Core Viewpoint - Cao Cao Mobility, the second-largest ride-hailing platform in China, has officially listed on the Hong Kong Stock Exchange, becoming the largest mobility platform in the market [1] Group 1: Listing Details - Cao Cao Mobility's stock began trading on June 25, with a closing price of HKD 35.3 [1] - The company issued 44.1786 million H-shares, with 30% allocated for public offering in Hong Kong and 70% for international investors, raising approximately HKD 1.718 billion [2] - The public offering was oversubscribed by 21.14 times, while the international offering was oversubscribed by 2.78 times [2] - Six cornerstone investors, including Mercedes-Benz and other firms, committed to purchasing shares worth approximately HKD 952 million, accounting for over half of the total fundraising [2] Group 2: Market Context - The ride-hailing market is experiencing intense competition, with Didi holding a 70% market share, while Cao Cao Mobility ranks second with a 5.4% share [5] - In 2023, Cao Cao Mobility reported a revenue of nearly HKD 14.7 billion, a 37% year-on-year increase, with a gross margin of 8.1%, the highest in three years [5] - The company has expanded its operations to 146 cities, planning to enter 85 new cities in 2024, focusing on second-tier and lower-tier cities [6] Group 3: Future Prospects - The development of Robotaxi services is a key competitive focus for ride-hailing platforms, with Cao Cao Mobility planning to launch its autonomous driving platform in February 2025 [7] - The company aims to introduce a custom L4-level Robotaxi model by the end of 2026, indicating a strategic shift towards technology-driven solutions [7] - Industry experts suggest that scaling user base and operational capacity will be crucial for competitive advantage in the ride-hailing market [6]

Core Viewpoint - Cao Cao Mobility officially listed on the Hong Kong Stock Exchange but experienced a significant drop in stock price on the first day of trading, closing at HKD 36.00, which is below the IPO price of HKD 41.94 [2][3] Group 1: IPO Details - The company planned to issue 44.18 million shares globally, with 4.42 million shares for Hong Kong and 39.76 million shares for international investors, aiming to raise HKD 18.53 billion [3] - Despite the initial drop, six cornerstone investors, including Mercedes-Benz and others, committed to purchasing 22.64 million shares, accounting for 51.4% of the total fundraising [3] - The estimated valuation of Cao Cao Mobility at the IPO was approximately HKD 228.23 billion, but the market capitalization at closing was HKD 195.90 billion, about 85.8% of the pre-IPO valuation [3][4] Group 2: Financial Performance - The company has reported losses every year since its establishment, with operating losses of HKD 1.9 billion, HKD 1.6 billion, and HKD 800 million for the years 2022 to 2024, respectively [4] - Net losses for the same period were HKD 2 billion, HKD 2 billion, and HKD 1.2 billion, with expectations of continued net losses in 2025 [4] Group 3: Market Context and Future Outlook - The drop in stock price is part of a broader trend in the Hong Kong market, where over 30% of new listings have experienced price declines [4] - The company is focusing on the Robotaxi market, which has significant growth potential, and has launched its autonomous driving platform in early 2025 [6] - Competitors in the Robotaxi space include major players like Didi and Baidu, indicating a highly competitive environment [6][7]

Core Viewpoint - The recent IPO of Cao Cao Mobility reflects the ongoing challenges and competitive dynamics within the ride-hailing industry, as the company faces significant operational losses despite revenue growth and a strategic push from its parent company, Geely [1][4][13]. Group 1: IPO and Market Position - Cao Cao Mobility plans to list on the Hong Kong Stock Exchange with an estimated valuation of approximately HKD 22.8 billion, marking Geely's 10th IPO [1]. - The stock price of Cao Cao Mobility fell nearly 20% on its first trading day, indicating a lack of confidence from investors in the ride-hailing sector [1][2]. - The ride-hailing industry is experiencing a wave of IPOs, but companies like Dida Chuxing and Huqee have also faced significant stock price declines post-IPO, highlighting a broader market skepticism [2][3]. Group 2: Financial Performance - Cao Cao Mobility reported revenue growth from RMB 7.63 billion in 2022 to RMB 14.66 billion in 2024, with a compound annual growth rate of nearly 40% [4][12]. - Despite revenue increases, the company has accumulated losses exceeding RMB 5.2 billion over the past three years, indicating ongoing profitability challenges [4][13]. - The company's gross profit margin improved from 5.8% in 2023 to 8.1% in 2024, but it remains significantly lower than competitors like Didi, which reported a gross margin of 18.15% [13]. Group 3: Competitive Landscape - The ride-hailing market is characterized by intense competition, with Didi holding a dominant market share of 70.4%, while Cao Cao Mobility's share is only 5.4% [7][8]. - The influx of new drivers has led to a surplus in supply, causing a decline in driver earnings and increased pressure on ride-hailing platforms to offer subsidies [3][6]. - Cao Cao Mobility has increasingly relied on aggregation platforms for order fulfillment, with the proportion of orders processed through these platforms rising from 3.5% in 2018 to 30% in 2023 [8][14]. Group 4: Strategic Initiatives - The company is pursuing a heavy asset model by purchasing vehicles and employing dedicated drivers, which allows for greater control but also incurs higher operational costs [9][11]. - Cao Cao Mobility plans to invest in technology and autonomous driving, with a pilot Robotaxi project underway, aiming to enhance its competitive edge in the smart mobility sector [15][16]. - The collaboration with Geely provides Cao Cao Mobility with access to advanced vehicle technology and infrastructure, potentially improving its market position [9][16]. Group 5: Future Outlook - The reliance on aggregation platforms poses risks to brand recognition and user retention, as the company struggles to build a loyal customer base [14]. - The future success of Cao Cao Mobility hinges on its ability to leverage Geely's resources and technology to differentiate itself in the crowded ride-hailing market [17]. - The transition to autonomous driving is seen as a potential growth area, but significant challenges remain in terms of consumer trust and regulatory frameworks [15][17].

Core Viewpoint - Caocao Travel has officially listed on the Hong Kong Stock Exchange, becoming the largest technology ride-hailing platform in the market, with significant advantages in scale, business ecosystem, and innovative exploration in the industry [1][12]. Group 1: Business Performance and Financials - Caocao Travel's projected GTV for 2024 is expected to reach 17 billion yuan, holding the second-largest market share in the ride-hailing industry [1]. - The company's revenue for 2022, 2023, and 2024 is reported at 7.631 billion, 10.668 billion, and 14.657 billion yuan respectively, with a compound annual growth rate of 39% [1]. - The adjusted net loss is expected to narrow from 1.65 billion yuan in 2022 to 724 million yuan in 2024, indicating improving financial health [6]. Group 2: Custom Vehicle Advantages - By the end of 2024, Caocao Travel will operate a fleet of over 34,000 self-owned custom vehicles across 31 cities, with plans to expand to 50,000 vehicles [2]. - The proportion of custom vehicle GTV to total GTV is projected to increase from 5.3% in 2022 to 25.1% in 2024, showcasing a growing trend [2]. - The average hourly income for drivers has increased from 30.9 yuan in 2022 to 35.7 yuan in 2024, significantly higher than the industry average of approximately 27 yuan [3]. Group 3: Cost Structure and Profitability - The total cost of ownership (TCO) for Caocao's custom vehicles is significantly lower than typical electric vehicles, with reductions of 33% and 40% for its two main models [4]. - The adjusted driver income and subsidies as a percentage of ride service revenue decreased from 84.2% in 2022 to 79.0% in 2024, while vehicle service costs dropped from 7.9% to 3.53% [4]. - The gross margin improved from -4.44% in 2022 to 8.09% in 2024, reflecting the positive impact of the custom vehicle model on profitability [4]. Group 4: Competitive Advantage and Market Position - Caocao Travel has established a unique supply-side barrier through its custom vehicle ecosystem, which is difficult for competitors to replicate due to the required automotive industry background [8]. - The shift towards aggregation platforms has increased competition, making it essential for ride-hailing services to differentiate themselves beyond mere scale [7]. - The company is well-positioned to leverage its partnership with Geely to enhance its capabilities in automated driving and vehicle manufacturing, creating a closed-loop ecosystem [9]. Group 5: Future Outlook and Robotaxi Development - The emergence of Robotaxi is expected to fundamentally change the cost structure and profitability model of the ride-hailing industry, with significant market potential projected [10]. - By 2030, the domestic market for Robotaxi is anticipated to exceed 488.8 billion yuan, with a penetration rate of 36% in the shared mobility sector [10]. - Caocao Travel's existing supply-side advantages are expected to strengthen further as the Robotaxi era approaches, positioning the company favorably in future market competition [9][11].

Core Viewpoint - The ride-hailing platform Cao Cao Mobility was listed on the Hong Kong Stock Exchange on June 25, 2023, but experienced a significant drop in stock price, falling over 10% on its first day of trading [2]. Financial Performance - Cao Cao Mobility's revenue from 2022 to 2024 is projected to grow from 7.63 billion RMB to 14.66 billion RMB, maintaining a growth trend [3][4]. - Despite the revenue growth, the company is still operating at a loss, with losses of approximately 2.01 billion RMB, 1.98 billion RMB, and 1.25 billion RMB for the years 2022, 2023, and 2024 respectively [3][4]. Market Position - As of 2024, Cao Cao Mobility is expected to have a market share of 5.4% in the ride-hailing industry [2]. - The company's Gross Transaction Value (GTV) is projected to increase from 12.2 billion RMB in 2023 to 17 billion RMB in 2024, reflecting a year-on-year growth of 38.8% [2]. Dependency on Aggregation Platforms - Cao Cao Mobility has a high dependency on aggregation platforms, with orders from these platforms accounting for 49.9%, 73.2%, and 85.4% of GTV from 2022 to 2024 [2]. Future Developments - The company plans to launch a Robotaxi service in Suzhou and Hangzhou by February 28, 2025, marking a significant milestone for the commercialization of autonomous driving services [4]. - Cao Cao Mobility is collaborating with Geely Group to develop a custom vehicle specifically for Robotaxi services, including an L4 level Robotaxi expected to be launched by the end of 2026 [5].

Core Viewpoint - The initial public offering (IPO) of Cao Cao Travel on the Hong Kong Stock Exchange faced significant challenges, with the stock price dropping by 20.24% on its first day, indicating market skepticism about the company's financial health and growth prospects [2][4][6] Financial Performance - Cao Cao Travel's global offering consisted of 44.1786 million shares, priced at HKD 41.94 per share, with a pre-IPO decline of over 13% in the dark market [2] - The company reported cumulative losses exceeding CNY 5.2 billion over the past three years, with an average daily loss of CNY 4.86 million [4] - By the end of 2024, total liabilities are projected to reach CNY 11.283 billion, with net current liabilities of CNY 8.146 billion and cash equivalents of only CNY 159 million, indicating a liquidity gap of over CNY 5.5 billion [4] Revenue and Market Position - Revenue forecasts for 2022, 2023, and 2024 are CNY 7.631 billion, CNY 10.7 billion, and CNY 14.7 billion, respectively, with the majority of revenue coming from ride-hailing services [3] - In the ride-hailing market, Didi holds a dominant market share of 70.4%, while Cao Cao Travel only accounts for 5.4%, facing competition from T3 Travel and Xiangdao Travel [5] Business Model and Challenges - The company's heavy asset model leads to high operational costs, including driver subsidies and vehicle depreciation, which hinder rapid scale expansion [5] - In 2024, 85.7% of orders are expected to come from aggregation platforms like Gaode and Baidu, resulting in a loss of bargaining power and exposure to revenue fluctuations due to potential changes in platform strategies [5] Market Sentiment and Investor Behavior - The poor performance of Cao Cao Travel's stock on its debut reflects broader market concerns regarding the profitability and regulatory risks associated with ride-hailing platforms [6] - Despite attracting six cornerstone investors, the low subscription rate among retail investors and significant selling pressure contributed to the stock's decline [5][6]

Core Viewpoint - Caocao Travel officially listed on the Hong Kong Stock Exchange on June 25, 2023, becoming the largest ride-hailing platform by market size in Hong Kong, attracting significant investor interest [1][3]. Industry Overview - The ride-hailing industry is a crucial part of the public transportation sector, characterized by strong demand and a large consumer base, which provides a solid foundation for performance [4]. - The industry is transitioning away from blind expansion towards a more sustainable growth model, with demand expected to rise steadily in the context of ongoing economic development [5]. Company Positioning - Caocao Travel has established a clear value investment logic, focusing on strong demand, significant differentiation advantages, and difficult-to-replicate ecological barriers, which contribute to its unique market position [3]. - The company has built the largest customized vehicle fleet in the domestic market, with over 34,000 vehicles across 31 cities by the end of 2024 [6]. Financial Performance - The adjusted EBITDA margin for Caocao Travel turned positive in 2023 at 1%, projected to increase to 2.6% in 2024, indicating improving operational efficiency [6]. - The company's gross margin is expected to rise from 4.4% in 2022 to 8.1% in 2024, with net losses narrowing significantly, showcasing strong growth momentum [8]. Future Growth Potential - The introduction of customized vehicles is expected to enhance driver income and operational efficiency, creating a win-win situation for both the platform and drivers [7]. - Caocao Travel is also developing a Robotaxi service in collaboration with Geely, aiming to leverage advancements in autonomous driving technology to optimize operational costs and enhance profitability [9][10]. Market Outlook - The global ride-hailing market, valued at over a trillion dollars, has the potential to support multiple companies with billion-dollar valuations, positioning Caocao Travel as a valuable player in this expanding market [10].

Core Viewpoint - Caocao Travel has listed on the Hong Kong Stock Exchange, opening at HKD 33.8 per share, nearly 20% lower than the offering price, with a total market capitalization exceeding HKD 19 billion, positioning it among the leading ride-hailing stocks in the market [2] Group 1: Company Overview - Caocao Travel, founded on May 21, 2015, is a strategic investment of Geely Holding Group focused on the "new energy vehicle sharing ecosystem," offering services such as ride-hailing, car rentals, and carpooling [3] - As of March 31, 2025, Caocao Travel operates in 146 cities, with a total Gross Transaction Value (GTV) of RMB 48 billion in Q1 2024, reflecting a 54.9% year-on-year increase [3] Group 2: Market Position and Growth - The shared mobility market is projected to grow from RMB 354.7 billion in 2024 to RMB 751.3 billion by 2028, driven by increasing demand for economical travel options and higher penetration in lower-tier cities [3] - In 2024, Caocao Travel is expected to achieve a total GTV of RMB 170 billion, a 38.8% increase from 2023, with an average of 28.7 million monthly active users and 466,000 monthly active drivers, both showing approximately 50% growth year-on-year [4] Group 3: Financial Performance - From 2022 to 2024, Caocao Travel's total revenue is projected to grow from RMB 76.31 billion to RMB 146.57 billion, with losses of approximately RMB 20.07 billion, RMB 19.81 billion, and RMB 12.46 billion respectively, totaling over RMB 5.2 billion in losses but showing a narrowing trend [6] - The gross profit margin improved from -4.4% in 2022 to 8.1% in 2024, attributed to the introduction of customized vehicles and optimized vehicle operation strategies [7] Group 4: Strategic Initiatives - Caocao Travel plans to enhance collaboration with third-party aggregation platforms to drive more traffic cost-effectively, as the share of orders from aggregation platforms increased from 49.9% in 2022 to an expected 85.4% in 2024 [5] - The company is also focusing on the development of Robotaxi services, with plans to commercialize this offering and expand its coverage to more cities by 2026 [6][7]

Core Viewpoint - Cao Cao Mobility, the second-largest ride-hailing company in mainland China, faced a 19.41% drop in stock price on its first day of trading on the Hong Kong Stock Exchange, highlighting the challenges of balancing revenue growth with ongoing losses [1][3]. Financial Performance - Cao Cao Mobility's revenue has shown consistent growth over the past three years, with projected revenues of 7.631 billion yuan, 10.668 billion yuan, and 14.657 billion yuan for 2022, 2023, and 2024 respectively, reflecting a compound annual growth rate (CAGR) of 37.4% [3][4]. - The company reported net losses of 2.007 billion yuan, 1.981 billion yuan, and 1.246 billion yuan for the same years, indicating a narrowing of losses [3][4]. - The gross profit margin improved from 5.8% in 2023 to 8.1% in 2024, driven by economies of scale from customized vehicles and solutions [4]. Market Position and Strategy - As of December 31, 2024, Cao Cao Mobility expanded its ride-hailing services to 136 cities, adding 85 new cities compared to 2023 [4]. - The company emphasizes a "light asset model" for expansion, which reduces depreciation and service costs as a percentage of revenue, thereby enhancing gross margins [4]. - The ride-hailing market is currently dominated by Didi, which holds a 70.4% market share, while Cao Cao Mobility occupies the second position with a 5.4% market share [6][7]. Future Outlook - The commercialization of autonomous driving (Robotaxi) is viewed as a key factor for Cao Cao Mobility's long-term profitability [3][5]. - The company launched the Cao Cao Intelligent Driving platform in February 2023, marking a significant step in developing a self-research closed-loop ecosystem for autonomous driving [5]. - Industry experts suggest that the competitive landscape in the ride-hailing market is intensifying, with platforms investing heavily in technology, marketing, and driver recruitment to capture market share [7].

Core Viewpoint - Cao Cao Mobility officially listed on the Hong Kong Stock Exchange on June 25, but experienced a significant drop in share price, indicating market concerns about its profitability and future growth prospects [4][5]. Company Overview - Cao Cao Mobility was established in 2015 by Geely Holding Group, focusing on ride-hailing and carpooling services, with revenue primarily derived from mobility services [4]. - The company has consistently ranked among the top three ride-hailing platforms in China by gross transaction value (GTV) since 2021, achieving the second position in the industry last year [4]. Financial Performance - Revenue projections for Cao Cao Mobility from 2022 to 2024 are 7.631 billion yuan, 10.7 billion yuan, and 14.7 billion yuan, with the share of revenue from mobility services being 97.9%, 96.6%, and 92.5% respectively [4]. - Despite increasing revenues, the company reported losses of 2.007 billion yuan, 1.981 billion yuan, and 1.246 billion yuan for the same period, with high sales costs of 7.97 billion yuan, 10.052 billion yuan, and 13.471 billion yuan [5]. Debt and Financial Risks - Cao Cao Mobility maintains significant debt levels to support operations, with short-term debts projected at 3.5 billion yuan, 5.2 billion yuan, and 5.7 billion yuan from 2022 to 2024 [5]. Market Position and Competition - The company relies heavily on aggregator platforms, with orders from these platforms accounting for 49.9%, 73.2%, and 85.4% of total transaction value from 2022 to 2024 [6]. - Cao Cao Mobility holds a market share of only 5.4%, significantly lower than Didi, which commands a 70.4% share [6]. Strategic Initiatives - The company aims to improve profitability through investments in customized vehicles and Robotaxi technology, planning to purchase approximately 8,000 customized vehicles annually from 2025 to 2027 [7]. - About 17% of the net proceeds from the IPO will be allocated to enhance technology and invest in autonomous driving, with specific plans for developing next-generation Robotaxi models [7]. Industry Trends - The Robotaxi market is seen as a significant growth area, with projections suggesting a potential annual profit of $1 trillion by 2030 [8]. - Competition in the Robotaxi sector is intensifying, with various companies, including Tesla and Waymo, also investing heavily in this space [8].