Medical imaging equipment and industrial non-destructive testing equipment manufacturer Chaoyan Technology Co., Ltd. (301602.SZ) plans to list on the ChiNext board through an IPO.

ChaoYan shares (301602.SZ) released the prospectus for the initial public offering of shares and listing on the GEM, with a total of 64.249446 million shares to be issued, accounting for 15% of the total share capital after the issuance. The shares issued this time are all new shares publicly issued, and do not involve the public sale of shares by shareholders. The start date for inquiry promotion of the issuance and listing in this round is January 7, 2025, and the subscription date is January 13, 2025. The company is a national key high-tech enterprise mainly engaged in the research and development, production, and sales of medical imaging equipment and industrial non-destructive testing equipment. Compared with comparable listed companies in the same industry, the company is the only one in China that is engaged in the research, development, production, and sales of both medical ultrasound imaging equipment and industrial ultrasonic non-destructive testing equipment. As a leading enterprise in the domestic ultrasonic non-destructive testing industry, the company has successively led the formulation of national or industry standards for analog instruments, digital instruments, and imaging instruments, and established and standardized the industry's product performance testing and acceptance methods. In 2019, the company collaborated with a NASDAQ-listed company in the United States to develop an ultrasound imaging-based surgical navigation system, gradually expanding its products into the field of medical imaging-assisted diagnosis and treatment; the second-generation product launched by the two parties announced the completion of FDA registration in August 2024. Compared with the first-generation product, the new product has made significant improvements in image performance and the integration of ultrasound and Siasun Robot & Automation for surgery, becoming the company's main product in the future. In 2023, the company introduced a portable multimodal medical imaging system for emergency rescue, continuously expanding its product line, with vast market potential in the future. In 2024, the company launched the climbing wall Siasun Robot & Automation ultrasonic detection system, which has various advantages such as automatic adaptation to curved surfaces, large load capacity, and outstanding obstacle-crossing ability. It can replace manual phased array and TOFD ultrasonic detection, surface visual inspection, etc., in harsh environments such as high altitude, toxic and harmful, flammable and explosive, effectively reducing detection risks, while improving efficiency and quality, further expanding the company's market space in industrial non-destructive testing. In 2022, the company's operating income was 336 million yuan, an 18.34% increase over the previous year, and the non-net profit attributable to the parent company was 122 million yuan, a 71.80% increase over the previous year, achieving significant growth in performance; in 2023, affected by the rectification and upgrade of the medical industry, the company's operating income in the second half of the year decreased compared to the same period of the previous year, but the overall operating income for the year was 327 million yuan, basically stable compared to 2022. Due to the impact of exchange gains and losses, the non-net profit attributable to the parent company was 102 million yuan, a 15.92% decrease from the same period of the previous year, but the company's main business gross profit margin was 69.22%, an increase from 2022, and the profitability of the company's products still maintains a high level. In the first half of 2024, the company's main business gross profit margin was 68.76%, basically stable compared to 2023, with operating income and net profit decreasing by 6.63% and 13.87% respectively compared to the same period of 2023. This was mainly due to the impact of the rectification and upgrade of the medical industry in the second half of 2023, which led to a significant delay in bidding activities in domestic public hospitals and affected product promotion, and these impacts continued into the first half of 2024; at the same time, due to the short-term adjustment of the business structure of the company's main customers, PROCEPT Biorobotics Corporation and PT.GRAHA TEKNOMEDIKA, the trading scale with the issuer temporarily decreased in the first half of the year. As the special action of industry rectification approaches one year and gradually enters the final stage, the bidding activities of public hospitals and the promotion pace of new products will gradually resume in the second half of 2024, and the sales scale to the main customer PROCEPT Biorobotics Corporation will increase with the launch of the second generation products, and sales revenue will also rebound from the second half of 2023. After the funds raised in this round are in place, the company will invest in the following projects in order of priority: 129 million yuan for the research and industrialization project of medical imaging products; 56.212 million yuan for the research project of industrial non-destructive testing system; 91.8634 million yuan for the research, industrialization, and market development project of portable DR system; 34.78 million yuan for the construction project of an innovation base.