Envicool (002837) In-depth Analysis of Energy Storage Thermal Management Business

According to the latest disclosed data, Envicool’s energy storage thermal management business has shown strong growth momentum [1][2]:

Time Period	Revenue Scale	YoY Growth Rate	Business Characteristics
Full Year 2024	~90 million yuan	over 80%	Rapid volume growth of liquid cooling thermal management
Q1 2025	~30 million yuan	doubled YoY	Growth momentum continues to strengthen
Jan-Sept 2025	Cabinet thermal management products contribute significantly	Expected 25%-35%	Strong demand for energy storage construction

• The global electrochemical energy storage installation has entered a high-growth period. As a core component ensuring battery safety, lifespan, and performance, the value of thermal management systems accounts for approximately 3%-5% of the cost of energy storage systems [3]
• Energy storage projects have increasingly higher requirements for safety, cycle life, and full-cycle costs, making thermal management systems more important

Chart Description: Envicool’s stock price soared from a low of 23.6 yuan in June 2025 to a high of 116.5 yuan in December, an increase of over 359%, with a market capitalization exceeding 100 billion yuan, reflecting the market’s high recognition of the prospects of its liquid cooling technology [0].

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Envicool has established multi-level technical barriers in the field of energy storage thermal management [2][4]:

Technical Field	Technical Level	Competitive Barriers
Microchannel Liquid Cooling Technology	Fin spacing 0.08mm, channel precision ±5μm, heat dissipation density 500W/cm²	Leading in China, advanced internationally
Immersion Liquid Cooling System	Self-developed hydraulic balance design, PUE ≤1.08	Few companies have large-scale capability
Full-chain Liquid Cooling Solution	Coolinside covers the entire chain from cold plate → CDU → quick connector	Scarce capability in the industry
Process Technology	Masters core processes such as cold heading, laser welding, vacuum diffusion welding	Double barriers of equipment and know-how

• January 2025
  : Obtained utility model patent authorization for “microchannel cold plate” [4]
• Has multiple liquid cooling-related patents and software copyrights
• Forward-looking layout for supply chain introduction to North American customers

Envicool participated in drafting multiple industry standards [1][2]:

• 10 international/industry standards such as “Energy Efficiency Evaluation and Energy-saving Technical Guidelines for Data Center and Communication Room Infrastructure”
• Won the first prize of the Science and Technology Award of China Communications Standards Association in 2017
• The standard compiled in 2023 won the second prize of the “Science and Technology Award”
• In 2024, the energy storage liquid cooling product won the “Best Energy Storage Thermal Management Technology Solution Award”

Customer Type	Cooperation Depth	Barrier Value
International Chip Giants	Participated in GB300 standard formulation, the only Tier1 liquid cooling supplier in mainland China	Certification cycle of 12-18 months, significant first-mover advantage
Leading Server Manufacturers	Sample verification passed for New H3C and others	Supply chain introduction barrier
Internet Leaders	Stable cooperation with ByteDance, Tencent, Alibaba, etc.	Scale verification and reputation barrier
Telecom Operators	5-year computing power service contract with Zhejiang Branch of China Unicom	Long-term cooperation relationship barrier

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Envicool has formed the positioning of “

”, with [2][4]:

• “End-to-end, full-chain” platform layout capability
• “Factory-to-site” full-scenario solution from server manufacturing factories to data center operation sites
• “From birth to upgrade” full-life-cycle solution

Dimension	Advantages	Potential Challenges
Technology	Full-chain capability, leading in microchannel/immersion technology	Uncertainty in technical route evolution
Customers	NVIDIA/Intel certification, cooperation with leading Internet enterprises	Customer concentration risk
Scale	150,000 liquid cooling plate production line under construction	Capacity expansion speed
Finance	R&D expense ratio of 7%-8%, continuous high investment	High valuation (P/E 212x)

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1. Technical Barriers (High):
   Leading core technologies such as microchannel liquid cooling and immersion liquid cooling, complete patent layout, continuous R&D investment (7%-8% expense ratio)

2. Certification Barriers (High):
   NVIDIA NPN certification cycle of 12-18 months, significant first-mover advantage as the only Tier1 supplier in mainland China

3. Customer Barriers (Medium-High):
   Passed verification by leading enterprises, stable cooperation relationships, but there is customer concentration risk

4. Scale Barriers (Medium):
   150,000 liquid cooling plate production line under construction, capacity expansion in progress

5. Standard Barriers (High):
   Participated in international/industry standard formulation, with the ability to “define standards”

: The current valuation is high (P/E 212x), the technical route is still evolving, market competition is becoming increasingly fierce, and attention needs to be paid to the iteration of liquid cooling technology and the progress of customer expansion.

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[1] Xueqiu - Latest News on Envicool (SZ002837) (https://xueqiu.com/S/SZ002837/news)
[2] NetEase Finance - Stock Price Rises Nearly 3x in Half a Year, Market Cap Exceeds 90 Billion Yuan: Why Is Envicool Advancing Vigorously? (https://www.163.com/dy/article/KH0PUA120514R9P4.html)
[3] The Paper - Stock Price Rises Nearly 3x in Half a Year, Market Cap Exceeds 90 Billion Yuan: Why Is Envicool Advancing Vigorously? (https://m.thepaper.cn/newsDetail_forward_32196846)
[4] Sina Finance - Envicool In-depth: Leader in Thermal Management Systems, AI Computing Server Liquid Cooling Builds New Growth Pole (https://finance.sina.com.cn/roll/2025-12-17/doc-inhcaqyr7358836.shtml)
[5] DoNews - Liquid Cooling “Bull Stock”: Why Did Envicool Become a “Legend” All the Way? (https://www.donews.com/article/detail/7331/93739.html)