment Co., Ltd. was established on December 20, 1994, with a registered capital of 56.1 million yuan. The legal representative is Fang Jianping [2]. - The company specializes in the research, production, and sales of rail equipment such as alloy steel switch blades, turnouts, guard rails, and basic rails [2]. Financial Performance - For the fiscal years 2023 and 2024, the company's operating revenue is projected to be 286.96 million yuan and 320.85 million yuan, respectively [3]. - The net profit attributable to shareholders for the same periods is expected to be 75.86 million yuan and 75.38 million yuan [3]. - The gross profit margin for 2024 is 43.06%, slightly down from 43.46% in 2023 [3]. - The weighted return on net assets is forecasted to be 20.12% for 2024, down from 21.79% in 2023 [3]. - The company reported a net cash flow from operating activities of 1,045.93 million yuan in 2024, a significant increase from 224.75 million yuan in 2023 [3]. - Research and development expenses for 2024 are estimated at 10.85 million yuan, accounting for 3.38% of operating revenue, compared to 3.79% in 2023 [3]. Shareholding Structure - The major shareholder is Fang Jin, who holds 62.39% of the shares. The actual controllers are Fang Jianping, Fang Jin, and Fang Xiao, collectively controlling 90.91% of the company [6].

Investment Rating - The report assigns a positive investment rating to the company, highlighting its strong growth potential in the rail transit safety monitoring and service sector [1]. Core Viewpoints - The company, Jiao Da Tie Fa, is recognized as a "small giant" in the rail transit safety service field, demonstrating high profitability and stable growth, with industry-leading profit quality [1]. - The rail transit industry is supported by national policies and is experiencing rapid growth, with significant investments expected to continue [2]. - The company has shown remarkable achievements in technological innovation and has a strong research and development capability, which is expected to enhance its market competitiveness [3]. Summary by Sections Company Overview - Jiao Da Tie Fa specializes in the research, development, production, and sales of intelligent products and equipment for rail transit, providing professional technical services [11]. - The company has a diverse product range, including safety monitoring products, railway information systems, new materials, intelligent equipment, surveying services, and operation and maintenance services [17][21]. Financial Performance - The company's operating revenue has shown a consistent upward trend from 2022 to 2024, with revenues of 230.41 million, 269.09 million, and 331.03 million yuan respectively [69]. - The gross profit margins for the years 2022, 2023, and 2024 were 45.76%, 46.57%, and 44.50%, indicating stable profitability [1][69]. Industry Context - The rail transit industry is a strategic emerging industry supported by the government, with significant growth in railway operating mileage projected from 146,000 kilometers in 2020 to 165,000 kilometers by 2025 [2]. - The market size of China's rail transit operation and maintenance industry has grown from 91.4 billion yuan in 2017 to 191.68 billion yuan in 2022, with a compound annual growth rate of 15.96% [2]. Investment Highlights - The company is recognized as a national-level specialized and innovative "small giant" enterprise, with a strong focus on technological innovation and a robust R&D framework [3]. - The company has participated in numerous research projects and has a significant number of patents and software copyrights, enhancing its competitive edge in the market [3][12].