The company, already well-known in the A-share market, has seen its stock price surge nearly 680% since 2025, with a total market capitalization reaching approximately 58.729 billion yuan as of the close on June 24, 2026.
Jiangsu Boqian New Materials Stock Co.,Ltd. (Boqian New Materials), a global supplier of electronic-grade metal powders, has officially submitted an application for a Hong Kong listing, with Haitong International as the sole sponsor.
From the Shanghai market to Hong Kong, the company is transitioning from an "A-share narrative" to an "international story." However, a company's valuation is never determined by its listing location but by the quality of its underlying performance.
Core capacitors in smartphones, AI servers, new energy vehicles, and conductive pastes in photovoltaic panels all rely on the ultra-fine metal powders it produces—making it an "invisible consumables supplier" for electronic components. But what investment value lies beneath this "hidden champion" label?
2025 Net Profit Surges 150% Versus Mounting Cash Flow Pressure
The company specializes in the R&D, production, and sales of high-end metal powder materials. Leveraging its self-developed PVD (Physical Vapor Deposition) technology platform, it provides core metal powders to manufacturers of multilayer ceramic capacitors (MLCCs), low-silver and silver-free photovoltaic electrode materials, solid-state battery anode materials, and other electronic components.
Its product portfolio primarily includes nickel-based products, copper-based products, silver powder, and alloy powders, widely used in consumer electronics, automotive electronics, industrial automation, artificial intelligence (AI), photovoltaic new energy, and semiconductor packaging.
According to a Frost & Sullivan report, based on 2025 revenue, the company held an approximately 11.0% market share among global MLCC nickel powder suppliers, ranking second globally. It has established strong technical and industrial capabilities in the high-end electronic metal powder field, breaking the long-standing monopoly of overseas companies in high-end MLCC nickel powder.
Reviewing its performance over the past three years reveals a "textbook" turnaround story. In 2023, revenue was only 689 million yuan, with an annual loss of 32.31 million yuan, as the company was mired at the cycle's bottom amid a consumer electronics downturn and MLCC destocking.
A turning point arrived in 2024, with revenue jumping to 945 million yuan and net profit reaching 87.48 million yuan. In 2025, revenue further climbed to 1.152 billion yuan, a year-on-year increase of 21.84%, while net profit attributable to shareholders soared 150.57% to 219 million yuan.
More remarkable changes occurred on the profitability front. Gross margin surged from 10.4% in 2023 to 19.5% in 2024 and further to 31.9% in 2025. Annual profit margin leaped from -4.7% to 9.3%, then to 19%. EBITDA grew from 47.89 million yuan to 183 million yuan, then to 338 million yuan, representing a three-year compound annual growth rate of 165.8%.
Examining its business structure shows a highly concentrated "single-core driven" characteristic. In 2025, revenue from nickel-based products was 862 million yuan, accounting for 74.82% of total revenue, while copper-based product revenue was 121 million yuan, representing 10.55%. Together, these two segments contributed 95.37% of total operating income.
Overseas markets are also highly concentrated, with export revenue rising to 56.95% of the total, and the South Korean market alone contributing a significant 51.2% of total revenue.
However, it is important to note that while revenue and profits advanced rapidly, the company's cash flow has been consistently decreasing. According to the prospectus, as of the end of 2025, net cash generated from operating activities was 135 million yuan, a decrease of approximately 54% year-on-year.
Total cash and cash equivalents at year-end were 3.7 million yuan, also a significant reduction from 9 million yuan at the end of 2024. Concurrently, the company's current ratio plummeted from 3.4 in 2024 to 1.6 in 2025, and the quick ratio dropped from 1.9 to 1.0.
Bank borrowings increased by 180 million yuan, and trade payables rose by 110 million yuan, indicating rapidly accumulating short-term debt repayment pressure.
In summary, the company executed a "textbook" reversal from a cyclical trough to a robust recovery within three years: 2025 revenue exceeded 1.15 billion yuan, net profit skyrocketed 150%, and gross margin leaped to 32%.
Simultaneously, as the world's second-largest MLCC nickel powder supplier with an 11% market share, it has not only broken foreign monopolies but also secured a core position amid the recovery in consumer electronics and the iteration of new energy materials.
Nevertheless, beneath the high growth, the year-on-year contraction in operating cash flow and the sharp decline in liquidity ratios highlight the need for better balance between scale expansion and financial resilience.
Convergence of Two High-Growth Sectors: AI Increment and Photovoltaic Silver Replacement
AI computing power and silver replacement in photovoltaics represent an "incremental logic" and a "substitution logic," respectively—and the company stands precisely at the intersection of these two high-growth trajectories.
Specifically, the global electronic metal powder market is in a phase of rapid development. According to a Frost & Sullivan report, the market size grew from 139.2 billion yuan in 2021 to 285.3 billion yuan in 2025, representing a compound annual growth rate (CAGR) of 19.6%. It is projected to reach 1.3329 trillion yuan by 2035, with a robust CAGR of 16.7% from 2025 to 2035.
The MLCC nickel powder market is particularly prominent. Its market size reached 7.8 billion yuan in 2025 and is expected to grow at a CAGR of 12.5% from 2025 to 2035. Growth drivers primarily stem from increased demand for high-performance MLCCs driven by AI servers and data centers, new energy vehicles, and consumer electronics upgrades, which further elevate performance requirements for internal electrode nickel powder.
To adapt to miniaturized, high-capacity, and high-reliability MLCCs, nickel powder requires higher purity, finer particle size, narrower size distribution, higher sphericity, and more stable sintering performance, thereby fueling continuous growth in demand for high-end MLCC nickel powder.
Concurrently, the "silver replacement" wave in the photovoltaic industry is opening new growth avenues. Driven by significant silver price increases and cost-reduction pressures, the battery conductive materials sector is accelerating the substitution process with base metals.
Copper powder and silver-coated copper powder can be widely used in low-silver and silver-free photovoltaic applications, significantly reducing production costs for photovoltaic cells. The industry is gradually moving from a "silver reduction" phase towards a "silver replacement" phase.
Within this landscape, the company possesses two major advantages that may help it capture the sector's growth dividends. First, it has deep technological barriers. Its PVD (Physical Vapor Deposition) technology platform serves as a core moat.
Metal powders produced via this technology offer advantages such as high purity, good sphericity, and narrow particle size distribution. The process is environmentally friendly, generating no harmful exhaust gases and boasting high raw material utilization. The platform is highly scalable, having been successfully applied to produce various powder materials including nickel, copper, silver-coated copper, and alloys.
Second, the logic for import substitution is clear. Among global MLCC nickel powder suppliers, the company holds approximately an 11.0% market share based on 2025 revenue, ranking second globally and being the largest domestic MLCC nickel powder supplier in China.
This achievement signifies its successful breakthrough of the long-standing monopoly by overseas companies in the high-end MLCC nickel powder field and positions it as one of the few domestic enterprises capable of competing directly with international giants. As the demand for supply chain autonomy and control within China's MLCC industry chain strengthens, the company's strategic value becomes more prominent.
However, while positioned at the intersection of two high-growth sectors, the company's "other side" also warrants attention. From 2023 to 2025, revenue from its top five customers consistently accounted for around 76% of total revenue, with the single largest customer contributing 45.0% in 2025.
A significant reduction in purchases by or a shift to other suppliers by major customers would have a material adverse impact. Beyond the high customer concentration risk, the company also faces risks related to single-product structure and regional concentration.
Prospectus data shows that in 2025, nickel-based products accounted for 74.8% of revenue, indicating high dependence on the MLCC industry's cyclicality. Overseas markets are similarly highly concentrated, with the South Korean market contributing 51.2% of revenue during the same period, making performance directly vulnerable to changes in geopolitical trade policies.
Thus, while the narrative of being the world's second-largest by market share, possessing a PVD technological moat, and riding the dual tailwinds of AI and photovoltaics makes for a compelling "investment story," the "dual high" dependencies of extreme customer concentration and over-reliance on the South Korean market serve as crucial tests of the depth of its competitive moat.
Key Considerations for Investors
In summary, the company emerges as a growth enterprise with "favorable sector exposure, solid barriers, but concentrated risks." Its move from a nearly 7-fold surge on the A-share market in over a year to pursuing a dual A+H listing represents a significant step in its internationalization.
However, the core variable determining investment value is not the listing venue but whether the company can translate its technological leadership into sustainable profitability and diversify its concentrated dependencies into a more balanced portfolio.
A Hong Kong listing can help broaden financing channels and enhance international visibility, but investors should remain vigilant about earnings volatility risks amid potentially high valuations. When the tide of AI computing power recedes and the nickel price cycle reaches an inflection point, what truly endures through cycles is not the story riding the trend, but the deep-seated moat built upon technological barriers.
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