Stock abbreviation: Weide information stock code: 688171 Guangdong Weide Information Technology Co., Ltd
Guangdong Weide Information Technology CO,. Ltd.
(Room 401, building C1, No. 182, Kexue Avenue, Huangpu District, Guangzhou)
Sponsor (lead underwriter) of IPO listing announcement on science and Innovation Board
(North block of excellence Times Square (phase II), No. 8, Zhongxin Third Road, Futian District, Shenzhen, Guangdong)
January 26, 2002
hot tip
The shares of Guangdong Weide Information Technology Co., Ltd. (hereinafter referred to as "Weide information", "the company", "the issuer" or "the company") will be listed on the science and Innovation Board of Shanghai Stock Exchange on January 27, 2022. The company reminds investors to fully understand the risks of the stock market and the risk factors disclosed by the company, avoid blindly following the trend of "speculation" in the initial stage of IPO, and make prudent decision and rational investment.
The value of this listing announcement is usually reserved to two decimal places. If the total number is inconsistent with the mantissa of the sum of the values of each sub item, it is caused by rounding.
Section I important statements and tips
1、 Important statement
The company and all directors, supervisors and senior managers guarantee that the information disclosed in the listing announcement is true, accurate and complete, promise that there are no false records, misleading statements or major omissions in the listing announcement, and bear legal liabilities according to law.
The opinions of Shanghai Stock Exchange and relevant government authorities on the listing of the company's shares and related matters do not indicate any guarantee to the company.
The company reminds investors to carefully read and publish on the website of Shanghai Stock Exchange（ http://www.sse.com.cn. ）The contents of the "risk factors" chapter of the company's prospectus should pay attention to risks, make prudent decisions and make rational investment.
The company reminds the majority of investors to pay attention to the relevant contents not involved in this listing announcement. Please refer to the full text of the company's prospectus.
Unless otherwise specified, the definitions of abbreviations or terms in this listing announcement are the same as those in the IPO prospectus of the company.
The company reminds investors to pay attention to the investment risks in the initial stage of IPO (hereinafter referred to as "new shares"), and investors should fully understand the risks and rationally participate in the trading of new shares. 2、 Special tips on investment risks at the initial stage of IPO
The company's shares will be listed on the science and Innovation Board of Shanghai Stock Exchange on January 27, 2022. The company reminds investors to fully understand the risks of the stock market and the risk factors disclosed by the company, avoid blindly following the trend of "speculation" in the initial stage of IPO, and make prudent decision and rational investment. The company's special tips on relevant risks are as follows: (I) stock trading risk of Kechuang board
The main board of Shanghai Stock Exchange and the main board of Shenzhen Stock Exchange are limited to 44% increase and 36% decrease on the first day of listing, and then 10% increase and decrease.
There is no price limit within the first five trading days after the listing of the shares listed in the initial public offering of the science and innovation board; Five trading days after listing, the exchange imposed a price limit of 20% on the competitive trading of shares on the science and innovation board. The Kechuang board further relaxed the restrictions on the rise and fall of stocks in the initial stage of listing, and increased the trading risk. (II) abnormal stock fluctuation risk
On the first day of listing, the shares on the science and innovation board can be used as the subject of margin trading, which increases the risk of sharp decline in share price caused by increased leveraged margin trading in the early stage of listing, while the main board market of Shanghai stock exchange requires that they can be used as the subject of margin trading after more than three months. In addition, the stock verification system for temporary suspension and serious abnormal fluctuations in the stock trading session of the science and innovation board is different from that of the main board market of the Shanghai Stock Exchange. Draw investors' attention to relevant risks.
After the IPO and listing, in addition to the operation and financial status, the stock price of the company will also be affected by many factors such as the macroeconomic situation outside China, industry conditions, capital market trends, market psychology and various major emergencies. When considering investing in the company's shares, investors should anticipate the possible investment risks caused by the above factors and make prudent judgments. (III) risk of less circulating shares
After this issuance, the total share capital of the company is 83773400 shares, of which the number of tradable shares with unlimited sales conditions in the initial stage of listing is 1905984300 shares, accounting for 22.75% of the total share capital after this issuance. At the initial stage of listing, the number of circulating shares is small, and there is a risk of insufficient liquidity. (IV) the shares can be used as the subject matter of margin trading on the first day of listing
On the first day of listing, the shares on the science and innovation board can be used as the subject of margin trading, which may produce certain price fluctuation risk, market risk, margin increase risk and liquidity risk. Price fluctuation risk refers to that margin trading will aggravate the price fluctuation of the underlying stock; Market risk refers to that when investors use stocks as collateral for financing, they need to bear not only the risks caused by the change of the original stock price, but also the risks caused by the change of the stock price of new investment, and pay the corresponding interest; Margin call risk means that investors need to monitor the level of guarantee ratio in the whole process of trading to ensure that it is not lower than the maintenance margin ratio required by margin trading; Liquidity risk refers to that when the price of the underlying stock fluctuates violently, the financed purchase of securities or the repayment of securities, the sale of securities or the repayment of securities may be blocked, resulting in greater liquidity risk. In addition, the stock verification system for temporary suspension and serious abnormal fluctuations in the stock trading session of the science and innovation board is different from that of the main board market of the Shanghai Stock Exchange. Draw investors' attention to relevant risks.
3、 Special risk tips
When evaluating the company's shares issued this time, investors should carefully read the risk factors in "section IV Risk Factors" of the company's prospectus, and pay special attention to the following major risk factors. Ranking does not mean that the risk factors occur in turn. (I) with the entry of new competitors in the market, the company's high growth rate of operating revenue and the risk of unsustainable gross profit margin. At present, the distribution network information security industry mainly focused by the company is an emerging industry with a short development time. The industry gradually took shape and began to grow rapidly in the second half of 2017. In each period of the reporting period, the company's operating revenue was 82.3296 million yuan, 122.3887 million yuan, 135.8989 million yuan and 51.5189 million yuan respectively, with a compound annual growth rate of 28.48% from 2018 to 2020. Relying on the first mover advantage of entering this field earlier, the company carries out software iterative update for specific problems found in the process of product application, so as to meet the product needs of customers. In each period of the reporting period, the gross profit margin of the company was 73.17%, 72.86%, 64.27% and 62.52% respectively. The gross profit margin level of the company was relatively high. The gross profit margin level of the company was mainly affected by market competition, product sales price, customer structure, product structure, raw material price and other factors.
On the whole, the development time of the company is still short. At present, the income and business scale are small, the cumulative R & D investment is not high, and a stable product "moat" and high technical threshold have not been formed. The head safety manufacturers such as Venustech Group Inc(002439) , Westone Information Industry Inc(002268) have large income scale and long development history, and obtain strong technical and R & D advantages through long-term R & D accumulation. In the future, if the head security manufacturer continues to consolidate its existing business while expanding to the distribution network information security subdivision industry, or continuously increases its investment and attention to the distribution network information security subdivision industry, it will further obtain relevant business orders from customers in the distribution network field by virtue of its competitive advantages in scale and R & D strength, which may lead to the company's inability to operate in China Southern Power Grid If the State Grid and other companies continue to obtain orders in bidding procurement, or lead to significant adverse changes in product sales price, the company's operating revenue, gross profit margin and profitability will be adversely affected. At the same time, if there are significant adverse changes in market competition environment, customer structure, product structure, policy environment and other factors, the company has the risk of unsustainable growth of operating revenue and high gross profit margin. (II) risks with small scale and weak anti risk ability of the company
Distribution network information security industry is an emerging industry with a short development time, and its market demand is greatly affected by industrial policies. In each period of the reporting period, the company's operating revenue was 82.3296 million yuan, 122.3887 million yuan, 135.8989 million yuan and 51.5189 million yuan respectively, and its net profit was 27.0971 million yuan, 63.5329 million yuan, 63.6669 million yuan and 21.6154 million yuan respectively. The scale of revenue and profit is small, Compared with listed companies in the same industry, especially head safety manufacturers, the issuer's anti risk ability is weak. In the future, if there are major adverse changes in China's macroeconomic situation, industrial policies, market competition environment, the company's own production and operation or the fluctuation of downstream market demand, resulting in the reduction of orders, it may have a great adverse impact on the company's operating performance. (III) risk of multi business operation in information security and expansion in non power fields
The information security industry involves many sub sectors. During the reporting period, the company mainly focused on the information security industry of power distribution network. The company needs certain resource investment and practice to enter the non power field. Due to the lack of industry experience and technology accumulation in other non power fields, the verification cycle of new industry fields is long, and the company is small and in the growth stage, it is difficult to continuously improve the market share in new fields. At present, the company has carried out business expansion in water conservancy, communication and other fields and carried out corresponding product testing, but the company's business income has not been formed. It is uncertain to form income in non power fields in the future. If the company fails to develop its information security business in the non electric power field and is unable to effectively expand new customers and obtain orders in other industries, it may cause adverse risks in the future expansion in the non electric power field. At the same time, if the company cannot maintain business cooperation with customers in various industries and continue to operate in multiple business areas after business expansion in the future, it may affect the company's focused operation in the distribution network information security industry and adversely affect the company's business performance. (IV) large balance of accounts receivable and risk of bad debts
At the end of each reporting period, the book value of the company's accounts receivable was 41.075 million yuan, 53.9284 million yuan, 90.6924 million yuan and 90.6082 million yuan respectively, accounting for 41.46%, 30.11%, 32.75% and 31.95% of the total assets at the end of each reporting period, and the turnover rate of accounts receivable was 2.24 times, 2.44 times, 1.78 times and 0.54 times respectively. At the end of each reporting period, the company has a certain amount of accounts receivable balance. On the one hand, power grid companies and power equipment providers have strict capital payment approval process, and the internal process takes a long time; On the other hand, the company gives customers with good credit and long-term cooperation a certain credit period. With the continuous expansion of the company's business scale, the balance of accounts receivable may continue to maintain a high level.
At the end of each reporting period, the aging of the company's accounts receivable is mainly within 1 year. The company has withdrawn bad debt reserves at the end of each reporting period according to the bad debt provision policy of accounts receivable. However, if the company's accounts receivable continue to rise, when the customer's financial situation deteriorates or fails to pay on time, or the market environment for the company to obtain external funds becomes tighter, the company will face greater pressure on working capital, which will have an adverse impact on the company's production, operation and financial situation. (V) the company's business income comes from the power field, which is highly dependent on the power grid company, especially China Southern Power Grid, and the risk that its business is greatly affected by the national power policy and investment arrangement
During the reporting period, the company's revenue came from the power sector, and its customers were mainly state grid, China Southern Power Grid and power equipment providers. During the reporting period, the company's revenue from selling products to power grid companies and power equipment providers accounted for 93.88%, 95.69%, 84.87% and 71.41% respectively, which is highly dependent on the power grid market. The company's business is highly dependent on power grid companies, especially China Southern Power Grid, and is greatly affected by national power policies and investment arrangements. In the future, if the investment scale of the State Grid and China Southern Power Grid in the upgrading and transformation of distribution network is less than expected, or there are adverse changes in the power industry policy system and relevant policies of China Grid Corporation, or the market competition is becoming increasingly fierce, it will have an adverse impact on the performance stability and sustainable profitability of the company. (VI) risk of the development of distribution network information security industry and the impact of industrial policies
Distribution network information security industry is an emerging industry with rapid development in recent years. With the support of policies, the industry has gradually developed rapidly. Since 2015, major policies related to distribution network encryption and transformation have been promulgated one after another. In 2015, the national development and Reform Commission issued the guiding opinions on accelerating the construction and transformation of distribution network; In 2016, the national development and Reform Commission and the National Energy Administration issued the 13th five year plan for power development and the management measures for orderly liberalization of distribution network business; In 2017, the State Grid issued the work plan for the construction of distribution network in world-class cities; In 2019, the national development and Reform Commission and the National Energy Administration issued the notice on further promoting the reform of incremental distribution business. The action plan for distribution network construction and transformation (2015-2020) issued by the National Energy Administration in 2015 proposes to effectively increase the capital investment in distribution network by implementing the action plan for distribution network construction and transformation. During 2015-2020, the investment in distribution network construction and transformation will not be less than 2 trillion yuan, and the automation coverage of distribution network will reach 90% in 2020. The company's subdivided industry has a short development time and is greatly affected by industry policies, and the relevant support policies are issued after 2015. There are certain uncertainties in the introduction time of relevant new policies and the support to the industry in the future.
In the future, if the continuity of the national policy on the distribution network information security industry is insufficient, the support of the new policy or the implementation of the power grid company is less than expected, or the policy and relevant technical specifications of the power grid industry change too quickly, resulting in the change that the company's product R & D is not responsive to the market, the market demand of the company's products will not maintain rapid growth, As a result, the demand of downstream customers for relevant products will be gradually reduced, which will have an adverse impact on the company's operating conditions and profitability.
Section 2 stock listing
1、 Review of stock registration and listing (I) the decision of the CSRC to agree to registration and its main contents
On December 6, 2021, the CSRC issued the reply on Approving the registration of initial public offering of shares by Guangdong Weide Information Technology Co., Ltd. (zjxk [2021] No. 3836), approving the issuer's application for registration of initial public offering of shares.
"I
