Group 1 - The China Securities Regulatory Commission (CSRC) has published requirements for supplementary materials for overseas listing applications, specifically addressing the relationship between Hongxing Cold Chain and its controlling shareholders [1] - Hongxing Cold Chain has submitted its application to the Hong Kong Stock Exchange, with Jianyin International and Agricultural Bank of China International as joint sponsors [1] - The CSRC has requested clarification on the pricing basis and compliance of the newly added shareholders acquiring company shares for zero consideration [1] Group 2 - Hongxing Cold Chain is a leading integrated service platform for frozen food trading and cold storage services, with a projected transaction value of approximately RMB 40 billion in 2024, ranking second in Central China and first in Hunan Province [2] - The company's revenue for the years 2022, 2023, and 2024 was RMB 237 million, RMB 202 million, and RMB 234 million respectively, with a compound annual growth rate of -0.67%, while net profits were RMB 79 million, RMB 75 million, and RMB 83 million, with a compound annual growth rate of 2.35% [2] - The increase in revenue is attributed to the completion and operation of cold storage facilities from the fifth phase project and an increase in rental prices for stores [2]

Core Viewpoint - Hongxing Cold Chain (Hunan) Co., Ltd. is preparing for an IPO on the Hong Kong Stock Exchange amid challenges such as increasing vacancy rates and stagnant revenue growth [1][2]. Company Overview - Hongxing Cold Chain is the largest frozen storage service provider in Hunan Province, established in 2006 and headquartered in Changsha [2][3]. - The company’s main business is frozen storage services, followed by leasing services [2]. Financial Performance - From 2022 to 2024, Hongxing Cold Chain reported revenues of 237 million yuan, 202 million yuan, and 234 million yuan, with a compound annual growth rate (CAGR) of approximately -0.64% [3]. - Net profits for the same period were 79.11 million yuan, 75.31 million yuan, and 82.88 million yuan, with a CAGR of only 2.35% [3]. - The company’s total cold storage vacancy rate increased from 3.3% in 2022 to 11.9% in 2024, with the northern frozen storage base reaching a vacancy rate of 32.2% in 2024 [2][7]. Dividend Policy - Hongxing Cold Chain distributed 84.39% of its net profits as dividends over the past three years, with a particularly high dividend payout ratio of 168.9% in 2024 [3][5]. - The company’s major shareholder, Hongxing Industrial Group, holds 58.25% of the shares, controlling a total of 70.97% of the issued share capital [4]. Research and Development - The company’s R&D expenditure from 2022 to 2024 totaled only 2.675 million yuan, representing a minimal investment in innovation compared to competitors [6][8]. - In contrast, major national cold chain logistics companies like JD Logistics and SF Express invested 2.534 billion yuan and 3.571 billion yuan in R&D, respectively, indicating a significant gap in technological advancement [8]. Market Challenges - The cold chain logistics industry is facing intense price competition, with rental rates for storage services declining [2][7]. - The company’s southern cold storage base saw a decrease in utilization rates, attributed to increased capacity and strategic pricing to attract new customers [7]. - The overall market environment poses a long-term challenge for Hongxing Cold Chain to maintain its market position and seek growth opportunities [8].

Summary of Key Points Core Viewpoint - The article provides an overview of the recent IPO activities in the Hong Kong stock market, highlighting the companies that have submitted applications, passed hearings, and are in the process of going public. Group 1: Companies Submitting Applications - Demy Pharmaceutical Co., Ltd. submitted an application to the Hong Kong Stock Exchange, focusing on skin health with projected revenues of approximately RMB 3.84 billion, RMB 4.73 billion, and RMB 6.18 billion for 2022, 2023, and 2024 respectively, while incurring losses of RMB 55.17 million, RMB 4.70 million, and RMB 106 million [4] - Zhongwei New Materials Co., Ltd. submitted its prospectus, specializing in new energy battery materials with revenues projected at RMB 30.34 billion, RMB 34.27 billion, and RMB 40.22 billion for 2022, 2023, and 2024 respectively, and net profits of RMB 1.54 billion, RMB 2.10 billion, and RMB 1.79 billion [4] - Hehui Optoelectronics submitted an application, ranking second globally in AMOLED semiconductor display panel manufacturing, with revenues of approximately RMB 4.19 billion, RMB 3.04 billion, and RMB 4.96 billion for 2022, 2023, and 2024, and losses of RMB 1.60 billion, RMB 3.24 billion, and RMB 2.52 billion [5] - Suzhou Rebo Biotechnology Co., Ltd. submitted its listing application, currently having six self-developed siRNA drugs in clinical trials, with projected net losses of RMB 437 million and RMB 282 million for 2023 and 2024 [6] - Naxin Microelectronics submitted an application, ranking fifth in China's analog chip market, with revenues of RMB 1.67 billion, RMB 1.31 billion, and RMB 1.96 billion for 2022, 2023, and 2024, and profits of RMB 250 million, losses of RMB 305 million, and losses of RMB 403 million [7] - Guanghetong Wireless Co., Ltd. submitted its prospectus, being the second-largest wireless communication module provider globally, with revenues of RMB 5.20 billion, RMB 5.65 billion, and RMB 6.97 billion for 2022, 2023, and 2024, and net profits of RMB 365 million, RMB 565 million, and RMB 677 million [8] - Hongxing Cold Chain (Hunan) Co., Ltd. submitted its application, ranking second in frozen food trading services in Central China, with revenues of RMB 237 million, RMB 202 million, and RMB 234 million for 2022, 2023, and 2024, and net profits of RMB 79 million, RMB 75 million, and RMB 83 million [9] - Three Squirrels submitted a listing application, being the largest online nut snack enterprise in China, with revenues of RMB 7.29 billion, RMB 7.12 billion, and RMB 10.62 billion for 2022, 2023, and 2024, and net profits of RMB 129 million, RMB 220 million, and RMB 408 million [10] Group 2: Companies Passing Hearings - Junda Co., Ltd. passed the hearing, being a leading photovoltaic cell manufacturer with projected revenues of RMB 11.09 billion, RMB 18.61 billion, and RMB 9.92 billion for 2022, 2023, and 2024, and net profits of RMB 821 million, RMB 816 million, and losses of RMB 591 million [11] - Green Tea Group Limited passed the hearing, ranking third in the number of restaurants and fourth in revenue among casual Chinese restaurant brands in mainland China, with revenues of RMB 2.38 billion, RMB 3.59 billion, and RMB 3.84 billion for 2022, 2023, and 2024, and profits of RMB 17 million, RMB 296 million, and RMB 350 million [12] - Shanghai Auntie passed the hearing, being the fourth largest fresh tea drink network in China, with revenues of RMB 2.20 billion, RMB 3.35 billion, and RMB 3.29 billion for 2022, 2023, and 2024, and net profits of RMB 149 million, RMB 388 million, and RMB 329 million [13]