Core Viewpoint - The stock performance of Rongda Technology (09881.HK) has been disappointing since its listing on June 10, 2023, with a significant decline in share price and market capitalization, contrasting sharply with other successful IPOs in the Hong Kong market [2][4][5]. Group 1: Stock Performance - Rongda Technology's stock price fell by 10.19% on July 4, 2023, closing at 9.7 HKD per share, resulting in a market capitalization of only 919 million HKD [2]. - Since its peak on the first trading day at 17.56 HKD per share, the company has experienced a cumulative decline of over 44% [4]. - The stock has dropped below its initial offering price of 10 HKD per share, marking a new low since its listing [4]. Group 2: Company Overview - Rongda Technology specializes in automatic identification and data collection (AIDC) devices and solutions, with a product range that includes printing equipment, scales, POS terminals, and PDAs [4]. - The company’s main product, printing equipment, is expected to account for nearly 70% of its revenue in 2024 [4]. - The company offers over 100 standard products that incorporate AIDC technology, IoT, cloud printing, and AI, serving various industries such as retail, education, and healthcare [4]. Group 3: Financial Performance - The company's revenue is projected to decline from 393 million RMB in 2022 to 350 million RMB in 2024, with annual profits of 37.44 million RMB, 27.60 million RMB, and 41.34 million RMB over the same period [5]. - The current dynamic P/E ratio of Rongda Technology exceeds 20, which is considered high for a traditional industry, leading to a lack of investor confidence [5]. Group 4: Legal Issues - On July 3, 2023, Rongda Technology received a civil lawsuit from Xiamen Top Electronics Co., Ltd., alleging infringement of trade secrets and seeking approximately 200 million RMB in damages [5][6]. - The lawsuit is set to be heard on July 22, 2025, and the company plans to actively defend itself against the allegations [6][8].

Core Viewpoint - Rongda Technology has successfully launched its IPO in Hong Kong, marking a significant step towards capital market engagement, with a strong oversubscription rate of 275.96 times for its public offering [1]. Company Overview - Founded in 2010, Rongda Technology specializes in AIDC devices and solutions, developing a diverse product matrix that includes specialized printers, scales, POS terminals, and PDAs, with over 100 standard models widely used across various sectors such as retail, education, and logistics [6]. - The company has established a service network covering over 30 provincial-level administrative regions in China and more than 140 countries internationally, solidifying its position in the AIDC sector [6][11]. Market Potential - The global AIDC device market is projected to grow at a compound annual growth rate (CAGR) of 10.9% from 2024 to 2028, reaching a market size of $106.7 billion by 2028, driven by trends in new retail, big data analytics, and sustainable development [7]. Technological Innovation - Rongda Technology emphasizes technological innovation, boasting a highly qualified R&D team with 123 personnel, over 85% of whom hold college degrees or higher. The company has 164 registered patents, including 21 invention patents, and has received multiple national recognitions for its technological advancements [10]. Financial Performance - In the fiscal years 2022, 2023, and 2024, Rongda Technology reported revenues of RMB 393.3 million, RMB 348.7 million, and RMB 350.1 million, respectively, with gross profits of RMB 89.9 million, RMB 85.5 million, and RMB 99.4 million, indicating stable financial performance [11][12]. - In 2024, nearly 47.1% of the company's revenue came from international markets, showcasing its diverse customer base and stable financial relationships [11]. Future Outlook - Looking ahead, Rongda Technology aims to continue its innovation-driven development approach, aligning with industry trends to provide competitive products and services, leveraging its recent capital market entry for accelerated growth opportunities [14].

Group 1: Market Performance - The Hang Seng Index rose by 1.63% to 24,181.43 points, marking a return above 24,000 points and reaching a new high since April [1][5] - The Hang Seng Technology Index increased by 2.78% to 5,433.23 points, while the National Enterprises Index gained 1.74% to 8,780.13 points, indicating a positive market sentiment [1][5] Group 2: Company Developments - Rongda Technology (HK09881) saw a significant increase of 78.80% in its dark market trading, closing at HKD 17.88, while Xinqi'an (HK02573) rose by 77.25% to HKD 33.50, reflecting strong market expectations for these companies [2] - Woan Robotics submitted its prospectus to the Hong Kong Stock Exchange, reporting revenue growth from 275 million to 610 million CNY from 2022 to 2024, with decreasing losses over the same period [3] - Yimai Sunshine's subsidiary plans to acquire 100% of Zhongya Diagnostics for a total consideration of 29.5 million CNY, which is expected to enhance its market influence in Hunan [4]

Core Viewpoint - Rongda Technology (stock code: "9881") is a leading supplier of Automatic Identification Data Capture (AIDC) devices and solutions, recently initiating its IPO process with a target listing date of June 10 on the Hong Kong Stock Exchange [1] Group 1: IPO Details - The company plans to issue 18.4 million shares globally, with a price range set between HKD 10 to 12, potentially raising up to HKD 220 million [1] - Several cornerstone investors have shown interest, committing to subscribe for a total of HKD 80.3 million in shares, including Hong Kong Lintai, Cao Ke, Lin Xiaojian, Zhongsheng Group, Li Shuhan, MainAchieve, and Wu Zhifa [1] Group 2: Financial Performance - Rongda Technology's revenue for 2022, 2023, and 2024 is reported at RMB 393.3 million, RMB 348.7 million, and RMB 350.1 million respectively, with gross profits of RMB 89.9 million, RMB 85.5 million, and RMB 99.4 million [2][3] - The company has faced cash flow challenges, holding only RMB 761,000 in cash and cash equivalents as of December 31, 2024, despite stable revenue [2] Group 3: Dividend Distribution - The company has declared dividends of RMB 5 million, RMB 35 million, and RMB 31.5 million for the years 2022, 2023, and 2024, contributing to the reduction in cash and cash equivalents [3] Group 4: Shareholding Structure - The company is primarily controlled by executive directors Xu Kaiming and Xu Kaihe, who collectively hold approximately 93% of the shares through various entities [4] - Other significant shareholders include Lin Huanan (3.29%), Yang Litai (1.38%), and others, with the control position of Xu Kaiming and Xu Kaihe expected to remain stable post-IPO [4] Group 5: Market Position and Future Outlook - Rongda Technology is recognized as a leader in the AIDC sector, with a diverse product line serving multiple industries, including retail, education, and logistics [2][4] - The company aims to leverage capital market support to enhance its R&D capabilities and market competitiveness, ultimately creating greater value for shareholders [4]