Core Viewpoint - United Power has successfully passed the listing review by the Shenzhen Stock Exchange for its initial public offering (IPO), aiming to raise approximately 4.857 billion yuan for key projects in the production of core components for new energy vehicles [1] Group 1: Company Overview - United Power was established in 2016 and focuses on the research, production, sales, and technical services of electric drive and power products for new energy vehicles [2] - The company is a wholly-owned subsidiary of Huichuan Technology, which holds 94.51% of its shares, making it the controlling shareholder [3] Group 2: Market Position - According to NE Times statistics, United Power holds approximately 10.7% of the electric control product market share in China's new energy passenger vehicle sector, ranking first among third-party suppliers [3] - The company also ranks first among third-party suppliers in the electric motor product market with a share of about 10.5% [3] Group 3: Financial Performance - United Power is experiencing rapid growth, with total assets projected to reach 9.087 billion yuan, 12.297 billion yuan, and 18.072 billion yuan from 2022 to 2024 [3] - The company's revenue is expected to grow from 5.027 billion yuan in 2022 to 16.178 billion yuan in 2024, with net profit turning from a loss of 179 million yuan in 2022 to a profit of 936 million yuan in 2024 [3] Group 4: Parent Company Performance - Huichuan Technology's revenue from the new energy vehicle and rail transit segment reached 9.920 billion yuan in 2023, accounting for 32.61% of total revenue, and is projected to grow to 16.642 billion yuan in 2024, representing a year-on-year increase of 67.76% [4] - This segment has become the largest revenue contributor for Huichuan Technology, surpassing general automation [4]

Group 1 - The core point of the article is that Suzhou Huichuan United Power System Co., Ltd. has successfully passed the IPO review for the ChiNext board, with plans to raise approximately 4.857 billion yuan [1] - The company is primarily engaged in the research, production, sales, and technical services of electric drive and power system solutions for new energy vehicles, and is the sole entity under Huichuan Technology for these operations [1] - As of the signing date of the prospectus, Huichuan Technology holds 94.51% of the shares in United Power, making it the controlling shareholder [1] Group 2 - The company reported projected revenues of approximately 5.027 billion yuan, 9.365 billion yuan, and 16.178 billion yuan for the years 2022, 2023, and 2024, respectively, with corresponding net profits of approximately -179 million yuan, 186 million yuan, and 936 million yuan [1] - The listing committee has requested the company to analyze the impact of domestic new energy vehicle industry trends, policy changes, and customer performance on revenue, gross margin, and net profit [2] - The committee also requires the company to justify the sustainability of its performance growth and the reasonableness of the declining R&D expense ratio in comparison to industry peers [2]

Core Viewpoint - The company, Suzhou Huichuan United Power System Co., Ltd. (联合动力), is preparing for its IPO on the ChiNext board, with significant attention on its high related-party transactions and the rationale behind its fundraising projects [1][4]. Group 1: IPO Progress and Company Overview - The IPO of United Power is scheduled for June 12, following a six-month waiting period [1]. - The company is primarily engaged in the research, production, sales, and technical services of electric drive and power system solutions for electric vehicles [4]. - As of the signing date of the prospectus, Huichuan Technology holds 94.51% of United Power's shares, making it the controlling shareholder [4]. Group 2: Financial Performance - United Power's revenue for 2022, 2023, and 2024 is approximately 50.27 billion, 93.65 billion, and 161.78 billion respectively, with net profits of -1.79 billion, 1.86 billion, and 9.36 billion [4]. - The company has seen a significant increase in related-party transactions, with major recurring sales of 9.61 billion, 19.68 billion, and 44.49 billion from 2022 to 2024, representing 19.11%, 21.01%, and 27.5% of total revenue [4][5]. Group 3: Related-Party Transactions - Major related-party transactions involve sales to subsidiaries of Huichuan Technology and a joint venture with Li Auto, with sales amounts increasing significantly over the reporting period [5]. - Li Auto has been a major customer, accounting for 29.01%, 19.93%, and 34.69% of sales from 2022 to 2024 [5]. Group 4: Fundraising and Investment Projects - United Power plans to raise approximately 48.57 billion, with 26.12 billion allocated for the production of core components for electric vehicles [6]. - The company’s production capacity utilization rates for electric drive systems were 76.88%, 84.77%, and 93.7% from 2022 to 2024, indicating that capacity is not yet fully saturated [6]. Group 5: Financial Health and R&D Investment - The company's asset-liability ratio has been increasing, reaching 65.3%, 68.45%, and 73.24% over the reporting periods, which may impact operational flexibility [7]. - R&D investment as a percentage of revenue has decreased from 11.37% in 2022 to 5.62% in 2024, although it was initially higher than industry averages [8].