Knocking the Bell Today, NMS Goes Public Successfully

On April 10th, as one of the first batch of listed companies under the registration system on the main board of the Shanghai and Shenzhen Stock Exchanges, Nanchang Mineral Systems Co., Ltd. (NMS) went public on the main board of the Shenzhen Stock Exchange. The stock to be issued this time is NMS, and the stock code is 001360. The issuance price is 15.38 yuan per share, and the price to earnings ratio is 34.66 times.

The main businesses of NMS are research and development, design, production, sales, and aftermarket services of crushing and screening equipment related to sand, aggregates and metal mines. It is one of the leading suppliers of high-end mining machinery equipment in China. Data shows that from 2019 to 2022, the operating revenues of South Mining Group are 393 million, 498 million, 725 million, and 864 million respectively. The net profits attributable to the parent company are 65 million, 89 million, 110 million, and 121 million respectively. The momentum is good.

In recent years, NMS has been upgrading from a traditional equipment manufacturing enterprise to a equipment manufacturing & service enterprise, shifting from a traditional and single equipment sales model to a full lifecycle service that provides customers with solutions, complete machine sales, accessory supply, and intelligent operation and maintenance, helping customers improve quality, reduce costs, increase efficiency and enhance market competitiveness. After continuous exploration and development, a relatively clear profit model has been formed and a certain scale of revenue growth has been achieved. From 2019 to 2021 and the first half of 2022, the aftermarket business revenues of NMS are 65 million, 89 million, 144 million, and 101 million respectively. The revenue proportion increases steadily from 16.86% to 27.15%.

As the first domestic enterprise among local brands to enter product backend services and have the ability to provide customized services, NMS will have a significant first mover advantage, and future aftermarket business will become an important source of sustained revenue growth for the enterprise. In this listing, NMS plans to use the raised funds for the industrialization project of key supporting components for high-performance intelligent crushers, its intelligent transformation construction, and the construction of comprehensive technology building and intelligent operation and maintenance platform. The implementation of fundraising projects is expected to further expand the scope of enterprise business, enhance profitability and core competitiveness, and achieve the strategic goal of enterprise transformation and upgrading.