Jason Furniture (Hangzhou) (SH:603816) IPO日报·2025-05-16 09:06Core Viewpoint - The recent announcement by Kuka Home Furnishing Co., Ltd. regarding a private placement of shares to its controlling shareholder, Yingfeng Group, is seen as a significant step in promoting the integration strategy of "home furnishing + home appliances" following the entry of the Midea Group into Kuka Home [2][5]. Group 1: Share Issuance Details - Kuka Home plans to issue up to 104 million A-shares at a price of 19.15 yuan per share, raising a total of no more than 1.997 billion yuan [1][4]. - The issuance is directed solely to Yingfeng Group, which will increase its shareholding from 29.42% to 37.37%, thereby strengthening its control over the company [5][6]. Group 2: Financial Performance - For the fiscal year ending December 31, 2024, Kuka Home reported a revenue of 18.48 billion yuan, a year-on-year decrease of 3.81%, and a net profit attributable to shareholders of 1.417 billion yuan, down 29.38% [9]. - This marks the first instance since the company's listing in 2016 that both revenue and net profit have declined simultaneously [9]. Group 3: Business Strategy and Market Position - Kuka Home is recognized as a leading soft furniture enterprise, maintaining the position of "China's largest sofa sales brand globally" for three consecutive years from 2021 to 2024, according to Frost & Sullivan [4]. - The company is undergoing a transformation towards smart and integrated home solutions, particularly in response to the downturn in the real estate market [11]. Group 4: Financial Health and Fund Utilization - As of March 31, 2025, Kuka Home reported cash and cash equivalents totaling 3.616 billion yuan, with a low debt-to-asset ratio of 38.96%, indicating a relatively healthy financial position [7]. - The largest portion of the raised funds, amounting to 1 billion yuan, will be allocated to supplementing working capital, despite the company appearing financially stable [6][7].