According to the Futubull app, on September 6th, Zhongxin Stock (603091.SH) started its subscription with an issue price of 26.50 yuan/share and a subscription limit of 0.008 million shares. The PE ratio is 11.86 times, and it belongs to the Shanghai Stock Exchange, with Citic Securities as the sponsor and lead underwriter.

According to the prospectus, Zhongxin Stock's main business is the research, development, production, and sales of naturally degradable plant fiber molded products. Mainly using natural plant fiber materials such as bagasse pulp and bamboo pulp, it achieves molding effects through mold shaping, realizing the molding effects of blister and injection molding processes. It is a good substitute for plastic products and is widely used in the dining, fast-moving consumer goods, medical, and industrial fields. The company's main products are dining utensils and high-quality industrial packaging, and dining utensils are utensils used for dining or similar purposes, mainly including lunch boxes, plates, dishes, knives, forks, chopsticks, bowls, cups, etc.

Zhongxin Stock sells its products through a direct sales model, with customers mainly including brand customers and trading customers. They are basically the same in terms of product pricing, sales management, credit policies, and other aspects. During the reporting period, the company's products were mainly exported, while domestic sales showed a rapid growth trend. In terms of exports, the company's products are mainly sold to North America, Europe, and other countries and regions. The main export customers are large-scale catering and food packaging product manufacturers, such as AmerCareRoyal, Huhtamaki, Sabert, WorldCentric, Eco-Products, BerkEnterprises, ClarkAssociate, etc. As for domestic sales, the main customers are trading companies, and end customers include large chain supermarkets and well-known chain catering enterprises such as Sam's Club, Hema Fresh, Guangzhou Restaurant Group, Juewei Duck Neck, etc.

The pulp molding industry is developing rapidly under the promotion of plastic ban policies, but the market scale is still relatively small, with low industry concentration, and the majority of companies in the industry are small and medium-sized enterprises. Against the backdrop of global plastic reduction, plastic ban, and the continuous development of the "dual carbon" strategy, Zhongxin Stock has seized the development opportunity of green and environmentally friendly dining utensils. With its advantages in natural degradable materials, automation equipment, and molding processes, the company has achieved rapid development and has become a large-scale manufacturer of degradable pulp molding dining utensils. According to GrandViewResearch data in 2022, the company's market share in the global pulp molding dining utensils market is about 16%. According to data from the China Pulp and Paper Research Institute, the company's production accounts for 20% of the national pulp molding dining utensils production.

In terms of finance, in 2020, 2021, 2022, and January-June 2023, Zhongxin Stock achieved operating revenues of approximately 5.78 billion yuan, 9.1 billion yuan, 13.16 billion yuan, and 6.05 billion yuan respectively. The net profits during the same periods were approximately 1.38 billion yuan, 1.19 billion yuan, 1.9 billion yuan, and 98.6332 million yuan.

It should be noted that Zhongxin shares mentioned in the prospectus the risk of customer concentration.

During the reporting period, the total sales amount of the company's top five customers accounted for 50.92%, 50.55%, 39.34% and 37.61% of the corresponding operating income, showing a relatively concentrated customer base. If there are frictions in the future cooperation with the main customers, or if there are significant fluctuations in the production and operation of the main customers, it may have an adverse impact on the company's operation.