Core Viewpoint - Yuwang Bio-Nutrition Limited has submitted its prospectus to the Hong Kong Stock Exchange, focusing on the development, production, and sale of refined fish oil and dietary supplements. The company has experienced a significant decline in revenue and profit margins in the first half of 2025 compared to previous years [1][4]. Financial Performance - The company reported net profits of approximately RMB 67.297 million, RMB 101.869 million, RMB 125.313 million, and RMB 22.764 million for the years 2022, 2023, 2024, and the first half of 2025, respectively [2][3]. - Revenue figures for the same periods were approximately RMB 534 million, RMB 661 million, RMB 832 million, and RMB 343 million, indicating a year-on-year decrease of 27.1% in the first half of 2025 compared to the same period in 2024 [2][4]. Product Margins - The gross margin for refined fish oil dropped from 24.7% in the first half of 2024 to 8.3% in the first half of 2025. Similarly, the gross margin for fish oil soft capsules and other dietary supplements decreased from 31.8% to 24.7% during the same period [5][4]. - The core product lines, including refined fish oil and dietary supplements, contributed approximately 97.5%, 97.0%, 98.0%, and 98.8% to total revenue in 2022, 2023, 2024, and the first half of 2025, respectively [3]. Market Position - Yuwang Bio is recognized as the largest supplier of food-grade refined fish oil and its products globally, holding an 8.1% market share based on sales volume in 2024 [2]. - The company has a significant international presence, with revenue from non-China markets accounting for 47.3%, 53%, 60.9%, and 55% of total revenue in 2022, 2023, 2024, and the first half of 2025, respectively [8]. Customer Base - The company primarily sells its products to dietary supplement brand owners, fish oil product manufacturers, wholesalers, and pharmacies. Revenue from the top five customers accounted for approximately 23%, 17.5%, 18%, and 22.7% of total revenue in the respective years [6][8].