In the past week, the temperature fluctuated unexpectedly, catching people off guard. On the other hand, the new stock subscription market continued to perform steadily, providing reassurance.

According to statistics from Eastmoney, among the five newly listed stocks, SIDEA had a profit of 62,255 yuan per lot, setting a new record for the highest single lot profit since the beginning of the year in less than a week. Zhejiang Huayuan, also listed on the Growth Enterprise Market, saw a first-day increase of over 450%, but the profit per lot was only 11,105 yuan.

In the coming week, only two new stocks will be open for subscription, both concentrated on the last day of March. After this wave of new stocks, there will be a brief rest before the upcoming short holiday.

The Most "Meaty" Start of the Year Has Been Renewed

On March 24, SIDEA was listed on the Growth Enterprise Market with an issue price of 52.28 yuan per share. The final closing price was 157.93 yuan per share, an increase of 238.17%, resulting in a profit of 62,255 yuan per lot.

Hongjing Optoelectronics just claimed the title of the most "meaty" lot of the year, and in less than a week, the record was broken again. It is worth mentioning that both new stocks are listed on the Growth Enterprise Market, which has shown commendable performance in new stock subscriptions this year.

Not only the single lot profit broke records, but the 0.011108% winning rate also set a new low since the beginning of the year, making it somewhat daunting. Whether one can get a piece of this "meat" relies entirely on luck.

The prospectus shows that the company mainly engages in the research, production, and sales of semiconductor-specific equipment, with its main product being probe station equipment, making it the largest probe station equipment manufacturer in mainland China.

From 2021 to 2023, the company's operating revenue was approximately 399 million yuan, 442 million yuan, and 546 million yuan, with a compound annual growth rate of 16.99%. However, the operating revenue for 2024 is expected to decline slightly to about 508 million yuan, a decrease of 7.08%.

Among the other four new stocks, except for Zhejiang Huayuan, which had an increase of 451.42%, the increases were around 150%-200%. The profits from the four new stocks were around 10,000 to 20,000 yuan.

Pigment Manufacturer "Steps Up" to Go Public

On March 31, Xinkai Technology and Taihe Co., Ltd. will open for subscription, intending to list on the Shenzhen Main Board and the Growth Enterprise Market, respectively.

Xinkai Technology is a company engaged in the development, sales, and service of organic pigments and other coloring agents, with products mainly applied in inks, coatings, and plastics. The company has ranked first in the national organic pigment export industry for several consecutive years from 2015 to 2023.

However, this so-called technology company is more like a middleman, making money from price differences. In the words of the prospectus, the company has "risks of not producing in bulk independently," mainly procuring finished organic pigments and other coloring agents from suppliers.

From 2021 to 2023 and the first half of 2024, the proportion of procurement costs in the main business costs was 94.88%, 93.05%, 93.64%, and 88.94%, respectively. Although there was a slight decline, it still maintained a high level.

In terms of performance, the operating revenues from 2021 to 2023 were approximately 1.206 billion yuan, 1.192 billion yuan, and 1.069 billion yuan, with net profits attributable to the parent company of approximately 78.2 million yuan, 91.09 million yuan, and 83.44 million yuan, showing an overall downward trend However, the prospectus states that thanks to the company's global layout, revenue from domestic and overseas markets is expected to achieve significant growth in 2024, with projected operating revenue of approximately 1.406 billion yuan, a year-on-year increase of 31.57%; net profit attributable to the parent company is expected to be around 105.5 million yuan, a year-on-year increase of 26.44%.

Fundraising for R&D or Building?

On the other hand, investors may also need to pay special attention to the fundraising usage plan of Xinkai Technology.

The prospectus shows that the funds raised will mainly be used for the "R&D center and headquarters construction project" and "repayment of bank loans project." The majority of the former is actually used for purchasing land and construction projects.

In stark contrast to the approximately 160 million yuan in R&D investment, the company's annual R&D investment has long been maintained at only around 5 million yuan, far below the industry average level. At this scale, 160 million yuan could fund the company's R&D for several decades.

From 2021 to 2023 and in the first half of 2024, the proportion of R&D investment to operating revenue was 0.34%, 0.37%, 0.52%, and 0.44%, respectively, far below the industry average of around 5%.

Leading Enterprise in the Pesticide Field

Taihe Co., Ltd. mainly engages in the R&D, production, and sales of pesticide products and functional chemicals, with core products including Bacillus thuringiensis, pyraclostrobin, and 2,4-D.

The prospectus shows that Taihe Co., Ltd. has undertaken 4 national "12th Five-Year" technology support plans and 1 "13th Five-Year" national key R&D plan.

In recent years, the company has also received various honors, including the "China Pesticide Industry Technology Innovation Award," "Top 100 Enterprises in China's Pesticide Manufacturing Industry," 25th place in the "Top 100 Enterprises in China's Pesticide Industry Sales" for 2023, and 6th place in the "Top 50 in China's Pesticide Export Value" for 2023.

From 2021 to 2023, the company's operating revenue was approximately 3.579 billion yuan, 5.099 billion yuan, and 3.868 billion yuan, with net profits of approximately 431 million yuan, 662 million yuan, and 338 million yuan, respectively.

The projected operating revenue for 2024 is approximately 3.969 billion yuan, a year-on-year increase of 2.61%, while net profit is expected to be around 285 million yuan, a year-on-year decrease of 15.77%.

The prospectus explains that in 2023, the global environment became more stable, the stability of the agricultural chemical industry's supply chain improved, overall market demand declined, and market prices decreased. Affected by the decline in product prices and the slowdown in procurement by the company's main customers, the operating profit margin decreased to 9.90%.

Risk Warning and Disclaimer

The market has risks, and investment requires caution. This article does not constitute personal investment advice and does not take into account the specific investment objectives, financial conditions, or needs of individual users. Users should consider whether any opinions, views, or conclusions in this article are suitable for their specific circumstances. Investment based on this is at their own risk