Core Viewpoint - Shandong Baogai New Materials Technology Co., Ltd. has submitted its listing application to the Hong Kong Stock Exchange, with projected net profits showing a declining trend over the next few years [1][3]. Financial Performance - The company's net profits for 2023, 2024, and the first half of 2025 are projected to be 25.22 million, 21.62 million, and 5.127 million respectively [1][3]. - The overall gross profit margins for the same periods are expected to be 38.2%, 37.5%, and 34.1%, indicating a downward trend [1][3]. Business Overview - Established in 2009, the company specializes in producing glass fiber reinforced polymer (GFRP) products primarily for engineering and infrastructure needs [3]. - The product portfolio includes cable trench covers, drainage trench covers, and manhole covers, serving critical sectors such as electricity, transportation, urban utilities, water conservancy, and petrochemical engineering [3]. - According to Frost & Sullivan, the company ranks first in the domestic cable trench cover and GFRP cable trench cover market by market share, and third in the trench cover industry overall [3]. Revenue Sources - The company's revenue for 2023, 2024, and the first half of 2025 is projected to be 137.1 million, 130.9 million, and 46.2 million respectively [3]. - Sales to direct customers accounted for over 60% of total revenue, with percentages of 72.6%, 72.8%, and 66.5% for the respective years [4][5]. - Revenue from the top five customers for the same periods is expected to be 26.3 million, 23.9 million, and 6.7 million, representing 19.3%, 18.4%, and 14.6% of total revenue [5]. Use of Proceeds - The funds raised from the listing will be allocated to establish production lines for carbon fiber reinforced polymer (CFRP) prepregs and products, upgrade existing production lines with automation technology, enhance R&D capabilities, and expand the global sales and market network [3].