A-share subscription | Bayuan shares (301617.SZ) starts subscription. Specializing in the research and development of fine chemicals and comprehensive resource utilization.

On November 29, Boyuan Stock (301617.SZ) started its subscription with an issue price of 27.76 yuan per share and a subscription limit of 7,000 shares. The P/E ratio is 15.86 times, and it belongs to the Shenzhen Stock Exchange. Zhongtai is its exclusive sponsor. The prospectus disclosed that Boyuan Stock is a high-tech enterprise specializing in the research and development, production, sales, and comprehensive utilization of fine chemical products. Its main business includes the research, production, and sales of organic iodides, inorganic iodides, precious metal catalysts, luminescent materials, hexamethyldisilazane, and other products. Based on its qualifications for comprehensive resource utilization and technological advantages, it also carries out the recycling business of iodine-containing and precious metal materials, providing customers with processing services for precious metal catalysts and hexamethyldisilazane. The products and services of the issuer are widely used in the fields of medicine, chemical industry, optoelectronic materials, feed, and food. According to public data, China's fine chemical industry's total output value exceeded 5.5 trillion yuan in 2021, and it is expected to exceed 11 trillion yuan by 2027. The fine chemical ratios of the United States, the European Union, and Japan are close to or exceed 60%, and China plans to increase its fine chemical ratio to 55% by 2025. During the reporting period, the composition of the issuer's main business income is as follows: It is understood that Boyuan Stock intends to use the funds raised, after deducting the issuance expenses, for the following projects: In terms of finances, the company achieved operating revenues of approximately 524 million yuan, 798 million yuan, and 1.025 billion yuan in 2021, 2022, and 2023 respectively. The net profit of the company is approximately 103 million yuan, 176 million yuan, and 182 million yuan respectively. It should be noted that the prospectus specifically reminds investors to pay attention to the risk of declining gross profit margin. During the reporting period, the company's gross profit margins for the main business were 33.79%, 35.09%, 27.75%, and 26.53%, respectively. The higher gross profit margin in 2022 was mainly due to the price increase of products brought about by the rise in the iodine market price. In 2023, due to the high cost caused by the high iodine market price, the gross profit margin slightly declined. If the iodine market price significantly drops in the future, it will lead to a sharp decline in the selling prices of the issuer's products, and due to the time difference in cost allocation, there is a risk of decline in the issuer's gross profit margin.