Zuzu New Materials Listed, Raised 160 Million Yuan, Surged 406% on First Day, Cash Flow Turned Positive After 3 Consecutive Years of Deficit

China Economic Net Beijing, March 18 — Today, Zuxing New Materials Co., Ltd. (Stock abbreviation: Zuxing New Materials, Stock code: 920078.BJ) was listed on the Beijing Stock Exchange. The stock opened at 33.00 yuan, closed at 35.30 yuan, up 405.73%, with a trading volume of 712 million yuan, a fluctuation range of 163.18%, a turnover rate of 96.39%, and a total market value of 4.236 billion yuan.

Since its establishment, Zuxing New Materials has been dedicated to research and development of aluminum pigments and microfine spherical aluminum powders, which are functional metal powders in the non-ferrous metal new material industry.

Prior to this issuance, Liang Xiaobin held 50.5775 million shares, accounting for 52.14% of the total share capital, making him the controlling shareholder and actual controller of the company. There has been no change in the controlling shareholder or actual controller before and after this issuance.

Zuxing New Materials was approved for initial public offering on December 3, 2025. The review comments from the 38th review meeting of the Beijing Stock Exchange Listing Committee in 2025 are as follows:

1. Please the issuer: (1) Based on the main order signing and execution status during the reporting period of abnormal customer reports, including order number, signing time, delivery time, receipt time, post-period payment and ratio, whether the source of payment funds is abnormal, etc., explain the authenticity of sales. (2) Based on sales business with Shanghai Jinyida New Energy Co., Ltd. and its related parties, further clarify the authenticity of terminal sales. Please have the sponsor institution and the reporting accountant verify and provide clear opinions.

2. Please the issuer further explain the implementation of internal control mechanisms regarding production and operation compliance. Please have the sponsor institution verify and provide clear opinions.

Main questions raised during the review meeting:

Regarding the authenticity of sales revenue. Please the issuer, based on product types, customer scale, sales models, sales revenue composition, downstream application fields, customer categories and proportions, customer structure of comparable companies, and revenue proportions, explain the reasonableness of the dispersed and small-scale aluminum pigment customers, the existence of gross profit margin differences and fluctuations, and whether this conforms to industry practices. Please have the sponsor institution and the reporting accountant verify and provide clear opinions.

Zuxing New Materials plans to issue 23 million shares at a price of 6.98 yuan per share. The sponsor institution for Zuxing New Materials is Western Securities Co., Ltd., with signing sponsors He Si and Li Yanjun.

The total amount of funds raised in this issuance is 160.54 million yuan, with a net amount after deducting issuance costs of 136.3872 million yuan, which is 71.7189 million yuan less than originally planned. According to the prospectus disclosed on March 5, 2026, the company intends to raise 208.1061 million yuan for projects including an annual production of 5,000 tons of high-purity microfine spherical aluminum powder, an annual production of 1,000 tons of high-performance aluminum pigments for powder coatings, and a technical transformation of high-performance aluminum silver paste.

The total issuance expenses amount to 24.1528 million yuan, including sponsorship fees (including guidance fees) of 3.1132 million yuan and underwriting fees of 11.9811 million yuan.

From 2022 to the first half of 2025, Zuxing New Materials’ operating income was 629.4076 million yuan, 689.6461 million yuan, 707.0888 million yuan, and 362.5724 million yuan, respectively; net profit attributable to the parent company was 51.7789 million yuan, 86.7394 million yuan, 58.7177 million yuan, and 35.8975 million yuan; net profit after deducting non-recurring gains and losses attributable to the parent was 42.9804 million yuan, 64.8195 million yuan, 55.8634 million yuan, and 30.2971 million yuan.

During the same period, the cash received from sales of goods and services was 603.9967 million yuan, 599.7876 million yuan, 656.7244 million yuan, and 331.1922 million yuan; net cash flow from operating activities was -9.7821 million yuan, -52.4719 million yuan, -0.8551 million yuan, and 9.1481 million yuan.

In 2025, the company’s operating income was 796.2766 million yuan, net profit attributable to the parent company was 81.8291 million yuan, and net profit after deducting non-recurring gains and losses was 74.0161 million yuan. The net cash flow from operating activities was 23.538 million yuan.

(Responsible Editor: Guan Jing)