IPO日报·2025-06-27 14:34Core Viewpoint - Weichai Power plans to spin off its subsidiary Weichai Lovol Smart Agriculture Technology Co., Ltd. for an IPO on the Hong Kong Stock Exchange, following a previous unsuccessful attempt to list on the Shenzhen Stock Exchange [1][2][11][13]. Group 1: Company Overview - Weichai Lovol, headquartered in Weifang, Shandong Province, was established in 2004 and rebranded in 2022 to focus on agricultural machinery and smart agriculture services [4][5]. - The company is primarily controlled by Weichai Power and its holding company, Weichai Holdings, which collectively hold approximately 88.36% of the voting rights [6]. Group 2: Financial Performance - Weichai Lovol reported revenues of approximately CNY 159.5 billion, CNY 146.76 billion, and CNY 173.93 billion for the years 2022, 2023, and 2024, respectively, with net profits of CNY 7.72 billion, CNY 8.71 billion, and CNY 9.57 billion during the same period [7]. - The company has maintained a high dividend payout, distributing over CNY 20 billion in cash dividends over the past five years, despite an asset-liability ratio exceeding 80% [2][14]. Group 3: Market Position and Competition - In 2024, Weichai Lovol achieved a sales revenue of CNY 90.57 billion from tractors and CNY 70.92 billion from harvesting machinery, leading the market with a tractor market share of 22.6% and a harvesting machine market share of 53.5% [8]. - The top five manufacturers in the Chinese agricultural machinery market hold a combined market share of 54.5%, with Weichai Lovol leading at approximately 21.2% [6].