Core Viewpoint - Wuhan Dazhong Dental Medical Co., Ltd. plans to launch an IPO between June 30 and July 4, 2025, aiming to issue 10.8618 million H-shares at a price range of HKD 20.0 to 21.4 per share, with trading expected to start on July 9, 2025 [1] Group 1: Company Performance - Dazhong Dental ranked first among private dental service providers in Central China by revenue in 2023, holding a market share of approximately 2.6% [1][2] - Revenue for the years 2022, 2023, and 2024 was CNY 409 million, CNY 442 million, and CNY 407 million, respectively, with net profits of CNY 56.45 million, CNY 67.04 million, and CNY 62.50 million, indicating a decline in both revenue and profit in 2024 [2][3] - The average spending per patient decreased to CNY 544 in 2024, reflecting pressure on customer visits and spending [1][2] Group 2: Service Offerings - The company provides comprehensive dental services, dental implant services, and orthodontic services, with revenue contributions of 51.9%, 28.5%, and 19.6% in 2022, respectively [3][4] - The number of dental institutions operated increased from 77 in January 2022 to 86 by December 2024, with plans to further expand to 92 [2] Group 3: Financial Health - Current assets totaled CNY 202 million, CNY 248 million, and CNY 122 million over the reporting period, while current liabilities were CNY 128 million, CNY 248 million, and CNY 135 million [8] - The net current liabilities increased to CNY 13.45 million in 2024, indicating rising short-term debt pressure [8][9] - The company distributed dividends of CNY 50 million in 2024, following CNY 39 million and CNY 36.6 million in the previous two years, raising market concerns [1][9] Group 4: Compliance Issues - The company faced multiple fines for compliance issues, including failure to establish proper protocols for disinfection and radiation safety, with fines ranging from CNY 900 to CNY 20,000 [10][11][12]

Core Viewpoint - Wuhan Dazhong Dental Medical Co., Ltd. is set to go public on the Hong Kong Stock Exchange, with Haitong International as its sole sponsor [1] Company Overview - Dazhong Dental is a private dental service provider focusing on Hubei and Hunan provinces, operating a growing network of dental services through a direct chain model [4] - The company holds the largest market share in the private dental service sector in Central China, accounting for approximately 2.4% of the market by revenue in 2024 [4] Business Expansion - The number of operational dental institutions increased from 77 as of January 1, 2022, to 86 by December 31, 2024, and is projected to reach 92 by June 21, 2025 [5] - The dental institutions include 4 profit-making dental hospitals, 80 profit-making dental clinics, and 8 profit-making dental practices across 8 cities in Hubei and Hunan [5] Brand Strategy - All dental institutions operate under the unified brand name "Aishang Dazhong Dental," ensuring a cohesive and strong brand image across multiple regions [5] Partner Program - The company has a partner program aimed at experienced medical professionals, which supports network expansion and maintains team stability [5][7] - As of December 31, 2024, the program has seen 37 dentists become minority shareholders in the company's dental institutions [5] Workforce and Retention - The company employs a stable and extensive team of 280 dentists as of December 31, 2024, with retention rates for dentists exceeding three years at approximately 90% [7] Service Offerings - Dazhong Dental provides comprehensive dental services, including general dentistry, dental implants, and orthodontics, catering to clients of all ages [8] Financial Performance - Revenue figures for the years 2022, 2023, and 2024 were approximately CNY 409.4 million, CNY 441.8 million, and CNY 407.1 million, respectively [8][9] - Net profits for the same years were CNY 56.5 million, CNY 67.0 million, and CNY 62.5 million, respectively [8][9]