Warburg’s new debut will be successful and the parent company of “Electric small two” is also a lot of trouble


Yang Cheng Evening News reporter Ding Ling intern Wei Wei when the industry competition white-hot, began to crazy inside roll how to do?The answer given by Shenzhen Huabao New Energy Co., Ltd. is to step on the tuyere and switch the track.As the parent company of “Dianxiaoer”, a charger manufacturer, Warburg Xinneng has been engaged in a price war and sustained losses among the “three electrics and one beast” (street electrics, small electrics, electric calls and monster charging), aiming at niche consumer markets such as outdoor activities and turning its main business into lithium battery energy storage products.On March 29, Warburg’s debut passed without a hitch.The real controller stepped on it twice and after the track switch, the Warburg Shineng was fine.Financial data show that in 2020, The revenue of Warburg New Energy rose from 319 million yuan to 1.07 billion yuan;In the first half of last year, revenue reached 968 million yuan.Warburg, meanwhile, plans to play in the capital markets.After terminating its listing on the New Third Board in February 2019, Warburg New Energy updated its prospectus again on February 8 this year to plan an IPO on the GROWTH Enterprise Market.On March 29, Warburg’s debut passed without a hitch.No matter in the previous OEM and research and marketing of its own charge bank, or in today’s outdoor power products, Warburg Xinneng’s two “stepping on the hot air” are inseparable from sun Zhongwei, the actual controller.Sun Zhongwei, 21, graduated from Shandong University of Technology in 1999 with a major in polymer materials and made his first stop in Shenzhen. He was unable to find a suitable job at that time, so he made a living selling soy sauce.Sun entered the lithium industry in 2002 after he came into contact with an IC component in a lithium protective circuit board.According to the relevant research report of Ping An Securities, from 2001 to 2010, domestic consumer lithium battery manufacturers rose rapidly, and China’s lithium battery market share expanded from 11% in 2002 to 33% in 2011.Sun Zhongwei entered the market at this time, just stepping on the wind, and then completed the preliminary technological accumulation of lithium electric and energy storage market.Sun zhongwei and Warburg Xinneng are also in the middle of the transition from power bank to outdoor power supply.2017 is the first year that capital poured into the market of shared charging bank. Monster Charging, small electricity, call technology and other brands were favored by capital and began to make profits in some cities, which also announced that the battle of charging bank industry began to “bayonet red”.This also means that the bonus period of the battery market has peaked.As early as 2016, Warburg Xineng began to switch track to niche consumer markets such as outdoor activities through acquisition and other means, and launched outdoor power products.Outdoor power supply is a small energy storage device with built-in lithium ion battery, equipped with Type-C, USB, PD and other interfaces, which not only stores far more electricity than the charging treasure, but also integrates the function of inverter, which can supply power for high-power electrical appliances.In other words, the outdoor power supply can not only charge mobile phones like a power bank, but also plug in rice cookers, kettles, lighting lamps and other electrical appliances to meet the needs of outdoor camping, emergency preparedness and other scenarios.According to the research of China Chemical and Physical Power Supply Industry Association, the growth rate of outdoor mobile power supply market is still going high after breaking 100% in 2017, and is as high as 217.9% in 2020.In contrast, the total number of users of shared charging banks increased from 2017 to 2020, but the growth rate slowed down significantly, from 104.9 percent in 2018 to 15.6 percent in 2020.Overall, the portable energy storage market has only started to take off in 2018.Warburg xinneng launched its outdoor power supply line in 2016, just on the eve of the rapid growth of the outdoor power market.Performance data show that until 2018, the charging bank business was still the major part of The operating income of Warburg New Energy, accounting for 64.23% in the current period.Also since 2018, Warburg Xineng has been selling portable energy storage products on domestic and foreign e-commerce platforms.In the following two years, with the adjustment of production line and the use of related equipment for the production of portable energy storage products, the revenue share of Chargemobile declined sharply, accounting for only 0.99% in 2020, and directly decreased to zero in the first half of 2021.Correspondingly, the main business revenue of portable energy storage products increased from 33.21% in 2018 to 81.27% in the first half of 2021.In the first half of last year, outdoor power contributed 776 million yuan to Warburg’s 968 million yuan revenue.High sales expense ratio in the performance of rapid growth at the same time, Warburg new can also worry a lot.In recent years, more and more consumers will be pastoral picnics, outdoor camping as the preferred pastime.Accordingly, both mature outdoor markets in Europe and the United States and the domestic market started late, outdoor power and other related ancillary products are growing rapidly.But warburg’s performance was largely driven by foreign markets, particularly the US and Japan.Warburg xinneng’s two major brands, Electric Xiaoer and Jackery, respectively focus on domestic and foreign markets.From 2018 to the first half of 2021, Warburg Xineng relied heavily on overseas markets — overseas sales accounted for 91.53%, 87.27%, 90.09% and 93.29%, respectively.The overseas markets of Warburg New Energy are mainly in the United States, Japan, Canada, Europe, Australia and other countries and regions, among which the United States and Japan are the two core markets, accounting for 88.35% of the total revenue of main business in 2020.’Europe and the U.S. have higher outdoor penetration and increased demand for emergency electricity,’ warburg said.Affected by earthquakes and typhoons, Japan has a large market demand for portable energy storage products, which is its key overseas region to explore.In terms of sales channels, Warburg Xineng mainly sells its products online through amazon, Rakuten Japan, Yahoo Japan, Tmall, JINGdong and other well-known third-party e-commerce platforms at home and abroad.In 2020, online channels accounted for 83.53% of main business income, of which amazon and Rakuten contributed 65.78%.The core market is overseas and relies on third-party online platforms, which makes Warburg Xinneng face uncertainties in terms of sales market and channel stability.At the same time, the platform service fees (commissions, royalties, etc.) charged by third-party e-commerce platforms, as well as the increasing marketing fees including buying traffic promotion, make the company’s sales expense ratio remain high.In the first half of 2021, The sales expense of Warburg New Energy is the same as that of the whole year of 2020, which is 227 million yuan. However, the sales expense ratio increases from 21.20% to 23.50%, higher than the average sales expense ratio of comparable companies of around 17%.At the same time, from 2019 to the first half of 2021, Warburg’s R&D expense ratio is less than 3%, lower than the average of comparable companies;It was 2.37% in the first half of 2021, compared with an average of 5.55% for comparable companies and more than double Warburg Xineng.

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