Core Viewpoint - JD Industrial has submitted an application for listing on the Hong Kong Stock Exchange, aiming to leverage its position in the industrial supply chain technology market in China, with significant client coverage and growth potential [1]. Group 1: Company Overview - JD Industrial is a core asset of JD.com, focusing on industrial supply chain technology after its spin-off [1]. - The company is expected to become the sixth listed entity under the JD Group, following JD.com, JD Logistics, JD Health, Dada Group, and Deppon Logistics [1]. - Major shareholders include JD Industrial Technology Limited, which is wholly owned by JD.com [2]. Group 2: Financial Performance - Revenue from continuing operations increased from RMB 14.1 billion in 2022 to RMB 17.3 billion in 2023, and is projected to reach RMB 20.4 billion in 2024, reflecting a compound annual growth rate (CAGR) of 20.1% [2]. - For the six months ending June 30, 2024, revenue is expected to rise by 18.9% from RMB 8.6 billion to RMB 10.3 billion for the same period in 2025 [2]. - The company recorded a net loss of RMB 1.3 billion in 2022, but turned a profit of RMB 480 million in 2023, and is projected to achieve net profits of RMB 760 million in 2024 and RMB 290 million in the first half of 2025 [3][5]. Group 3: Dependency and Profitability - Approximately 40% of JD Industrial's revenue is derived from JD Group, indicating a reliance on its parent company for business development [3]. - The gross profit margin has declined from 18% in 2022 to 16.2% in 2024, highlighting challenges in maintaining profitability [5]. - Cumulative losses were reported at RMB 2.4 billion, RMB 2.5 billion, RMB 1.8 billion, and RMB 1.3 billion for the years ending December 31, 2022, 2023, 2024, and the six months ending June 30, 2025, respectively [5].