Lakala(SZ:300773) Sou Hu Cai Jing·2025-07-07 00:20Core Viewpoint - The digital currency industry is experiencing positive developments, benefiting companies like Lakala, which has seen its stock price rise over 100% in the past three months despite poor financial performance [1][3]. Financial Performance - Lakala reported a revenue of 5.762 billion yuan and a net profit of 351.2 million yuan for 2024, with revenue and net profit growth rates of -2.98% and -23.26% respectively, marking the second occurrence of "double decline" in three years [3][8]. - In Q1 of this year, Lakala's revenue was 1.3 billion yuan, with a revenue growth rate of -13.02%, and a net profit of 100.6 million yuan, reflecting a net profit growth rate of -51.17%, indicating the worst performance in Q1 historically [3][8]. Market Dynamics - The stock price surge began in April, driven by policy support, including the Shanghai International Financial Center's plan to enhance cross-border financial services and promote blockchain technology [3][6]. - The Hong Kong government's passage of the Stablecoin Bill has positioned it as a leading financial center for stablecoin regulation, igniting speculation in A-shares and boosting related stocks [3][5]. Business Model and Challenges - Lakala's main business is B-end acquiring, which accounted for 89.7% of its revenue in 2024. However, the company faces challenges in expanding its merchant base and increasing average net settlement rates due to intense market competition [7][8]. - The revenue from Lakala's payment business was 5.165 billion yuan in 2024, showing minimal growth from 5.18 billion yuan in 2023, indicating stagnation in its core operations [8]. New Business Directions - Lakala is focusing on new business opportunities in cross-border payments and stablecoins to overcome traditional business challenges. The company aims to enhance its international competitiveness through its planned Hong Kong listing [9][10]. - The cross-border payment market is substantial, with China's cross-border e-commerce import and export volume reaching 2.63 trillion yuan in 2024, but Lakala's cross-border payment transaction volume was only 49.2 billion yuan, representing a mere 1.16% of its total payment transaction volume [9][10]. Stablecoin Prospects - Currently, Lakala does not have stablecoin-related operations, and while it has hinted at accelerating the application of digital currencies in cross-border scenarios, the challenges of entering the stablecoin market are significant [11]. - The stablecoin sector is still in its early stages, facing regulatory, technical, and market acceptance challenges, making it difficult for Lakala to develop this business effectively [11]. Shareholder Activity - Following the stock price increase, Lakala's shareholders have begun to reduce their holdings, with significant share sales reported, including a planned reduction of up to 19.27 million shares by a major shareholder [11].