Core Viewpoint - The focus of capital markets is shifting from GPU chips to the underlying support systems as AI computing power becomes a core asset of global infrastructure. Hangzhou Boke Electronics Co., Ltd. has submitted its IPO application to the Hong Kong Stock Exchange during a period of rapid expansion in AI computing infrastructure, aiming to transform from an industry leader to a global giant [1][8]. Group 1: Company Overview - Boke Electronics specializes in providing efficient and reliable power conversion solutions for high-performance computing servers and energy storage systems (ESS), and is the largest supplier of high-performance computing server power supplies in China by revenue in 2024 [1][2]. - The company has achieved significant revenue growth, with projected revenues of 2.61 billion yuan in 2023, 5.56 billion yuan in 2024, and 7.51 billion yuan in the first nine months of 2025, reflecting a year-on-year growth rate of 112.8% in 2024 and 126.2% in the first nine months of 2025 [2][3]. Group 2: Market Dynamics - The global market for high-performance computing server power supplies is expected to reach approximately 54.8 billion yuan in 2024, with a compound annual growth rate (CAGR) exceeding 180% globally and 160% in mainland China from 2021 to 2024 [2]. - Boke Electronics has a strong engineering capability and customer loyalty, which forms a protective moat against market fluctuations, despite the inherent risks associated with reliance on continuous high-intensity expansion in computing power [4][6]. Group 3: Product and Technology - The product line includes liquid cooling, high-density CRPS, and high-end models compliant with OCP standards, with over 50% of power supplies shipped being liquid-cooled designs by September 30, 2025 [3]. - The company’s high-performance products can meet single-machine rated power of over 3000 watts, with some samples achieving a full-load efficiency of 97.5%, significantly reducing electricity and cooling costs for clients [3]. Group 4: Customer Diversification - Boke Electronics has reduced its dependency on its largest customer, Shenzhen Bit Micro Group, with sales to this client accounting for 89.9% of total revenue in 2023, dropping to 51.1% in 2024, and further to 23.5% in the first nine months of 2025 [6]. - The company has successfully entered the markets of cloud service providers, leading server manufacturers, and globally recognized energy storage brands, with revenue from outside mainland China increasing from 1.5% in 2023 to 34.8% in the first nine months of 2025 [6][7]. Group 5: Future Growth and Strategy - Boke Electronics plans to use IPO proceeds to enhance R&D capabilities, upgrade smart manufacturing facilities, and expand its global supply chain, including establishing a new R&D center in Hangzhou and expanding its AI computing and microgrid R&D team [7]. - The company aims to integrate energy efficiency improvements of approximately 15% into its power conversion systems for computing centers, positioning itself at the forefront of the "computing + energy" trend [7].

Group 1: Market Opportunities and Company Positioning - The integration of "computing power + energy" is seen as a strategic opportunity, driven by the rapid growth of AI and data centers, leading to increased demand for power distribution equipment [3] - The company aims to transition from a supplier of equipment and services to an integrated solution provider and ultimately an energy supplier, leveraging over 20 years of experience in high-voltage power systems [3][4] Group 2: Core Competencies and Competitive Advantages - The company’s core advantage lies in its ability to integrate high-voltage power systems and power electronics, providing comprehensive solutions from grid access to end-user energy conversion [4] - The company employs an EPCO model to offer full lifecycle services, significantly reducing project construction time and investment costs [4][5] Group 3: Research and Development Plans - The company plans to commercialize its first 110kV integrated solution for data centers by 2026 and aims to complete the commercialization of fully self-developed solutions by 2027 [5] - The SST project is currently in the technology development phase, with expectations to launch products that achieve over 98% energy conversion efficiency [5][6] Group 4: Performance and Market Presence - The company has established partnerships with major data center operators, including China Mobile and Tencent, providing various power solutions such as modular substations and power modules [7] - The company has successfully delivered equipment for several high-profile projects, enhancing its reputation in the data center sector [7] Group 5: Long-term Strategic Goals - The company aims to become a global leader in the new power system and intelligent computing infrastructure sectors, focusing on energy digitalization and computing power infrastructure [8] - The strategic development path includes three phases: integrating modular substations with SST, becoming a leading integrated solution provider, and transitioning to an energy supplier model [8]