This Thursday (September 28), there is a gem listed company "Siquan new material" inquiry.

Siquan New Materials (301489): the company is a diversified functional material provider with thermal management materials as the core, and its main products are thermal management materials such as synthetic graphite heat dissipation film, synthetic graphite heat sink and so on. and gradually expanded to the field of magnetic materials and nano-protective materials. From 2020 to 2022, the company achieved operating income of 295 million yuan / 449 million yuan / 423 million yuan, YOY of 8.25%, 52.09% and 5.84%, respectively, and the annual compound growth rate of three years' operating income was 15.73%. The net profit of homing was 53 million yuan / 57 million yuan / 58 million yuan, and the YOY was 44.93%, 8.30% and 1.76%, respectively, and the annual compound growth rate of three years' net profit was 16.89%. During the latest reporting period, the company's operating income from January to June 2023 was 194 million yuan, up 2.05% from the same period last year, and the net profit was 24 million yuan, up 25.54% from the same period last year. According to the preliminary forecast, the company is expected to achieve a net profit of 0.34-36 million yuan from January to September 2023, up 1.17% from the same period last year to 9.63%.

Investment highlights: 1, the company's domestic thermal conductive materials market has occupied a certain market share. Since its inception, the company has been ploughing thermal management materials. In November, 2020, the company also achieved a substantial increase in the production capacity of graphite heat dissipation film through the epitaxial acquisition of Chongqing Huatan. At present, the company's products have entered the supply chain of well-known consumer electronics customers such as XIAOMI, vivo, Samsung, Alphabet Inc-CL C, ABB, Flextronics, BYD and so on. Vivo was the company's largest customer in 2021 and 2022. Combined with the data of the head Leopard Research Institute and the company's revenue scale, the company estimates that the domestic heat conduction market share will be 2.79% in 2021. In addition, the application field of the company's products has been extended to automotive electronics. with the continuous development of automobile intelligence in the future, it is expected to increase the demand for thermal conductive materials. 2. The main body of the two major projects has started construction ahead of time, and the production capacity is expected to be released ahead of time, or better support the future development of the company. The company has borrowed money to invest in the construction of Qinghu production and R & D Center corresponding to the fund-raising projects "High-performance Heat conduction and Heat dissipation products Construction Project (Phase I)" and "New material R & D Center Construction Project". The balance of the construction project of Qinghu production and R & D Center is 130 million yuan, and the main building of the project has been capped.

Comparison with listed companies in the same industry: select comparable listed companies whose main products include thermal management materials Fei Rongda and Zhongshi Science and Technology as Siquan new materials, but considering the great differences in product and business structure among different companies, we think that its reference is relatively limited. From the above comparable companies, the industry average income (TTM) is 2.924 billion yuan, the comparable PE-TTM (arithmetic average) is 53.50X, and the sales gross profit margin is 23.12%. Comparatively speaking, the revenue scale of the company is lower than the industry average, but the sales gross profit margin is higher than the industry average.

Risk hint: companies that have started the inquiry process still have the possibility of not being listed due to special reasons, the company content is mainly based on prospectuses and other public materials, and the selection of listed companies in the same industry is not accurate. Risk, content data interception may have interpretation deviation and so on. The specific risks of listed companies are shown in the text.