Core Viewpoint - The recent withdrawal of IPO applications by companies like Nanjing Qinheng Microelectronics highlights challenges in the domestic semiconductor industry, particularly regarding profitability and sustainable growth [1][6]. Financial Performance - Qinheng's gross margin has shown a declining trend, dropping from 63.32% in 2022 to 57.51% in 2024, with a slight recovery to 60.46% in the first half of 2025, indicating potential issues with profitability [3][4]. - The average selling price of Qinheng's chip products decreased from 1.79 yuan in 2022 to 1.36 yuan in 2024, with significant price drops in key products such as USB chips and microcontrollers, reflecting a shift to a "price for volume" strategy due to intense market competition [3][4]. R&D Investment - Despite an increase in absolute R&D spending, the R&D expense ratio fell from 25.54% in 2022 to 15.46% in the first half of 2025, raising concerns about the company's ability to sustain high levels of technological innovation [4][6]. - Qinheng's self-research model, which emphasizes independence from external licensing, requires substantial long-term investment, and the acceptance of its self-developed ecosystem remains uncertain in a market dominated by established players [4][6]. Customer and Supplier Dynamics - The company's customer base is highly fragmented, with sales to the top five customers accounting for only 10%-15% of total sales, which limits bargaining power and increases market development costs [5]. - Conversely, the supplier base is highly concentrated, with over 75% of purchases coming from the top five suppliers, creating a "two-sided mismatch" in the supply chain [5]. Regulatory Environment - The scrutiny of companies seeking to list on the Sci-Tech Innovation Board has intensified, focusing on sustainable operational capabilities, profitability quality, and financial stability [5][6]. - Qinheng's inability to provide satisfactory responses to regulatory inquiries regarding its declining gross margin and R&D expense ratio may have contributed to its decision to withdraw its IPO application [5][6].

Core Viewpoint - The IPO applications of two companies, Qinheng Micro and Yadian Technology, have been terminated due to the withdrawal of their applications by the issuers and their sponsors, marking a total of two terminated IPO cases in the A-share market since 2026 [1][9]. Group 1: Yadian Technology - Yadian Technology's IPO application was accepted on June 27, 2025, but was withdrawn on January 14, 2026, without a response to the inquiries from the Shanghai Stock Exchange [2][10]. - The company specializes in the research, production, and sales of wet cleaning equipment for silicon-based semiconductors, compound semiconductors, and photovoltaic fields, contributing to the localization and technological breakthroughs in core semiconductor equipment [11]. - Yadian Technology aimed to raise 950 million yuan through its IPO, with plans to invest 718 million yuan in high-end semiconductor equipment industrialization and advanced process semiconductor technology research and development projects, 82.45 million yuan in advanced process wet cleaning equipment development, and 150 million yuan for working capital [3][11]. Financial Data - Yadian Technology's revenue for the years 2022, 2023, 2024, and the first half of 2025 was 121 million yuan, 442 million yuan, 580 million yuan, and 267 million yuan, respectively. The net profit attributable to the parent company was -93.99 million yuan, 10.36 million yuan, 85.12 million yuan, and 11.06 million yuan for the same periods [3][11]. Group 2: Qinheng Micro - Qinheng Micro's IPO application was accepted on June 30, 2025, but was also withdrawn on January 20, 2026, without a response to the inquiries from the Shanghai Stock Exchange [6][14]. - The company focuses on integrated circuit design, specializing in the research of connection technology and microprocessors, aiming to develop integrated chips based on self-developed interface IP and core IP [7][14]. - Qinheng Micro planned to raise 932 million yuan through its IPO, with intended investments of 263 million yuan in USB chip research and industrialization, 302 million yuan in network chip research and industrialization, and 367 million yuan in full-stack MCU chip research and industrialization [7][14]. Financial Data - Qinheng Micro's revenue for the years 2022, 2023, 2024, and the first half of 2025 was 238 million yuan, 308 million yuan, 397 million yuan, and 249 million yuan, respectively. The net profit attributable to the parent company was 59.10 million yuan, 72.40 million yuan, 104 million yuan, and 81.80 million yuan for the same periods [15][16].

Core Viewpoint - The Shanghai Stock Exchange has decided to terminate the review of Nanjing Qinheng Microelectronics Co., Ltd.'s application for an initial public offering (IPO) on the Sci-Tech Innovation Board, following the company's request to withdraw its application [1][3]. Group 1: Company Overview - Nanjing Qinheng Microelectronics focuses on connection technology and microprocessor research, operating as an integrated circuit design company that builds integrated chips based on self-developed professional interface IP and core IP [3]. - Jiangsu Qinheng Co., Ltd. holds a 56.04% stake in Qinheng Micro, making it the controlling shareholder [3]. Group 2: Shareholding Structure - Wang Chunhua owns 95.00% of Jiangsu Qinheng and directly holds 28.46% of Qinheng Micro's shares, controlling a total of 94.57% of the company through Jiangsu Qinheng and a partnership [4]. - The actual controller of Qinheng Micro is Wang Chunhua, who is also the executive partner of Nanjing Yihuo Technology Development Center [4]. Group 3: IPO Details - Qinheng Micro initially planned to issue no more than 21.08 million shares, representing at least 25% of the total share capital post-issuance, with all shares being new issues [4]. - The company aimed to raise approximately 931.54 million yuan for projects related to USB chip development, network chip development, and full-stack MCU chip development [4][5]. Group 4: Fund Allocation - The planned allocation of raised funds includes: - USB chip development and industrialization project: 262.75 million yuan - Network chip development and industrialization project: 302.10 million yuan - Full-stack MCU chip development and industrialization project: 366.69 million yuan - Total: 931.54 million yuan [5].

Core Viewpoint - Nanjing Qinheng Microelectronics Co., Ltd. has terminated its IPO application for the Sci-Tech Innovation Board, indicating potential challenges in meeting the board's strategic requirements for innovation and technology [1][5]. Company Overview - Nanjing Qinheng Microelectronics is an integrated circuit design company focused on developing its own IP systems for chip integration, distinguishing itself from traditional chip design firms that typically purchase third-party IP [7]. - The company aims to create a comprehensive chip architecture based on self-researched interface and core IP, targeting the Internet of Things (IoT) market [7]. IPO Details - The company had planned to raise approximately 932 million yuan (about 9.32 billion yuan) through its IPO [4][5]. - The application was received on June 30, 2025, and the review process was terminated by the company and its sponsor, Huatai United Securities, indicating a proactive withdrawal [5][6]. Financial Performance - For the first half of 2025, the company's total revenue was approximately 24.89 million yuan, with a net profit of about 8.18 million yuan [13]. - The revenue composition shows that USB chips accounted for 49.41% of total revenue, while Bluetooth and Ethernet chips contributed 15.77% and 7.78%, respectively [9]. Fund Utilization Plan - The planned use of the raised funds was focused on three main R&D projects: USB chip development, network chip (Bluetooth and Ethernet) development, and full-stack MCU chip development, with total investments projected at approximately 93.15 million yuan [8][18].

Core Viewpoint - Nanjing Qinheng Microelectronics Co., Ltd. (referred to as "Qinheng Micro") has made progress in its A-share IPO application, entering the inquiry stage, supported by steady revenue and profit growth during the reporting period [1][4]. Group 1: Financial Performance - Qinheng Micro's revenue and net profit have shown consistent growth from 2022 to 2024, with revenues of approximately 238 million yuan, 308 million yuan, and 397 million yuan, and corresponding net profits of approximately 59.1 million yuan, 72.4 million yuan, and 104 million yuan [4]. - The company's gross profit margins for its main business were 63.32%, 58.82%, and 57.51% from 2022 to 2024, indicating a gradual decline due to changes in product sales structure [5]. Group 2: Customer Base and Market Position - Qinheng Micro has a relatively low customer concentration, with sales to its top five customers accounting for 10.28%, 15.05%, and 14.15% of total revenue from 2022 to 2024, respectively [4]. - The company focuses on the long-tail market in industrial and automotive sectors, which allows for a diverse customer base and mitigates the impact of cyclical fluctuations in specific industries [5]. Group 3: Research and Development - The company's R&D expenses were 60.9 million yuan, 67.7 million yuan, and 76.2 million yuan from 2022 to 2024, representing 25.54%, 22.01%, and 19.2% of revenue, respectively, indicating a decrease in R&D expense ratio due to faster revenue growth [6]. - Qinheng Micro plans to raise approximately 932 million yuan through its IPO to invest in various chip development projects, which is expected to significantly increase R&D spending in the future [6]. Group 4: Ownership and Governance - The controlling shareholder, Wang Chunhua, holds over 90% of the voting rights, with Qinheng directly owning 56.04% and Wang holding 28.46%, leading to potential concerns about governance and decision-making power [7]. - Despite the high concentration of control, the company claims to have established a governance structure that ensures checks and balances among its board and committees, aiming to mitigate risks associated with concentrated ownership [7].

Core Viewpoint - Nanjing Qinheng Microelectronics Co., Ltd. has received acceptance for its IPO on the Sci-Tech Innovation Board, focusing on integrated circuit design with a specialization in connection technology and microprocessor research [3]. Fundraising and Investment Projects - The company plans to raise 932 million yuan through the IPO, with allocations of 260 million yuan for USB chip R&D, 300 million yuan for network chip R&D, and 367 million yuan for full-stack MCU chip R&D [4]. Financial Performance - The company's total assets are projected to reach 723.94 million yuan by the end of 2024, up from 542.98 million yuan in 2023 and 451.15 million yuan in 2022. - Revenue is expected to grow from 238.26 million yuan in 2022 to 397.68 million yuan in 2024, with net profits increasing from 59.10 million yuan to 103.99 million yuan over the same period [5]. Employee Structure - As of December 31, 2024, the company will have a total of 276 employees, with 160 in R&D (57.97%) and only 3 in production (1.09%) [6][7]. Shareholding Structure - Jiangsu Qinheng holds 56.04% of the company's shares, making it the controlling shareholder. Wang Chunhua, who holds 28.46% directly and controls a total of 94.57% of the shares, is the actual controller of the company [9].

Group 1 - The core viewpoint of the article highlights a significant transformation in the valuation logic of China's technology industry, particularly regarding loss-making IPOs and the acceptance of high R&D expenditures as a new standard for valuation [1][9] - The acceptance of loss-making companies for IPOs on the Sci-Tech Innovation Board indicates a shift in the listing standards, moving from profitability to a focus on technological capabilities and R&D investments [1][9] - The article discusses the substantial fundraising efforts of companies like Moer Technology and Muxi Co., with Moer Technology raising 8 billion yuan, 60% of which is allocated to AI training chips, and Muxi Co. raising 3.9 billion yuan, with 82% directed towards 7nm GPU mass production [3][9] Group 2 - The article outlines a three-tiered arms race in hard technology, emphasizing the dual paths of GPU localization led by Moer Technology and Muxi Co., with Moer focusing on a full-function GPU architecture and Muxi on high-performance computing GPUs [3][4] - It notes that for every 100 million yuan invested in R&D, companies can expect a valuation premium of 320 million yuan, indicating a strong correlation between R&D investment and market valuation [4] - The article identifies two categories of companies: high R&D loss-making firms benefiting from policy incentives and profitable technology firms demonstrating stable growth, with examples including Qinheng Microelectronics and Yuyuan Composite Materials [7][9] Group 3 - The article raises concerns about the sustainability of losses for companies like Moer Technology, which has a cash reserve sufficient for only 18 months, emphasizing the critical nature of their upcoming AI training chip production in 2026 [9][10] - It discusses the potential for local government industrial funds to support these companies, with Beijing's integrated circuit fund already investing 1 billion yuan [10] - The article questions the feasibility of technology realization, with Moer Technology targeting the replacement of Nvidia's H20 by Q2 2026 and Muxi aiming to replace AMD's MI300 by Q4 2025 [10]

Core Viewpoint - Nanjing Qinheng Microelectronics Co., Ltd. has received acceptance for its IPO on the Sci-Tech Innovation Board, focusing on integrated circuit design and self-developed processor technology [3] Group 1: Company Overview - Qinheng Micro specializes in connection technology and microprocessor research, developing integrated chips based on self-researched interface IP and core IP [3] - The company has independently designed the fifth-generation RISC-V compliant processor series "Qingke," with cumulative shipments exceeding 100 million units [3] Group 2: Fundraising and Investment Projects - The company plans to raise 932 million yuan through the IPO, with allocations of 260 million yuan for USB chip R&D, 300 million yuan for network chip R&D, and 367 million yuan for full-stack MCU chip R&D [4] Group 3: Financial Performance - The company's total assets are projected to reach 723.94 million yuan by the end of 2024, up from 542.98 million yuan in 2023 and 451.15 million yuan in 2022 [5] - Revenue is expected to grow from 238.26 million yuan in 2022 to 396.80 million yuan in 2024, with net profit increasing from 59.10 million yuan to 103.99 million yuan over the same period [5] - The average selling price of the company's chip products has shown a declining trend, with prices of 1.79 yuan, 1.42 yuan, and 1.36 yuan per unit during the reporting period [6] Group 4: R&D Investment - R&D expenses have increased from 60.86 million yuan in 2022 to 76.17 million yuan in 2024, with R&D expense ratios of 25.54%, 22.01%, and 19.20% respectively [6][7] - The number of R&D personnel is projected to remain at 160, constituting 57.97% of the total workforce [7]

Core Viewpoint - Nanjing Qinheng Microelectronics Co., Ltd. has officially submitted its IPO application to the Shanghai Stock Exchange, aiming to raise 932 million yuan for the development and industrialization of various chip projects [1][2] Group 1: Company Overview - Qinheng Micro focuses on connection technology and microprocessor research, specializing in integrated circuit design based on self-developed interface IP and core IP [1] - The company's main products include interface chips and interconnection MCU chips, which are essential for information exchange and data processing in electronic devices [1] Group 2: IPO Details - The company plans to use the raised funds for projects related to USB chip development, network chip development, and full-stack MCU chip development [1][2] - The IPO aims to enhance the company's capabilities in producing competitive interface chips and interconnection MCU chips [2] Group 3: Future Development Plans - Post-IPO, the company intends to increase R&D investment in connection technology and microprocessor cores, focusing on high-speed USB, Ethernet, and low-power wireless communication technologies [2] - Qinheng Micro aims to expand its product matrix by developing high-performance RISC-V processor IP and various network chips, including high-speed Ethernet SoC chips and low-power multi-mode wireless SoC chips [2]