HAI TIAN(SH:603288) Nan Fang Du Shi Bao·2025-06-11 11:52Core Viewpoint - Haitian Flavor Industry has officially launched its global public offering, planning to issue 263,237,500 shares with a price range set between HKD 35.00 and HKD 36.30, expected to be listed on the Hong Kong Stock Exchange on June 19, 2025 [1][3]. Offering Details - The company plans to publicly offer 15,794,300 shares in Hong Kong, accounting for approximately 6.00% of the total offering, while 247,443,200 shares will be offered internationally, making up about 94.00% of the total [3]. - The company may issue an additional 39,485,600 shares if the overallotment option is not exercised, or up to 41,854,700 shares if the option is fully exercised, leading to a maximum total of 320,886,400 shares available for global offering [3]. Cornerstone Investors - Haitian Flavor Industry has secured cornerstone investment agreements with several entities, including HHLRA, GIC, and UBS AM, committing to purchase shares worth approximately USD 595 million at the indicative price of HKD 35.65 per share, totaling around 131 million shares [4]. Financial Performance - The company reported a revenue of CNY 256.1 billion in 2022, a year-on-year increase of 2.42%, but faced a decline in net profit by 7.09% to CNY 61.98 billion [8]. - In 2023, the company experienced its first revenue decline in nearly a decade, with revenue dropping to approximately CNY 245.6 billion, a decrease of 4.10%, and net profit falling to about CNY 56.26 billion, down 9.21% [8]. - However, in 2024, the company rebounded with a revenue of CNY 269.01 billion, a year-on-year growth of 9.63%, and net profit reaching CNY 63.44 billion, up 12.75% [8]. Product Performance - The core product categories, including soy sauce, seasoning sauces, and oyster sauce, all saw revenue growth of nearly 10% year-on-year, with respective gross margin increases of 2.07%, 1.95%, and 4.69% [9]. - The "other" product category has also shown significant growth, with year-on-year increases of 32.61%, 19.35%, and 16.75% from 2022 to 2024, indicating the company's efforts to diversify its product offerings [10]. Strategic Significance - The IPO is seen as a strategic move to enhance the company's global presence and brand image, with plans to focus on markets with strong consumer bases and high demand for seasoning products [10]. - The company aims to utilize the proceeds from the global offering for product development, technological upgrades, capacity expansion, and enhancing its global supply chain capabilities [5].