Core Viewpoint - Shandong Agricultural University Fertilizer Technology Co., Ltd. is preparing for an IPO while highlighting its dividend distribution and funding needs, raising questions about its financial management and operational sustainability [1][2]. Group 1: Company Overview - The company specializes in fertilizer production, utilizing proprietary technologies such as humic acid activation and controlled-release techniques, with products including humic acid-enhanced fertilizers and controlled-release urea [1]. - The company has distributed a total of 180 million yuan in dividends over the reporting period, with a cumulative net profit of 347.67 million yuan, indicating a dividend payout ratio of 51.77% [1]. Group 2: Financial Management - The company plans to raise 413 million yuan through its IPO, with 40 million yuan allocated for working capital, which is intended to alleviate daily operational financial pressures and enhance risk resilience [1]. - There is a contradiction in the company's statements regarding dividend payments and the need for additional working capital, as it claims that dividends do not significantly impact operations while simultaneously seeking funds to ease financial strain [1]. Group 3: Market Context - Several IPO candidates have successfully passed listings after removing working capital supplementation from their proposals, indicating a trend in the market where such funding requests are scrutinized [2]. - The company has engaged in procurement of fertilizer testing services from a related entity, highlighting inter-company relationships and potential conflicts of interest in bidding processes [2][3]. Group 4: Procurement and Equipment - Potash fertilizer is a major procurement item for the company, with a reported purchase price of 2,298.95 yuan per ton, which is lower than the market price of 2,506.57 yuan per ton reported by its supplier [4]. - The company has shown an increase in production equipment, with a notable rise in the number of distribution devices and air compressors, although the asset value increase remains minimal, raising questions about capital efficiency [4].