Core Viewpoint - Shubao International (02569) has gained significant attention in the Hong Kong capital market, with its stock price rising 110% from the IPO price of HKD 0.51 to HKD 1.07, resulting in a market capitalization of approximately HKD 1.07 billion [2] Group 1: Stock Performance - The stock experienced a "four rises and four falls" pattern since its listing, indicating volatility in its trading performance [3] - In the first phase from March 27 to April 24, the stock achieved a 48.98% increase over 18 trading days, with a peak rise of over 56% on the first trading day [4][5] - The second phase from April 28 to May 15 saw a 25.71% increase over 12 trading days, with signs of increased control by mainstream funds as the average daily trading volume decreased [7] - The third phase from May 16 to May 28 showed no net change in stock price despite fluctuations, indicating a strategy to attract new investments while maintaining control [9] - The fourth phase from May 29 to June 9 resulted in a 28.41% increase, with a further decrease in trading volume and turnover rate, suggesting deeper control by mainstream funds [11] Group 2: Company Overview - Shubao International, established in 2010 and headquartered in Fujian, specializes in the research, production, and sales of disposable hygiene products, focusing on baby care, women's care, and adult incontinence [14] - The company is the second-largest exporter of disposable baby care products to Russia, holding a market share of approximately 3.7% in 2023 [14] - In 2024, Shubao International reported revenue of approximately CNY 753 million, a year-on-year increase of 15.01%, although growth has slowed compared to previous years [14] - The baby care segment remains the primary revenue driver, contributing CNY 468 million in 2023, with over CNY 300 million from the Russian market [14] Group 3: Market Potential - The women's care segment is showing growth potential, with the company targeting lower-tier markets through platforms like Pinduoduo and Douyin, achieving a 37% repurchase rate for its menstrual pants [15] - The global women's hygiene products market is projected to reach approximately USD 89.29 billion by 2033, with a compound annual growth rate of about 7.8% from 2024 to 2033 [15] - The adult incontinence market presents significant opportunities, with over 42 million individuals aged 60 and above in China affected, yet the market penetration remains below 5% [16] - Shubao International's strategic focus on emerging consumer segments aligns with current market preferences for high-growth stocks in the Hong Kong market [16]

Group 1 - The core viewpoint of the articles highlights the strong market performance of Shubao International, with its stock price increasing significantly since its listing, reflecting growing investor confidence in consumer companies [1][2] - Shubao International, as part of the Jinjiang enterprise group, benefits from the "going global + maternal and infant" concept, aligning with the current preference for high-growth emerging consumer stocks in the Hong Kong market [2][3] - The company has experienced a notable shift in its business structure, with revenue growth slowing down, particularly in its ODM (Original Design Manufacturer) segment, which saw only a 1.1% increase in 2024 [3][4] Group 2 - In 2024, Shubao International reported a revenue of approximately 753 million yuan, a year-on-year increase of 15.01%, but this growth rate is significantly lower than the previous years [3][4] - The company's revenue from its ODM business accounted for 60.1% of total revenue, while the brand product business saw a substantial increase of 44.6%, driven mainly by a doubling of sales in female hygiene products [3][4] - The decline in revenue from the Russian market, which dropped by 31.9% year-on-year in early 2024, has contributed to the overall slowdown in revenue growth [6][8] Group 3 - The shift in focus from the "infant" market to the "female" market is a response to the saturation of the infant care market, which has been negatively impacted by declining birth rates in China and Russia [8][9] - The global female hygiene products market is projected to reach approximately $89.29 billion by 2033, with a compound annual growth rate of about 7.8% from 2024 to 2033, indicating a significant growth opportunity for Shubao International [9][10] - Despite the potential in the female hygiene market, Shubao International faces challenges due to low barriers to entry and intense competition from both domestic and international brands [10]

Financial Performance - For the fiscal year 2024, the company's revenue increased by approximately RMB 98.2 million or 15.0% to about RMB 752.8 million, compared to approximately RMB 654.6 million in fiscal year 2023[13]. - The profit attributable to the company's owners decreased by approximately RMB 2.9 million or 5.3% to about RMB 54.8 million in fiscal year 2024, down from approximately RMB 57.7 million in fiscal year 2023, primarily due to increased listing expenses of about RMB 7.7 million[13]. - Revenue from the company's brand products business grew significantly by approximately RMB 68.8 million or 44.6%, reaching about RMB 222.8 million in FY2024, up from RMB 154.0 million in FY2023[22]. - The gross profit margin improved to 30.9% in FY2024 from 30.1% in FY2023, while the net profit margin decreased to 7.3% from 8.8%[27]. - The group's revenue increased from approximately RMB 654.6 million in FY2023 to approximately RMB 752.8 million in FY2024, representing a growth of about 15.0%[28]. - Gross profit increased from approximately RMB 197.3 million in FY2023 to approximately RMB 232.9 million in FY2024, a growth of about 18.0%, with the gross margin improving from approximately 30.1% to approximately 30.9%[31]. - Sales costs rose from approximately RMB 457.3 million in FY2023 to approximately RMB 519.9 million in FY2024, an increase of about 13.7%[28]. Business Segments - The two business segments, contract manufacturing and branded products, accounted for approximately 60.1% and 29.6% of total revenue, respectively, in fiscal year 2024[18]. - In the ODM business, the company ranked second in the export of disposable baby care products to Russia in 2023, with revenue remaining stable at approximately RMB 452.8 million for FY2024 compared to RMB 448.4 million for FY2023[19]. - Contract manufacturing revenue remained stable at approximately RMB 448.4 million in FY2023 and approximately RMB 452.8 million in FY2024, despite a decline in sales to Russia[29]. - Brand product revenue surged from approximately RMB 154.0 million in FY2023 to approximately RMB 222.8 million in FY2024, marking an increase of about 44.6%[29]. Market Strategy and Growth - The company aims to strengthen its market position in the baby care product category while expanding its market share in female hygiene and adult incontinence products[15]. - The company is focusing on direct-to-consumer (D2C) models to enhance consumer engagement and experience with its brand products[12]. - The global market for disposable hygiene products continues to show strong growth, driven by increasing consumer awareness of hygiene and ecological sustainability[15]. - The company is positioned to leverage the growing market potential for disposable hygiene products driven by increasing disposable income and consumer preferences for quality products[23]. - The company is optimistic about future opportunities and aims to expand market coverage while enhancing its product offerings[23]. Operational Efficiency - The company is committed to optimizing operational efficiency through vertical integration, covering all aspects from product development to logistics management[12]. - The company maintains a strong supply chain and vertically integrated business model, providing flexibility to respond to market changes[23]. - The company plans to add three new production lines for baby care products and one for women's hygiene products as part of its capital expenditure strategy through FY2025[23]. Financial Stability - The interest coverage ratio significantly increased to 501.6 times in FY2024 from 120.0 times in FY2023, indicating improved financial stability[27]. - The current ratio improved to 1.3 times in FY2024 from 1.1 times in FY2023, reflecting better liquidity management[27]. - Trade and other receivables increased from approximately RMB 94.7 million as of December 31, 2023, to approximately RMB 198.3 million as of December 31, 2024, a rise of about 142.3%[40]. - Trade and other payables increased by approximately RMB 65.4 million or 52.0% from RMB 125.7 million as of December 31, 2023, to RMB 191.1 million as of December 31, 2024[44]. - Total interest-bearing borrowings rose to approximately RMB 33.0 million as of December 31, 2024, compared to RMB 13.0 million as of December 31, 2023, indicating a significant increase of approximately 153.8%[45]. - The capital-to-debt ratio improved to approximately 9.6% as of December 31, 2024, down from 15.7% as of December 31, 2023, mainly due to the waiver of amounts payable to the controlling shareholder[45]. Management and Governance - 顏培坤先生 appointed as Executive Director and Chairman on May 8, 2024, with over 29 years of experience in manufacturing and trade[61]. - The company has a strong management team with diverse backgrounds in various industries, enhancing strategic development and operational efficiency[61][64][67][68][72][73]. - The company is committed to maintaining high standards of corporate governance and compliance through its board structure and independent directors[73]. - The company has adopted the corporate governance code as per the listing rules since its listing date[89]. - The company has confirmed compliance with the standard code of conduct for directors' securities transactions since its listing date[91]. - The board consists of eight members, including four executive directors, one non-executive director, and three independent non-executive directors, with a diverse range of expertise[121]. Shareholder and Community Engagement - The company has not proposed any final dividends for the fiscal years 2024 and 2023, reflecting a focus on reinvestment[54]. - The company encourages shareholders to attend general meetings and express their opinions directly to the board[140]. - The company made charitable donations amounting to RMB 50,000 during the fiscal year 2024[168]. - The company aims to maintain high levels of disclosure and financial transparency to its shareholders and investors[143]. - The company has reviewed its shareholder communication policy and found it effective since the date of listing[144]. Compliance and Risk Management - The company has established a monitoring system to prevent and combat corruption, misappropriation of funds, and commercial bribery[137]. - The board has confirmed the effectiveness and adequacy of the risk management and internal control systems as of the report date[136]. - The company has complied with relevant laws and regulations without any significant violations during the fiscal year 2024[154].

Core Viewpoint - Shubao International has successfully listed on the Hong Kong Stock Exchange, focusing on the essential consumer goods sector of disposable hygiene products, which are increasingly popular due to their convenience and hygiene [1] Group 1: Company Overview - Established in 2010, Shubao International specializes in the development, production, and sales of personal disposable hygiene products, with three core brands: infant care, women's care, and adult incontinence products [2] - The company offers a diverse product matrix, with over 140 SKUs in infant care, around 20 SKUs in women's care, and over 15 SKUs in adult incontinence products as of September 30, 2024 [2] Group 2: Financial Performance - For the first nine months of 2024, revenue from infant care products reached RMB 286 million, accounting for 55.0% of total revenue; women's care products generated approximately RMB 158 million, representing 30.4%; and adult incontinence products brought in about RMB 14.3 million, making up 2.7% [2] - The revenue composition has improved compared to the fiscal year 2023, where the respective contributions were 71.5%, 17.4%, and 2.1%, indicating a diversification in the company's business structure [2] Group 3: Growth Strategy - Shubao International is expanding its Direct-to-Consumer (D2C) model, leveraging major digital platforms such as Pinduoduo, Tmall, and JD.com, as well as social media platforms like Douyin and Kuaishou [3] - The company operates over 30 self-operated D2C stores, offering a wide range of products under its brands [3] Group 4: International Expansion - The company has established a strong presence in international markets, particularly in Russia, where it is the second-largest Chinese supplier of disposable infant care products [3][4] - Revenue from Russia, China, and Southeast Asia for the first nine months of 2024 was RMB 206 million, RMB 243 million, and RMB 36.7 million, respectively, accounting for 39.6%, 46.6%, and 7.1% of total revenue [4] Group 5: Long-term Outlook - The disposable hygiene products industry is expected to maintain stable demand due to its essential nature, with Shubao International demonstrating high growth potential, evidenced by a 57.7% compound annual growth rate in revenue and a 142.6% compound annual growth rate in net profit from fiscal year 2021 to fiscal year 2023 [4]

Financial Reporting Timeline - The preliminary financial results for the year ending December 31, 2024, will be published in the prospectus appendix on March 19, 2025[2] - The annual report for the year ending December 31, 2024, will be sent to shareholders by April 30, 2025, or earlier[3]

Core Viewpoint - The mother and baby products industry is under scrutiny following the "3·15" event, with Shubao International entering the Hong Kong stock market, highlighting the company's growth and future plans in the sector [1][2]. Company Overview - Shubao International officially listed on the Hong Kong Stock Exchange on March 27, with a share price of HKD 0.67 and a market capitalization of HKD 670 million. The company raised a net amount of HKD 86 million during its IPO [1]. - The company is known for its diaper brand "Ying Shubao" and has a family-oriented management structure, with several family members in key positions [1][3]. Market Performance - The IPO was highly successful, with a subscription rate of 167.09 times for the public offering, resulting in the allocation of 125 million shares [3]. - On its first trading day, Shubao International's stock price increased by 31.37%, closing at HKD 0.67 after reaching a high of HKD 0.82 [1]. Business Strategy - The company plans to expand its product categories and enhance brand recognition, focusing on both baby care and women's hygiene products, which have seen significant growth in revenue share [4]. - Women's hygiene products accounted for 0.4% and 0.5% of total revenue in 2021 and 2022, respectively, but surged to 17.4% in 2023 and 30.4% in the first nine months of 2024 [4]. Financial Allocation - Shubao International intends to allocate approximately HKD 28 million for new production lines, HKD 25 million for non-woven fabric production lines, and HKD 16.4 million for brand marketing [6]. Market Dynamics - The company is the second-largest exporter of disposable baby care products to Russia, holding a 3.7% market share in 2023 [6]. - Revenue from the Russian market increased from 40% in 2021 to 57% in 2023, although there has been a decline in sales in 2024 due to market uncertainties [7]. Future Outlook - The company is shifting focus towards the Chinese D2C market, particularly in women's hygiene products, in response to changing consumer preferences in Russia [7]. - Shubao International aims to expand its reach into Southeast Asia, targeting markets that are large and under-penetrated [7].

Group 1 - Country Garden Services plans to repurchase at least RMB 500 million worth of shares, indicating confidence in its value and potential to boost stock prices [1] - Three Squirrels intends to issue H-shares and list on the Hong Kong Stock Exchange to enhance global brand recognition and supply chain capabilities [2] - China Life aims to promote multi-channel value contribution in 2025, shifting from reliance on individual insurance channels to include bank insurance, group insurance, and internet channels [3] Group 2 - Shubao International's stock surged 31.37% on its first day of trading on the Hong Kong Stock Exchange, reflecting strong investor confidence [4] - FWD Group has applied for a USD 5 billion medium-term note program on the Hong Kong Stock Exchange, indicating its financing needs and market confidence [5]

Core Viewpoint - Shubao International Group Limited (舒宝国际) debuted on the Hong Kong Stock Exchange, opening at HKD 0.49, below the issue price, but closed at HKD 0.67, marking a 31.37% increase from the opening price [1] Group 1: IPO Details - The total number of shares offered by Shubao International was 250,000,000, with 125,000,000 shares allocated for public offering in Hong Kong and 125,000,000 shares for international offering [2] - The final offer price was set at HKD 0.51, resulting in total proceeds of HKD 127.5 million, with net proceeds amounting to HKD 86.0 million after deducting estimated listing expenses of HKD 41.5 million [4][5] Group 2: Use of Proceeds - The net proceeds from the global offering will be allocated as follows: approximately 29.2% for purchasing machinery to establish new production lines for baby care and women's hygiene products; approximately 26.0% for machinery to set up two new non-woven fabric production lines; approximately 17.1% for enhancing brand, marketing, and promotional activities; approximately 17.7% for warehouse upgrades and IT infrastructure investment; and approximately 10.0% for general working capital [5] Group 3: Company Overview - Shubao International is engaged in the development, production, and sale of personal disposable hygiene products, focusing on baby care, women's hygiene, and adult incontinence products, primarily targeting emerging markets in Eurasia [5]

Summary of Key Points Core Viewpoint - The Hong Kong IPO market saw four companies submit listing applications this week, with no companies passing the hearing, and four companies in the process of offering shares, including one that has officially listed. Group 1: Companies Submitting Listing Applications - On March 18, Zhuozheng Medical Holdings Limited submitted a listing application to the Hong Kong Stock Exchange, marking its second attempt after a previous application in May 2024. The company operates 20 medical service institutions in China and is the third-largest private mid-to-high-end comprehensive medical service provider in the country, with a market share of 1.7% based on 2023 revenue [2]. - On March 21, Aolian Service Group Co., Ltd. submitted a listing application, focusing on business and community service in Guangdong Province, China. The company ranked 16th and 11th among independent property management service providers in China based on total revenue and net profit, respectively [3]. - On March 21, Jiangbolong (301308.SZ), a leading independent semiconductor memory manufacturer, submitted a listing application. The company reported a revenue of 17.464 billion RMB in the previous year, a 72.48% increase, and a net profit of 499 million RMB, up 160.24% [4]. - On March 21, Beijing Yunji Technology Co., Ltd. submitted a listing application, aiming to become the first stock in the robot service sector. The company is the largest in the global market for hotel scene robot service agents based on 2023 revenue [4][5]. Group 2: Companies in the Offering Process - Weisheng Pharmaceutical-B (02561.HK) was open for subscription from March 13 to March 18, 2025, with a subscription rate of 72.64 times. The stock officially listed on March 21, 2025, and closed at the issue price after an initial drop of over 6% [6]. - Nanshan Aluminum International (02610.HK) is in the process of offering 88.2353 million shares, with a price range of 26.60 to 31.50 HKD per share, expected to start trading on March 25, 2025 [6]. - Shubao International (02569.HK) is offering 250 million shares, with a price range of 0.5 to 0.6 HKD per share, expected to start trading on March 27, 2025 [7]. - Jiangsu Hongxin (02625.HK) is offering 53.562 million shares, with a price range of 2.5 to 3 HKD per share, expected to start trading on March 31, 2025 [7].