Core Viewpoint - Aux Electric Co., Ltd. has officially launched its IPO, aiming to raise funds for product development and market expansion, positioning itself as a leading player in the air conditioning industry [1][3] Group 1: IPO Details - The company plans to issue approximately 207 million shares, with 5% allocated for Hong Kong and 95% for international offerings, at a maximum price of HKD 17.42 per share [1] - The IPO is expected to be listed on the Hong Kong Stock Exchange on September 2, 2025, following other major players in the air conditioning sector [1] - Key cornerstone investors include China Post Insurance, Huabao Hong Kong, and others, with total subscriptions amounting to approximately USD 1.243 billion (HKD 9.742 billion), representing 27% of the offered shares [1] Group 2: Company Performance - Aux Electric is one of the top five air conditioning providers globally, with a market share of 7.1% and the leading brand in China's mass-market home air conditioning sector, holding a 25.7% market share [1][2] - The company's revenue is projected to grow from RMB 19.528 billion in 2022 to RMB 29.759 billion in 2024, reflecting a compound annual growth rate (CAGR) of 23.4% [2] - Net profit attributable to shareholders is expected to increase from RMB 1.442 billion in 2022 to RMB 2.910 billion in 2024, with a CAGR of 42.1% [2] - As of Q1 2025, the company reported revenues and net profits of approximately RMB 9.352 billion and RMB 0.925 billion, respectively [2] - The overseas market has significantly contributed to the company's performance, with overseas revenue accounting for 57.1% of total revenue in the first quarter of 2025 [2] Group 3: Strategic Focus - The product matrix focuses on home and central air conditioning, emphasizing energy efficiency, comfort, health, and intelligence [2] - The funds raised from the IPO will be used for new product development, upgrading existing products, establishing overseas R&D centers, and enhancing the smart manufacturing system and supply chain management [3] - The company aims to leverage capital market opportunities to enhance brand influence, expand market share, and improve its industry chain layout [3]