Core Viewpoint - The company Huaxida is refocusing its IPO efforts from the Beijing Stock Exchange to the Hong Kong Stock Exchange, aiming to enhance its market position in the smart home sector and leverage AI technology for product development and global expansion [1][3]. Group 1: Company Overview - Huaxida specializes in smart home solutions for enterprise clients, focusing on the application of AI technology in home environments. Its revenue primarily comes from hardware sales, including digital video and network communication devices [3][4]. - The company's smart home solutions create a comprehensive ecosystem for managing smart devices, with major clients including global telecom operators, trading companies, and electronics retailers [3]. Group 2: Financial Performance - The financial data indicates that Huaxida's revenue for 2022, 2023, and 2024 is approximately 2.529 billion, 2.367 billion, and 2.541 billion yuan, respectively. Net profits for the same years are 251 million, 191 million, and 137 million yuan, showing a decline of over 23% in 2023 and over 28% in 2024 [3][4]. - The decline in 2023 is attributed to increased R&D costs, while the drop in 2024 is due to reduced gross margins and rising sales, marketing, and administrative expenses [3]. Group 3: Market Focus and Revenue Sources - Huaxida's business revenue is predominantly from overseas markets, with sales in Europe, America, and Asia. Revenue from international markets for 2022, 2023, and 2024 is approximately 2.453 billion, 2.269 billion, and 2.406 billion yuan, accounting for 97.0%, 95.8%, and 94.7% of total revenue, respectively [4]. - The company's gross margin peaked at 21.1% in 2023 but is projected to decline to 19.0% in 2024 and further to 17.6% in the first half of 2025, primarily due to decreasing margins on digital video devices and fluctuations in raw material prices [4]. Group 4: IPO Journey - Huaxida was listed on the New Third Board in May 2014 and later withdrew its application for listing on the Beijing Stock Exchange in January 2024, redirecting its focus to the Hong Kong Stock Exchange [5][6]. - The company faced scrutiny from the Beijing Stock Exchange regarding the sustainability of its revenue growth and the authenticity of its sales figures, which contributed to its decision to withdraw the listing application [6].