Core Viewpoint - Zhongqi Yunlian Co., Ltd. is seeking to list on the Hong Kong Stock Exchange for the second time, aiming to raise funds primarily for enhancing core technology, infrastructure, marketing capabilities, and international market expansion [1] Company Overview - Established in 2015, Zhongqi Yunlian is an independent digital financial platform that connects various stakeholders in the industrial financial supply chain [1] - The company ranks first in China's industrial digital financial platform market with a market share of 12.9% based on total financing obtained in 2024 [1][2] Financial Performance - The company reported a gross profit margin of 96% and has shown continuous revenue growth, with revenues of 6.52 billion, 8.79 billion, and 9.91 billion yuan from 2022 to 2024 [4][5] - The main revenue drivers are the cloud credit services, which contributed 79.1%, 85.0%, and 88.5% of total revenue during the same period [3] Business Segments - Zhongqi Yunlian operates three main business segments: rights confirmation and factoring services, scenario digital business, and other ecological businesses [2] - The cloud credit services are the primary revenue source, while scenario digital business has also shown growth, contributing 4.6%, 7.3%, and 7.0% of total revenue from 2022 to 2024 [3] Key Operational Metrics - The financing rates during the reporting period were 72.6%, 71.6%, and 72.0%, with core enterprise retention rates of 88.5%, 86.0%, and 87.8% [4] - The company experienced fluctuations in cash flow, with net cash flow from operating activities recorded at -1.307 billion, 88.48 million, and 26.27 million yuan [7] Cost Structure - Sales and marketing expenses accounted for over 40% of total revenue during the reporting period, indicating significant investment in market promotion and business development [6] - Research and administrative expenses were also substantial, comprising 18.2%, 17.7%, and 17.4% of total revenue [6] Shareholder Structure - Liu Jiangsheng holds a 64.79% partnership interest in Yunding Assets, which is the largest shareholder group of Zhongqi Yunlian [8] Legal and Regulatory Issues - As of June 19, 2023, Zhongqi Yunlian was involved in nine legal cases, including contract disputes and trademark infringement [8]

Core Viewpoint - Zhongqi Yunlian Co., Ltd. is making a second attempt to go public on the Hong Kong Stock Exchange, supported by clearer regulatory guidelines for supply chain finance, which have shifted from cautious observation to active guidance and regulation [1][2]. Financial Performance - Zhongqi Yunlian has shown steady growth in revenue and net profit from 2022 to 2024, with revenues of 652 million, 879 million, and 991 million RMB, and corresponding net profits of 45.7 million, 152 million, and 157.5 million RMB [2][9]. Business Model and User Growth - The company operates an independent digital financial platform that connects supply chain data, facilitating financing needs for enterprises. User numbers on the platform have grown significantly, from approximately 230,000 in 2022 to 556,000 in 2024 [3][4]. Market Position - According to Frost & Sullivan, Zhongqi Yunlian ranks first in China's digital financial platforms with a market share of 12.9% as of 2024. The company has also surpassed 1 trillion RMB in confirmed accounts receivable, reaching over 2 trillion RMB within 20 months [4][10]. Revenue Composition - The company's core business segments include rights confirmation and factoring, digital scene business, and other ecological businesses. The rights confirmation and factoring business accounted for over 91% of total revenue from 2022 to 2024, with electronic voucher services being the primary revenue driver [4][5][6]. Profitability and Cost Structure - Zhongqi Yunlian has improved its gross margin from 87.7% in 2022 to 95.9% in 2024, primarily due to a shift towards higher-margin digital services. However, the company faces challenges with high sales and marketing expenses, which accounted for approximately 42% of total revenue in recent years [6][9]. Competitive Landscape - The company faces increasing competition from bank-affiliated platforms and state-owned enterprises that are developing their own supply chain finance platforms. This competition could pressure Zhongqi Yunlian's market share if it cannot differentiate its services [8][10]. Regulatory Environment - Recent regulatory changes require adjustments in accounts receivable payment terms, which may impact the company's performance. The company must adapt to these new compliance requirements to maintain its market position [10][11]. Industry Growth Potential - The independent digital enterprise confirmation platform market in China is projected to grow from 1.4 trillion RMB in 2022 to 6.6 trillion RMB by 2027, with a compound annual growth rate of 36.7%. As a market leader, Zhongqi Yunlian is well-positioned to benefit from this growth [10].

Core Viewpoint - Zhongqi Yunlian Co., Ltd. has submitted its prospectus to the Hong Kong Stock Exchange for the second time after an initial failure in October 2023, aiming to address challenges in supply chain finance through its digital financial platform [1] Company Background - Established in 2015, Zhongqi Yunlian is a mixed-ownership enterprise controlled by state-owned enterprises, initiated by China CRRC and involving multiple central and local state-owned enterprises and financial institutions [2] - The company utilizes blockchain and big data technologies to create an "N+N+N" ecosystem, linking core enterprises, chain enterprises, and financial institutions [2] - The largest shareholder is the employee stock ownership platform, Yunding Assets, holding 23.11% of shares, while other institutional investors hold a combined 20.73% [2] Business Performance - The core revenue sources are rights confirmation and factoring services, contributing 65.7%, 55.0%, and 55.2% of revenue from 2022 to 2024, with "Yunxin" services increasing from 79.1% to 88.5% during the same period [2][5] - The user base of the Yunlian platform grew from 230,434 to 556,588 from 2022 to 2024, covering 98% of China's municipalities [3] - The platform's core enterprise retention rates were 88.5%, 86.0%, and 87.8% over the same period [3] Market Position - According to Frost & Sullivan, Zhongqi Yunlian is the largest digital accounts receivable rights confirmation platform in China, holding a market share of 29.5% in confirmed accounts receivable and 32.6% in financing amounts as of 2024 [3][4] - The company has been recognized in the KPMG China Fintech 50 for four consecutive years [3] Financial Overview - Revenue increased from RMB 652.27 million in 2022 to RMB 991.01 million in 2024, with net profit rising from RMB 46.85 million to RMB 157.48 million during the same period [5][6] - The proportion of sales expenses relative to revenue was 46.7%, 42.7%, and 42.3% from 2022 to 2024, indicating high investment in sales despite user growth [8] Risks and Concerns - The high concentration of revenue from the "Yunxin" service raises concerns about income stability if core enterprises shift to self-built platforms or if market competition intensifies [5][7] - The company's current liabilities surged from RMB 482 million in 2022 to RMB 1.074 billion in 2024, indicating increased debt pressure [7][8]

Core Viewpoint - Zhongqi Yunchain Co., Ltd. has submitted an application for listing on the Hong Kong Stock Exchange, aiming to capitalize on its leading position in China's digital financial platform market, with a projected market share of 12.9% in 2024 [1][3]. Company Overview - Zhongqi Yunchain is recognized as a leading independent digital financial platform in China, facilitating interactions among various stakeholders in the industrial financial supply chain [3]. - The company ranks first in both the amount of receivables confirmed and total financing obtained among all digital receivables confirmation platforms in China, with market shares of 14.2% and 15.0% respectively for 2024 [3]. Market Position - In 2024, Zhongqi Yunchain is projected to be the largest independent digital receivables confirmation platform in China, with market shares of 29.5% and 32.6% for confirmed receivables amount and total financing respectively [3]. - As of May 2023, the platform became the first independent digital receivables confirmation platform to exceed 1 trillion RMB in cumulative confirmed receivables, reaching 2 trillion RMB in less than 20 months by January 2025 [3]. Business Segments - The company's operations are divided into three main segments: receivables confirmation and factoring, scenario digital business, and other ecosystem services, with the receivables confirmation and factoring segment being the primary source of revenue [3]. User Growth - The number of users on the Yunchain platform has shown significant growth, increasing from 230,434 in 2022 to a projected 556,588 by December 31, 2024 [4]. - As of April 29, 2025, the platform registered 624,384 users, including 7,338 core enterprises and 3,857 financial institutions [5]. Financial Performance - The company's main business revenue and income for the fiscal years 2022, 2023, and 2024 were approximately 652.67 million RMB, 879.65 million RMB, and 991 million RMB respectively, with net profits of approximately 46.0 million RMB, 152.0 million RMB, and 157.0 million RMB [5][6]. - The gross profit margin improved from 87.7% in 2022 to 93.4% in 2023, indicating enhanced operational efficiency [6].