Core Viewpoint - Ruipai Veterinary Hospital Management Holdings Co., Ltd. is preparing for an IPO on the Hong Kong Stock Exchange, aiming to capitalize on the growing pet healthcare market in China, where it is the second-largest provider of pet medical services [1][11]. Group 1: Company Overview - Ruipai was established in 2012 and focuses on pet medical services, which are divided into basic and specialized medical care [2]. - The company operates 548 pet hospitals, including 120 self-built and 428 acquired hospitals, covering 70 cities across 28 provinces in China [4]. - Ruipai's market share in the Chinese pet medical industry is 4.8%, with a higher share of 6.3% in high-tier cities [1]. Group 2: Financial Performance - Ruipai's total revenue has shown consistent growth, with figures of 1.455 billion RMB, 1.585 billion RMB, 1.758 billion RMB, 869 million RMB, and 943 million RMB for the years 2022, 2023, 2024, and the first half of 2025 respectively [3]. - The company transitioned from a loss to a profit in the first half of 2025, reporting a net profit of 15.28 million RMB, after previous losses in 2022, 2023, and 2024 [3]. - The overall gross margin improved from 21.0% in 2023 to 24.8% in the first half of 2025, with significant growth in the gross margin of grooming services [3]. Group 3: Business Model and Expansion - Ruipai employs a Veterinary Development Partners (VDP) model for hospital acquisitions, typically acquiring 60% ownership while allowing original teams to retain 40% to ensure service quality [4]. - The company has a high goodwill of 1.792 billion RMB, which constitutes 68.4% of its non-current assets, primarily due to extensive acquisitions [4]. - The revenue distribution in the first half of 2025 shows that regional center hospitals contributed 43.9%, city center hospitals 31.5%, and community hospitals 24.4% [5]. Group 4: Market Position and Competitive Landscape - Ruipai is the only profitable chain pet hospital in China, contrasting with its main competitor, New Ruipeng, which has reported significant losses in recent years [5][11]. - The IPO proceeds will be used to expand the hospital network, enhance pet health management services, develop IT infrastructure, and strengthen brand recognition [11]. - The competitive landscape is characterized by a "dual dominance" with New Ruipeng leading the market with over 1,900 stores, while Ruipai follows closely with 548 stores [11].

Core Viewpoint - Ruipai Pet has submitted its IPO application to the Hong Kong Stock Exchange, with CICC as the sole sponsor, indicating its intention to expand its business and capitalize on the growing pet healthcare market in China [1]. Financial Performance - Ruipai Pet's revenue has shown steady growth, increasing from 1.45 billion RMB in 2022 to 1.76 billion RMB in 2024, despite experiencing net losses during the same period [4][5]. - In the first half of 2025, the company reported a revenue of 943.13 million RMB, reflecting an 8.5% year-on-year growth, with a net profit of 15.54 million RMB [4][5]. - The company's gross profit margin improved from 21.0% in 2023 to 24.8% in the first half of 2025, with the gross margin for beauty services significantly increasing from 12.1% in 2022 to 39.0% in the first half of 2025 [5][6]. Business Structure - Ruipai Pet operates as a national chain of pet medical institutions, focusing on integrated services that include medical treatment, product sales, and grooming services [2]. - The core business is divided into basic and specialized medical services, with specialized services covering 16 fields. As of June 30, 2025, medical services accounted for 91.3% of total revenue [2][4]. - The company has established a three-tier medical collaboration system consisting of city center hospitals, regional center hospitals, and community hospitals, with regional center hospitals contributing 43.9% to revenue in the first half of 2025 [2]. Shareholding Structure - The largest shareholder of Ruipai Pet is Li Shoujun, who controls 26.91% of the shares, while other significant investors include Mars China with 23.33% and Broad Street with 6.79% [7][10]. Use of IPO Proceeds - The funds raised from the IPO will be primarily used for strategic acquisitions and new hospital constructions, enhancing pet health management services, developing IT infrastructure, brand building, and general operational purposes [8].

Core Viewpoint - Ruipai Pet Hospital has submitted its listing application to the Hong Kong Stock Exchange, aiming to expand its national chain of pet medical services and enhance its operational capabilities [1][4]. Group 1: Company Overview - Ruipai Pet Hospital is a national chain of pet medical institutions, focusing on diagnostic services, which include basic and specialized medical care [2][4]. - The company was established in 2012 and is recognized as the first pet medical service provider in China to achieve nationwide chain operations, with a goal of creating a standardized and replicable pet health management service system [4]. - As of June 30, 2025, Ruipai Pet Hospital is the second-largest pet medical service provider in China, operating in approximately 70 cities across 28 provinces [4]. Group 2: Financial Performance - The company's revenue is primarily derived from diagnostic services, with supplementary income from pet product sales, grooming services, and other offerings. The revenue figures for 2022, 2023, 2024, and the first half of 2025 are 1.455 billion, 1.585 billion, 1.758 billion, and 943 million yuan, respectively [5]. - The net profit figures for the same periods are -62.237 million, -251 million, -58.713 million, and 15.54 million yuan, indicating significant fluctuations in profitability [2][5]. - The company plans to use the net proceeds from the listing to expand its hospital network, enhance health management services, develop IT infrastructure, and for brand marketing and general corporate purposes [5]. Group 3: Supplier Relationships - Ruipai Pet Hospital's primary customers are individual pet owners, with approximately 1.216 million, 1.360 million, 1.430 million, and 865,400 pet owners served in 2022, 2023, 2024, and the first half of 2025, respectively [6]. - The largest supplier, Ruipu Bio, accounted for 22.5% of the company's total procurement as of the first half of 2025, with total procurement from the top five suppliers representing 32.9% of the total [3][6].

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