Core Viewpoint - Flashback Technology Limited has submitted its listing application to the Hong Kong Stock Exchange, marking its third attempt since 2024 to go public in the Hong Kong market [1] Company Overview - Flashback Technology focuses on after-market trading services for consumer electronics, particularly in the mobile phone recycling sector, aiming to extend the lifespan of electronic products and create a win-win situation for consumers, upstream procurement partners, and downstream second-hand mobile phone sellers [1][3] - The company operates under its own brand "Flashback Recycling" for offline trade-in services and "Flashback Quality" for selling second-hand consumer electronics on its own and third-party e-commerce platforms [3] Market Position - In 2024, Flashback Technology ranked third among mobile phone recycling service providers in China, with a transaction volume of 1 billion yuan, significantly trailing behind competitors like Aihuishou and Zhuanzhuan, which had transaction volumes of 6.2 billion yuan and 5.8 billion yuan, respectively [3] - The market shares of Aihuishou and Zhuanzhuan were 7.9% and 7.4%, while Flashback's market share was only 1.3% [3] Financial Performance - The company reported cumulative losses of approximately 337 million yuan and has yet to achieve profitability [5] - The gross profit margin has declined from 8.2% in 2021 to 4.8% in 2024, although there was a slight recovery in the first half of 2025, remaining below the industry average [5] - High sales costs, particularly from second-hand mobile phone procurement, have been identified as a major factor contributing to the declining gross profit margin [5] Strategic Partnerships - Flashback Technology has a close partnership with Xiaomi Group, which is both a significant supplier and a shareholder of the company [5] - A substantial portion of the procurement value comes from second-hand consumer electronics purchased from Xiaomi through trade-in programs [5] Challenges and Risks - The company has signed multiple performance guarantee agreements with external investors, which have triggered redemption conditions due to previous unsuccessful IPO attempts, leading to a surge in current liabilities [7] - The expected completion date for the IPO has been extended to December 31, 2025, but the company faces increasing pressure to succeed in this attempt to avoid severe liquidity and asset health issues [7]