Core Viewpoint - The article discusses the IPO process of Youxun Co., Ltd., highlighting regulatory concerns regarding its market potential, sustainability of performance growth, and the rationality of fundraising projects, leading to the postponement of its IPO review by the Shanghai Stock Exchange [1][2]. Company Overview - Youxun Co., Ltd. focuses on the research, design, and sales of optical communication front-end transceiver chips, establishing itself as a leading enterprise in China's optical communication chip sector [6]. - The company aims to raise 8.09 billion yuan through its IPO, which has been postponed, marking it as the third company to face such a delay in 2025 [1][2]. Financial Performance - The company reported revenues of 3.39 billion yuan, 3.13 billion yuan, and 4.11 billion yuan for the years 2022, 2023, and 2024, respectively, with net profits of 813.98 million yuan, 720.83 million yuan, and 778.66 million yuan during the same period [13]. - For the first half of 2025, Youxun achieved a revenue of 2.38 billion yuan, reflecting a year-on-year growth of 20.19% [18]. Market Position - Youxun holds the largest market share in China for products with speeds of 10Gbps and below, while its presence in the 25Gbps and above segment is still developing, with only 7% of the global market share attributed to Chinese manufacturers [6][12]. - The company has a strong competitive edge in the 10Gbps segment, with its products being recognized for their technological advancements and reliability [9][10]. Regulatory Concerns - The Shanghai Stock Exchange raised multiple inquiries regarding the sustainability of Youxun's performance, the stability of its controlling rights, and the accounting treatment of share-based payments [3][4][5]. - The company has been asked to clarify its product structure and market competition, particularly in the context of its reliance on a limited range of products [8][11]. Fundraising and Investment Plans - Initially, Youxun planned to allocate 8.89 billion yuan for various R&D and industrialization projects, but it has since canceled its plan to use part of the funds for working capital due to a decrease in its debt ratio [21][25]. - The revised fundraising plan focuses solely on R&D and industrialization projects, with a total investment of 80.91 billion yuan [26].

Core Viewpoint - Recently, Xiamen Youxun Chip Co., Ltd. (referred to as "Youxun") has changed its IPO review status to "inquired" on the Sci-Tech Innovation Board, with CITIC Securities as its sponsor [1] Group 1: Company Overview - Youxun was established in February 2003 and is one of the first companies in China specializing in the design of high-speed transceiver chips for optical communication [3] - The company has become a "national champion" in the optical communication field and has participated in the formulation of numerous national and industry standards [3] Group 2: Financial Performance - Youxun's revenue for 2022, 2023, and 2024 was 339.07 million, 313.13 million, and 410.56 million respectively, with a decline of 7.65% in 2023 [9] - The net profit for the same years was 81.40 million, 72.08 million, and 77.87 million, also showing a decrease of 8.02% in 2023 [9] - The company's R&D investment for 2022, 2023, and 2024 was 71.68 million, 66.05 million, and 78.43 million respectively, with a cumulative investment of 216 million over three years [6][7] Group 3: Market Position and Product Development - Youxun has established a complete core technology system in optical communication chip design, achieving breakthroughs in key areas such as transceiver integration and high-speed modulation [6] - The company has successfully entered the global supply chain and ranks first in China and second in the world for products with speeds below 10Gbps [6] - Youxun is actively developing high-value-added new products, including 50G PON transceiver chips and automotive optical communication chips [6] Group 4: R&D and Profitability - The R&D expense ratio for Youxun was 21.14%, 21.09%, and 19.10% for 2022, 2023, and 2024, significantly lower than the industry average of 31.65% and 31.45% [7][9] - The gross profit margin for the main business decreased from 55.26% in 2022 to 46.75% in 2024, indicating pressure from rising raw material costs and declining sales prices [13][14] Group 5: Supply Chain and Inventory Management - The average purchase price of wafers increased by approximately 40.19% from 6,815.70 yuan per piece in 2022 to 9,555.07 yuan in 2024 [15][16] - The company's inventory value at the end of each reporting period was 130 million, 90.36 million, and 175 million, accounting for 38.48%, 25.45%, and 32.55% of current assets respectively [19] Group 6: Ownership Structure - As of the IPO application, the founder and chairman, Ke Binglan, directly holds 10.92% of the shares, with a total of 15.51% when including indirect holdings [22] - The actual controller's voting rights may be diluted to 20.35% post-issuance, raising concerns about potential control changes [24]