Core Viewpoint - Hebei Shichang Automotive Parts Co., Ltd. is preparing for its IPO on the Beijing Stock Exchange, aiming to raise approximately 180 million yuan to expand its production capacity for high-pressure plastic fuel tanks used in hybrid vehicles and to supplement working capital [1][2]. Group 1: Company Overview - Established in 2006, Shichang specializes in the research, production, and sales of automotive fuel systems, primarily plastic fuel tank assemblies [2]. - The company serves major domestic automakers, including Geely, Chery, and FAW, with products that are lightweight, low-emission, and safe [2][4]. Group 2: Market Trends - The sales of plug-in hybrid vehicles, which utilize high-pressure fuel tanks, are rapidly increasing, with projected sales of 1.5184 million, 2.8042 million, and 5.1410 million units from 2022 to 2024, reflecting a compound annual growth rate of 84.01% [2]. - The market share of plug-in hybrid vehicles is expected to rise from 22.05% in 2022 to 39.96% in 2024 [2]. Group 3: IPO and Fund Utilization - The IPO plans to raise 17.96695 million yuan, with 13.96695 million yuan allocated for the "Zhejiang Xingchang Automotive Technology Co., Ltd. annual production of 600,000 new energy high-pressure fuel tanks project (Phase II)" and 4 million yuan for working capital [3][4]. Group 4: Production Capacity and Financial Performance - The new project will increase the production capacity of high-pressure fuel tanks by 35,000 units per year, representing a 107.69% expansion [7]. - Revenue from high-pressure fuel tanks is projected to grow from 20.5918 million yuan in 2023 to 66.12 million yuan in 2024, with market shares of 1.27% and 2.28% respectively [5][11]. Group 5: Financial Metrics - The company reported revenues of 281.5244 million yuan, 406.0812 million yuan, and 514.8589 million yuan for the years 2022 to 2024, with net profits of 15.7023 million yuan, 47.0278 million yuan, and 61.2052 million yuan [8]. - The gross profit margins for the main business from 2021 to 2024 were 26.32%, 23.56%, 26.07%, and 25.56% respectively [9]. Group 6: Customer Concentration - The top five customers accounted for 93.22%, 92.48%, and 95.56% of total revenue during the reporting period, with Geely being the largest customer [10][11]. - The revenue from high-pressure fuel tanks primarily comes from Geely's models, contributing significantly to the company's income [11]. Group 7: Financial Challenges - The company has faced cash flow pressures, with net cash flow from operating activities being negative for three consecutive years before turning positive in 2024 [20][21]. - Accounts receivable have increased significantly, representing a growing proportion of current assets, which raises concerns about liquidity [14][18].