Core Viewpoint - Shenzhen Xunce Technology Co., Ltd. has submitted its IPO application to the Hong Kong Stock Exchange for the third time, aiming to raise funds for expanding existing solutions, developing new ones, and enhancing technical capabilities, despite facing continuous losses since its establishment [1][2]. Group 1: Financial Performance - From 2022 to the first half of 2025, the company reported a cumulative loss of approximately 366 million yuan [4]. - Revenue figures for the reporting period were approximately 288 million yuan, 530 million yuan, 632 million yuan, and 198 million yuan, with corresponding losses of 96.51 million yuan, 63.39 million yuan, 97.84 million yuan, and 108 million yuan [4]. - The company attributes its net losses primarily to significant R&D, administrative, and sales expenses incurred during rapid business expansion [4]. Group 2: Market Position and Revenue Sources - Xunce Technology ranks fourth in China's real-time data infrastructure and analytics market with a market share of 3.4% as of 2024, and it holds the top position in the asset management sector with an 11.6% market share [2]. - The revenue share from the asset management sector decreased from 74.4% to 47.3% during the reporting period, while revenue from diversified industries increased from 25.6% to 52.7% [2]. Group 3: Customer Metrics - The total number of paying customers decreased from 232 to 121, representing a year-on-year decline of 28.4% in the first half of 2025 [3]. - The net revenue retention rate dropped significantly from 98% in 2023 to 56% in 2024, further declining to 36% in the first half of 2025, primarily due to reduced spending and project delays in the asset management sector [3]. Group 4: Accounts Receivable and Credit Policy - Accounts receivable increased during the reporting period, with figures of 76.7 million yuan, 266 million yuan, 252 million yuan, and 254 million yuan [5]. - The accounts receivable turnover days increased from 63 days to 286 days, attributed to revenue growth and expansion into new verticals, leading to a more diverse customer base [5]. Group 5: Funding and Valuation - Since its establishment, Xunce Technology has completed seven rounds of financing, with notable investors including Tencent, Goldman Sachs, and Yunfeng Capital [6][8]. - The company's valuation surged from 150 million yuan before its A-round financing in 2017 to 6.22 billion yuan after its latest financing round in November 2023, marking a 4047% increase over six years [8].

Core Viewpoint - Shenzhen Xunce Technology Co., Ltd. is seeking to go public on the Hong Kong Stock Exchange after two previous failed attempts, highlighting its ongoing efforts to secure funding despite facing intense competition in the real-time data infrastructure and analytics market [1][30]. Company Overview - Founded in 2016, Xunce Technology specializes in real-time data infrastructure and analytics solutions, with a focus on high R&D investment and a current lack of profitability [1][9]. - The company has received significant investments from major firms including Tencent, Alibaba, and Goldman Sachs, with a post-money valuation of 6.22 billion yuan as of November 2023 [2][3][4]. Financial Performance - Xunce Technology reported cumulative losses of 366 million yuan over three and a half years, with R&D expenses exceeding 70% of revenue [11][14]. - Revenue figures for the years 2022, 2023, and 2024 were 288.99 million yuan, 530.46 million yuan, and 631.98 million yuan respectively, with a decline in revenue noted in the first half of 2025 [14][15]. - The company’s gross profit margins fluctuated between 66.7% and 79% during the reporting periods, with a notable decrease in 2025 due to increased demand for customized solutions from asset management clients [16][17]. Market Position - Xunce Technology holds approximately 3.4% market share in China's real-time data infrastructure and analytics market, ranking fourth by revenue in 2024 [22][28]. - The company is particularly strong in the asset management sector, where it commands an 11.6% market share, making it the leading player in that niche [28][30]. - The overall market for real-time data infrastructure and analytics in China is projected to grow significantly, reaching 18.7 billion yuan in 2024, with a compound annual growth rate of 46.1% from 2020 to 2024 [25][28]. Client Base and Revenue Model - As of 2024, Xunce Technology had 232 paying clients, with 177 from the asset management sector and 55 from other industries, indicating a diversification in its client base [12][14]. - The average revenue per user (ARPU) for asset management clients was 1.38 million yuan, while for clients in other sectors, it was significantly higher at 7.05 million yuan [12][14]. R&D and Human Resources - The company employs around 320 R&D personnel, accounting for approximately 67% of its total workforce, reflecting its commitment to innovation [18]. - R&D expenditures have consistently represented a large portion of revenue, with figures of 2.59 billion yuan, 3.79 billion yuan, and 4.5 billion yuan reported over the last three years [18].