UNIS(SZ:000938) Sou Hu Cai Jing·2025-06-04 01:41Core Viewpoint - Several A-share companies have successfully listed in Hong Kong this year, with notable stock performance, including Ningde Times, Hengrui Medicine, and Chifeng Gold. Recently, Unisplendour Corporation, a leading ICT company from A-share, submitted its prospectus to the Hong Kong Stock Exchange [2]. Company Overview - Unisplendour Corporation was established in 1999 and is a joint venture among several prominent organizations. It has been listed on the Shenzhen Stock Exchange since its inception [3]. - The company designs and sells a diverse range of ICT infrastructure products, covering the entire digital solution industry chain, including key products such as "cloud-network-security-computing-storage-end" [3]. - Unisplendour also provides one-stop digital solutions integrating cloud computing, big data, artificial intelligence, IoT, cybersecurity, smart connectivity, and edge computing, while distributing globally recognized ICT products in China [3]. Financial Performance - Unisplendour's revenue has shown a continuous upward trend from 2022 to 2024, with revenues of 73.75 billion RMB, 77.54 billion RMB, and 79.02 billion RMB, respectively. However, net profit attributable to shareholders has declined from 2.16 billion RMB in 2022 to 1.57 billion RMB in 2024, primarily due to increased financial costs from acquisitions and reduced government subsidies [4]. - In Q1 2025, the company's revenue grew by 22.25% year-on-year to 20.79 billion RMB, while net profit decreased by 15.75% to 349 million RMB. However, the non-recurring net profit increased by 19.30% to 409 million RMB [4]. Business Segmentation - From 2022 to 2024, revenue from digital solutions increased from 46.31 billion RMB to 55.73 billion RMB, accounting for 62.7% to 70.5% of total revenue. Conversely, revenue from ICT product distribution decreased from 37.1% to 29.3% [4][5]. Debt and Financial Ratios - The company has significantly increased its debt due to acquisitions, with borrowings rising from 4.7 billion RMB in 2022 to 20 billion RMB in 2024. The capital-to-debt ratio surged from 15.9% to 132.0% during the same period [6][7]. - Financial costs increased by 170.1% to 858 million RMB in 2024, impacting profitability [7]. Inventory Management - Unisplendour's inventory has also increased, reaching 34 billion RMB by the end of 2024, with inventory turnover days rising from 111.3 days in 2022 to 163.8 days in 2024. This increase is attributed to the purchase of key raw materials to mitigate supply chain risks and meet growing product demand [8]. Market Outlook - The global digital solution market is expected to reach 4.8 trillion USD by 2029, with a compound annual growth rate (CAGR) of 12.7% from 2024 to 2029. In China, the digital solution market is projected to reach 4.4 trillion RMB by 2029, with a CAGR of 18.9% during the same period [9][10]. Strategic Initiatives - The upcoming Hong Kong listing aims to enhance Unisplendour's global strategy, accelerate overseas business development, and improve its capital strength. The funds raised will be allocated to R&D, strategic investments, overseas expansion, and general operational needs [11].