Shanxi Electric Power's registration for IPO on the GEM board shows a high dependence on a single customer.

On April 25th, Shandong Shandian Power Technology Co., Ltd. (referred to as Shandian Power) applied for a change in the IPO review status on the ChiNext Board of the Shenzhen Stock Exchange to "registration submitted". Industrial is its sponsoring institution, aiming to raise 500 million yuan. According to the prospectus, Shandian Power was established in 2001 and is committed to the research and industrialization of intelligent products related to power systems. Based on the accumulated grid monitoring technology and electrical system design and integration capabilities in the field of smart grids, the company has formed two main business sectors: grid intelligent monitoring and new energy. Among them, grid intelligent monitoring is the company's main source of revenue, accounting for 88%. Grid intelligent monitoring equipment is applied in the fields of substation, transmission, and distribution, while new energy equipment is applied in the field of electricity consumption. Due to grid enterprises being the main force in China's grid construction investment, Shandian Power's customers are mainly concentrated in grid enterprises such as State Grid and Southern Grid and their subsidiaries. During the reporting period, the revenue from grid enterprise customers accounted for around 80%. The company has established good cooperation relationships with State Grid, Southern Grid, and major power generation groups, with business covering 22 provinces, 5 autonomous regions, and 4 municipalities directly under the central government, excluding Hong Kong, Macau, and Taiwan. For each reporting period, the sales to State Grid and its subsidiaries accounted for 73.34%, 69.81%, and 69.61% respectively, with gross profit margins of 68.16%, 66.18%, and 63.83%, all exceeding 50%, indicating significant reliance on State Grid. The company acquires business through public tendering, competitive negotiation, inquiry, etc., with public tendering being the main method. Over the past three years, the average revenue obtained through public tendering accounted for 63.84%. Financially, in 2022, 2023, and 2024, Shandian Power achieved operating revenues of approximately 478 million yuan, 549 million yuan, and 658 million yuan respectively. During the same periods, the company achieved net profits of around 76.98 million yuan, 103 million yuan, and 127 million yuan respectively.