With the comeback of Astec Electronics, will it be smooth sailing to hit the IPO?

The Olympics is still in full swing. In addition to the Olympic medal rankings that have attracted much attention, whether the medals are pure gold has also aroused people’s curiosity. The answer given by the Tokyo Olympics is that these medals are made by recycling Electronic equipment donated by the Japanese public.

Nowadays, electronic equipment has become an indispensable part of our lives. From small chargers and switches to power company transformers, electronic devices can be seen everywhere.

This is bound to be inseparable from the efforts of major electronic equipment manufacturers, and Astec Electronics is one of them.

Since the withdrawal of the GEM IPO in April 2013, it has made a comeback 8 years later. Guangdong Yada Electronics Co., Ltd. once again hit the SSE IPO. According to the latest news from the Shanghai Stock Exchange, it has entered an inquiry state.

Choosing Astec Electronics, which has made a comeback, is paying dividends wildly on the one hand, and raising funds on the other. Will its impact on the IPO road be smooth? IPO catchers let the outside world know more about it through multiple interpretations.

Wide customer coverage

Astec Electronics was established in 1995. The business level is mainly engaged in the production and sales of various high-frequency switching power supplies, wire products, magnetic electronic components and injection molded products, electronic circuit boards and their accessories.

In 1997, Astec Group was 100% controlled by “Emerson Electric Co., Ltd.”. After years of unremitting efforts, it has made great progress in design, creation, craftsmanship, production, quality, marketing, management, and finance. , Has become the top power supply manufacturer in the industry.

In 2012, the company applied for GEM, but the review was terminated in the following year. Now as a company that breaks through the sci-tech innovation board, Yada Electronics has a large number of invention patents and software copyrights, which makes its position rise.

Yada Electronics, which integrates R&D, production and sales of intelligent power monitoring products, and power monitoring system integration services, has also been used in important places such as Beijing Aerospace Flight Control Center, Bird’s Nest and Water Cube.

The sales model is mainly direct sales, supplemented by distribution. In the distribution model, according to the prospectus, Yada’s sales revenue through former employee distributors accounted for 77.94%, 79.5% and 76.45% of total distribution revenue, respectively. In other words, Astec’s distribution income is mainly realized by former employees.

In addition, Yada Electronics has a wide range of customers, including Zhongheng Electric, Baiyun Electric and many other listed companies. Among them, Huawei, the first domestic private enterprise, has a model HW-100400C00 that has obtained 3C certification. . This is produced by Astec Electronics. The maximum output specification is 10V/4A at altitudes of 5000 meters and below, and the maximum charging power will be as high as 40W. Tencent, Alibaba, Baidu, China Telecom, and China Mobile are all its customers.

Net cash flow is lower than net profit

According to the company’s check, operating income increased continuously from 2018 to 2020, which were 180 million yuan, 237 million yuan, and 292 million yuan, respectively. Ten thousand yuan, 70,438,300 yuan.

Among them, the non-recurring gains and losses were greatly affected. After deducting the non-recurring gains and losses, the total net profit attributable to the parent company during the reporting period of Yada decreased from 136 million yuan to 100 million yuan, a decrease of 26.58%. Especially in 2020, the net profit of Astec Electronics after deducting non-recurring gains and losses is only 46.347 million yuan, which is a reduction of 34.2% compared with the deduction of non-recurring gains and losses.

After deducting the non-recurring gains and losses caused by these land sales and share sales, the net profit attributable to the parent company of Yada Electronics during the reporting period was only 100 million yuan. , The amount of dividends is about 50.126 million yuan, 125.315 million yuan and 56.391 million yuan respectively.

In the past three years, the total dividend amount of Astec Electronics has reached 119 million yuan. The amount of dividends accounted for 261.84%, 26.77%, and 80.06% of the company’s attributable net profit in the same period; the proportions of the company’s net profit attributable to the same period after deduction were 333.06%, 32.34%, and 121.6%, respectively. 67%. The comparative data analysis shows that the company takes out most of the net profit to pay dividends.

In addition, the net cash flow generated by Yada’s operating activities in 2019 and 2020 was 15.028 million yuan and 3.4575 million yuan, respectively. RMB 66,526,800, which has an adverse effect on the normal turnover of the company’s working capital.

Of course, behind the huge dividend, Yada Electronics is also facing the problem that the current equipment and plant area cannot meet the needs of the rapid growth of the market.

Business scale advantage is not obvious

The power monitoring industry, technology research and development, business expansion, etc. all require strong capital to support. Yada Electronics wants to raise 270 million yuan this time and invest in smart power meter construction projects and power monitoring device expansion. However, he did not expect that he would be issued a warning letter by the Guangdong Regulatory Bureau due to the occupation of the company’s funds by shareholders and related parties.

In addition, the shareholders of both Chinese and foreign parties did not fulfill their capital contribution obligations on schedule and did not apply for cancellation, and the tax payment was less than the capital that should be transferred, which made it very difficult to raise funds.

The industry is a knowledge-intensive and technology-intensive industry. The research and development and large-scale production of electric power monitoring products integrate the knowledge reserves and cross-applications of many disciplines such as electrical, electronics, machinery, computers, and materials, with a high degree of technical integration. Compared with domestic and foreign enterprises, Yada Electronics still has a certain gap in the level of technology and product line richness, and scientific and technological talents are relatively scarce. In addition, due to its small scale, it is far less than Ankerui and Painuo Technology, which are one of the leaders in the domestic electrical industry.

From the perspective of operating income, according to the company’s check, the income of Ankerui from 2018 to 2020 is 457 million, 600 million, and 718 million, respectively, and the income of Painuo Technology from 2018 to 2020 is 2 respectively. 6.7 billion, 302 million, and 338 million. It can be seen that the revenue of these two competitors is higher than that of Astec Electronics.

In terms of business scope, in addition to providing intelligent power monitoring systems, substation automation systems and electrical fire monitoring systems, Ankerui also provides products and services for medical IT power distribution systems, building photovoltaic power generation systems, and fire-fighting equipment power monitoring systems. , Greatly improve customer electricity efficiency and electricity safety.

At the same time, Painuo Technology will involve part of it in energy management in the industrial field, professionally customizing and developing high-efficiency energy supervision and overall solutions for customers. In contrast, Astec Electronics still lacks in its business scope.

summary

In recent years, the electrical industry has been moving towards a good trend, and many companies want to come over and get a share of the pie, which has also led to overcapacity in the market. This requires Astec Electronics to continuously improve its product advantages on the original basis to meet market demand.

Although Yada Electronics has accumulated a number of high-quality customers and end users, and has innovated core technologies related to power monitoring to a certain extent, the fierce market competition also indicates that the road is still very long. Capital, the road to going public is not smooth.

The Links:   CM400HU-24F CM75DY-34A

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