Core Viewpoint - Boche Holding Limited (博车网) has submitted a second application for an IPO on the Hong Kong Stock Exchange, highlighting its leading position in China's accident vehicle auction industry, but faces challenges due to ongoing losses and industry risks [1][2]. Company Overview - Boche Holding Limited is the largest accident vehicle auction platform in China, holding a market share of 31.4% in 2024, and is also the third-largest B2B used car auction platform with a market share of approximately 12.0% [2]. - The company operates an integrated online and offline auction platform, connecting insurance companies (upstream) with certified repair shops and licensed dismantling factories (downstream) in the accident vehicle sector [2]. Financial Performance - Revenue figures for Boche Holding from 2022 to 2024 are 388.11 million RMB, 518.33 million RMB, and 526.07 million RMB, respectively, indicating a growth trend, but with a significant slowdown expected in 2024 to only 1.5% growth [3][4]. - The company recorded losses of 1.80 billion RMB, 1.22 billion RMB, and 0.36 billion RMB over the past three years, with total losses reaching 3.94 billion RMB [4][5]. - The gross profit margin has shown a downward trend, with figures of 44.4%, 49.9%, 46.4%, and 39.2% over the reporting period, indicating increasing financial pressure [5]. Market Potential - The accident vehicle auction market in China is projected to grow significantly, with an expected total auction volume of 86.7 million vehicles by 2028, reflecting a compound annual growth rate of 20.2% from 2023 to 2028 [6][7]. - Despite the growth potential, the company faces challenges in maintaining profitability amid increasing competition and the transition to electric vehicles, which require new technical capabilities [7][8]. Competitive Landscape - Boche Holding holds a leading market position with a 31.3% market share in 2023, but must navigate a competitive landscape where the largest player holds over 30% of the market [7]. - The company’s ability to convert its market position into sustainable profitability is critical for its future performance in the capital markets [8].

Group 1 - The core point of the article is that BoChe Network has submitted a listing application to the Hong Kong Stock Exchange, with CITIC Securities and Fosun International Capital acting as joint sponsors [1] Group 2 - According to ZhiShi Consulting data, by 2024, BoChe Network ranks first in China's accident vehicle auction market with a market share of approximately 31.4% [2] - The company utilizes a combination of online and offline auction models to connect accident vehicle sources (mainly insurance companies) with buyers (primarily certified repair shops and licensed dismantling factories) [2] - BoChe Network is also the third-largest B2B used car auction platform in China, with a market share of about 12.0% in auction volume for 2024 [2] Group 3 - The volume of accident vehicle auctions in China has increased from approximately 205,000 units in 2020 to 373,000 units in 2024 [2] - In comparison, the auction volume of accident vehicles in the United States is nearly 7 million units in 2024, about 20 times that of China, despite similar vehicle ownership levels [2] - This indicates significant growth potential for China's accident vehicle auction industry, driven by factors such as increasing vehicle ownership, rising repair costs, the prevalence of new energy vehicles leading to higher claims frequency, direct consumer engagement by insurance companies, rising labor costs, and increased insurance awareness [2]

Core Viewpoint - Boche Holding Limited (博车网) has submitted its application for listing on the Hong Kong Stock Exchange, with CITIC Securities and Fosun International Capital as joint sponsors. The company is the largest accident vehicle auction platform in China, holding a significant market share in the industry [1][3]. Company Overview - Boche Holding Limited operates as a mediator connecting upstream accident vehicle sources (mainly insurance companies) with downstream buyers (certified repair shops and licensed dismantling factories) [3]. - The company ranks first in the Chinese accident vehicle auction industry with a market share of approximately 31.4% based on projected transaction volume for 2024 [3]. - Additionally, Boche is the third-largest B2B used car auction platform in China, with a market share of about 12.0% [3]. Industry Insights - The auction volume of accident vehicles in China is projected to grow from approximately 205,000 vehicles in 2020 to 373,000 vehicles in 2024, indicating significant growth potential compared to the U.S., which has an auction volume of nearly 7 million vehicles in 2024 [4]. - Factors driving growth in the accident vehicle auction industry include aging vehicle ownership, rising repair costs, increased frequency of claims due to the proliferation of new energy vehicles, and heightened insurance awareness [4]. Financial Performance - For the fiscal years ending July 31, the revenue figures for Boche Holding Limited are as follows: approximately RMB 388.11 million in 2022, RMB 518.33 million in 2023, RMB 526.07 million in 2024, and RMB 290.45 million in 2025 (for the first seven months) [5][7]. - The company reported losses of approximately RMB 180.25 million in 2022, RMB 121.47 million in 2023, RMB 36.44 million in 2024, and RMB 55.60 million in 2025 (for the first seven months) [5][7].