A-share subscription | "Contemporary Amperex Technology strategic supplier Shanabai Chuan (301667.SZ) starts subscription for the development of thermal management products for power batteries of new energy vehicles."

On December 8th, Nabaichuan (301667.SZ) began accepting applications for subscription, with an issue price of 22.63 yuan per share, a subscription limit of 6,500 shares, a price-earnings ratio of 28.7 times, listed on the Shenzhen Stock Exchange, with Zheshang as its sponsoring institution. According to the prospectus, Nabaichuan specializes in the research and development, production, and sales of products related to thermal management of power batteries for new energy vehicles, thermal management of power systems for gasoline vehicles, and thermal management of energy storage batteries. Its main products include battery liquid cooling plates, battery integrated boxes, automobile engine radiators, heaters, etc. In the field of thermal management of power batteries for new energy vehicles, the company has been cooperating with Contemporary Amperex Technology since 2012, and is a strategic supplier of Contemporary Amperex Technology. Its products are supplied to many automobile brands such as T Company, NIO, Xiaopeng Motors, Ideal Car, Nezha Auto, LEAPMOTOR, GEELY AUTO, Changan Automobile, GAC, Great Wall Motor, SAIC Roewe, Dongfeng Nissan, Mercedes-Benz, Volkswagen, CHERY AUTO, Chongqing Sokon Industry Group, etc. In terms of finance, in 2022, 2023, and 2024, the company's operating income is expected to be approximately 1.031 billion yuan, 1.136 billion yuan, and 1.437 billion yuan respectively; and the net profit for the same period is expected to be approximately 113 million yuan, 98.255 million yuan, and 95.4288 million yuan respectively. Nabaichuan stated in the prospectus that in the period from January to September 2025, the company's operating income is expected to grow by 22.26% to 35.18% compared to the same period in 2024, and the net profit attributable to the owner of the parent company is expected to increase by 19.79% to 33.10%, and after deducting non-recurring gains and losses, the net profit attributable to the owner of the parent company is expected to increase by 20.34% to 32.14% compared to the same period in 2024. Nabaichuan highlighted the risk of negative operating cash flow in the prospectus. In each period of the reporting period, the net cash flow generated by operating activities of the company was 20.4873 million yuan, 111.315 million yuan, 38.7705 million yuan, and -56.5275 million yuan respectively, mainly due to the significant growth in production and sales scale since the fourth quarter of 2024, the increase in procurement expenditures, and the short-term impact of paying higher cash related to operating activities, resulting in a decrease in the net cash flow generated by operating activities in 2024 and a turn from positive to negative in the first quarter of 2025. The company's business scale has been expanding in recent years, mainly funded by its own funds. If the net cash flow from operating activities remains low in the future, the company will face certain risks in terms of working capital turnover.