A-share subscription | “Ningde Era Strategic Supplier Nabaichuan (301667.SZ) opens subscription to engage in R&D of NEV power battery thermal management products

The Zhitong Finance App learned that on December 8, Nabaichuan (301667.SZ) began the subscription. The issuance price was 22.63 yuan/share, and the subscription limit was 0.65 million shares, with a price-earnings ratio of 28.7 times. It belongs to the Shenzhen Stock Exchange, and Zheshang Securities is its sponsor.

According to the prospectus, Nabaichuan focuses on R&D, production and sales of products related to NEV power battery thermal management, fuel vehicle power system thermal management, and energy storage battery thermal management. The main products include battery liquid cooling plates, battery integrated boxes, fuel vehicle engine radiators, heater heaters, etc.

In the field of thermal management for new energy vehicle power batteries, the company has been cooperating with Ningde Era since 2012. It is a strategic supplier for the Ningde Era, supplying products to T Company, NIO Auto, Xiaopeng Motor, Ideal Auto, Nacha Auto, Zero Sports, Geely Automobile, Changan Automobile, Guangzhou Automobile Group, Great Wall Motor, SAIC Roewe, Dongfeng Nissan, Mercedes-Benz, Volkswagen, Chery Automobile, and Cyrus.

On the financial side, in 2022, 2023 and 2024, the company achieved operating income of approximately RMB 1,031 million, RMB 1,136 million, and RMB 1,437 billion respectively; net profit for the same period was approximately RMB 113 million, RMB 98.2549 million, and RMB 954.288 million, respectively.

Na Baichuan stated in the prospectus that from January to September 2025, the company's operating income is expected to increase 22.26% to 35.18% from January to September 2024, and net profit attributable to owners of the parent company will increase 19.79% to 33.10% from January to September 2024. After deducting non-recurring profit and loss, net profit attributable to owners of the parent company will increase 20.34% to 32.14% from January to September 2024.

In its prospectus, Nabaichuan indicated that the cash flow from operating activities is a negative risk. In each period of the reporting period, the net cash flow from the company's operating activities was 20.4873 million yuan, 111.3.15 million yuan, 387.705 million yuan, and -56527,500 yuan, respectively. Since the fourth quarter of 2024, the company's production and sales scale increased, and procurement expenses increased. Due to short-term factors such as issuing bank acceptance notes to pay security deposits, cash payments related to other operating activities were higher, leading to a decrease in net cash flow from operating activities in 2024, which changed from positive to negative from January to March 2025. The company's business scale has continued to expand in recent years, mainly through its own capital to meet development needs. If the company's net cash flow from operating activities is still low in the future, the company will have certain risks in terms of working capital turnover.