iQIYI(US:IQ) Sou Hu Cai Jing·2025-08-21 01:12Group 1 - iQIYI is actively preparing for a secondary listing in Hong Kong, seen as a crucial strategic decision amid pressures on performance and cash flow [1][3] - The company plans to raise approximately $200 to $300 million through this listing and aims to submit its application in the third quarter of this year, targeting completion before the Lunar New Year in 2026 [1][3] - iQIYI has previously attempted to list in Hong Kong in 2021 and 2023, and it successfully listed on NASDAQ in 2018, but now seeks new financing channels due to changing market conditions [1] Group 2 - iQIYI's financial data shows significant performance pressure, with total revenue for fiscal year 2024 at 29.23 billion yuan, a year-on-year decline of 8%, and a net profit of 764 million yuan, down 60.32% [1] - In the first quarter of 2025, total revenue dropped to 7.19 billion yuan, a 9% year-on-year decrease, with net profit plummeting 72.21% to only 182 million yuan [1] - The appointment of Baidu's new CFO, He Haijian, as iQIYI's chairman is believed to be closely related to the company's secondary listing plans, leveraging his experience in capital markets [3] Group 3 - A successful listing in Hong Kong would help iQIYI raise funds for content creation and international expansion, which are critical in the competitive video platform market [3] - Analysts suggest that the funds raised will support iQIYI in content creation, technology development, and overseas expansion [3] - The market remains optimistic about iQIYI's potential for a secondary listing, viewing it as a vital opportunity to rebuild market confidence and achieve long-term growth [3]