Core Insights - The article highlights the emergence of the "Guzi Economy" in China, particularly focusing on the collectible card market, which is entering a 2.0 phase characterized by asset collection. Suplay, a company specializing in high-end collectible cards, has submitted its listing application to the Hong Kong Stock Exchange, revealing significant growth potential in this emerging sector [1]. Company Overview - Suplay was founded in 2019 by Huang Wanjun, who previously worked at Huaxing Capital and co-founded Modian. Initially targeting the secondary market for blind box products, the company pivoted in 2020 to focus on the adult collectible card market, launching its own brand "Kakawo" [2]. - Kakawo differentiates itself from traditional trading cards aimed at children by focusing on high-end collectible cards priced over 10 yuan each, incorporating complex craftsmanship and collaborating with international grading institutions like PSA [2]. Market Position - As of 2024, Kakawo is the leading brand in China's collectible non-battle card market, holding a market share greater than the combined total of its second and third competitors. It is also the only Chinese brand among the top five globally [2]. - The popularity of Kakawo is evident, with specific cards, such as the Kakawo x CLOT 600% art collectible card, being sold for as high as 19,939 yuan, indicating strong demand and market interest [2]. Financial Performance - Suplay's revenue from its collectible card business has surged, with projections showing an increase from 146 million yuan in 2023 to 281 million yuan in 2024. By the first three quarters of 2025, revenue reached 283 million yuan, surpassing the total for the previous year [7]. - The adjusted net profit is expected to rise from a marginal profit in 2023 to 86.42 million yuan in the first three quarters of 2025, achieving a net profit margin close to 30% [7]. Growth Drivers - The company's growth is heavily reliant on a strong portfolio of IP licenses, including major global brands like Disney and Harry Potter, as well as exclusive licenses from significant shareholders like miHoYo, which includes popular game IPs such as Genshin Impact [7]. - The collectible card business contributes over 70% of Suplay's total revenue, showcasing the profitability of its business model [7]. Challenges and Risks - Despite its success, Suplay faces challenges, including a significant dependency on IP licenses, with proprietary IP revenue dropping to 4.1%. The company's core profits are closely tied to top-tier IP licenses [8]. - The reliance on distributor channels limits direct-to-consumer control, and as the company scales, the risk of inventory impairment is increasing [8]. Industry Outlook - The Chinese pan-entertainment card market is projected to reach 50 billion yuan by 2027, indicating a robust growth trajectory for the sector [14]. - Suplay has successfully carved out a niche in a market traditionally dominated by children's products, targeting adult collectors aged 18-35 with a unique blend of emotional value, collectible craftsmanship, and market liquidity expectations [14].

Investment Rating - The investment rating for the social services industry is "Positive" (maintained) [1] Core Insights - The report highlights the robust growth in domestic tourism during the New Year holiday, with 142 million domestic trips taken, representing a 5.2% increase compared to 2024. Total spending reached 84.789 billion yuan, up 6.3% year-on-year [14] - Suplay Inc. has submitted its listing application to the Hong Kong Stock Exchange, focusing on high-end collectible non-combat IP cards, with a significant revenue increase of 40% year-on-year [21][22] - Meitu is transitioning to an AI Agent model, with plans to establish a venture capital fund of 10 million yuan to encourage employee entrepreneurship, aiming to enhance product innovation efficiency [40][46] - The sports fashion sector is experiencing rapid growth in China, with Lululemon's revenue in the mainland increasing by 46% year-on-year, reflecting a shift in consumer attitudes towards health and lifestyle [47][50] - Retail giants Hema and Sam's Club are entering an accelerated expansion phase, with Hema's revenue expected to grow by over 40% in 2025, and Sam's Club projected to exceed 140 billion yuan in sales, also showing strong online performance [61][63] Summary by Sections Domestic Tourism - During the New Year holiday, domestic travel reached 142 million trips, a 5.2% increase from 2024, with total spending of 84.789 billion yuan, up 6.3% year-on-year. Hainan's tourism market is thriving post-border closure, with significant increases in airport passenger traffic [14][19] Collectible IP Cards - Suplay Inc. focuses on high-end collectible non-combat IP cards, with a revenue of 283 million yuan in the first three quarters of 2025, a 40% increase year-on-year. The company leads the domestic market in collectible cards [21][22][38] AI Transformation - Meitu is shifting towards an AI Agent model, planning to set up a venture fund to foster innovation. The company aims to enhance its product offerings and operational efficiency through this transformation [40][46] Sports Fashion - Lululemon's revenue in China surged by 46% year-on-year, indicating a growing trend where clothing reflects lifestyle choices. The brand has expanded its presence with 175 stores in the region [47][50] Retail Expansion - Hema is set to open nearly 100 new stores in 2026, with a revenue growth of over 40% expected. Sam's Club is also expanding, with sales projected to surpass 140 billion yuan, driven by strong same-store sales and online growth [61][63]

Core Viewpoint - Suplay, a global IP collectibles and consumer products company, has submitted its IPO application to the Hong Kong Stock Exchange, aiming to list on the main board. The company is known for its flagship brand "Kaka Wo," which holds a pioneering and leading position in China's collectible card market [1]. Group 1: Company Overview - Suplay integrates globally recognized IP into its product lines and aims to introduce Chinese culture to the world through carefully selected products [1]. - The company focuses on high-end collectible cards, with individual card prices exceeding RMB 10, employing a limited issuance strategy [1]. Group 2: Market Position - According to Frost & Sullivan, Suplay ranks first in China's collectible non-combat card market by GMV in 2024, surpassing the combined total of the second and third-ranked companies, and is the only Chinese brand among the top five global collectible non-combat card brands [1]. Group 3: Financial Performance - The company's revenue for the years 2023, 2024, and the first three quarters of 2025 is reported as RMB 146 million, RMB 281 million, and RMB 283 million, respectively. The net profit attributable to equity shareholders for the same periods is RMB 2.949 million, RMB 49.115 million, and RMB 37.074 million [1]. Group 4: IP Resource Breakdown - Suplay's IP resources are categorized into owned IP and licensed IP. As of September 30, 2025, the company owns three main IPs: Rabbit KIKI, OHO Uncle, and Water Wave Egg. The contribution of owned IP products to total revenue is approximately 40.6%, 14.4%, and 4.1% for the years 2023, 2024, and the first nine months of 2025, respectively [2]. - In terms of licensed IP, Suplay has established licensing arrangements with 22 IP licensors, including exclusive partnerships with Hajime Sorayama and the Chinese National Ice and Snow Sports Team, as well as non-exclusive partnerships with leading global IP holders. The top five licensed IPs contributed approximately 47.8%, 61.5%, and 77.7% to the company's total revenue for the years 2023, 2024, and the first nine months of 2025, respectively [2].

Core Viewpoint - Suplay Inc. has submitted a listing application to the Hong Kong Stock Exchange, with CICC and JPMorgan as joint sponsors, indicating its intention to expand its presence in the market for IP collectibles and consumer products [1] Group 1: Company Overview - Suplay Inc. is a globally positioned company specializing in IP collectibles and consumer-grade products, integrating globally recognized IP into its product offerings [1] - The company aims to introduce Chinese culture to the world through its carefully selected products [1] Group 2: Market Position - Suplay Inc.'s flagship brand "Kakawoo" holds a pioneering and leading position in the Chinese collectible card market [1] - According to Frost & Sullivan, Suplay Inc. ranks first in the Chinese collectible non-battle card market by GMV for 2024, surpassing the combined total of the second and third-ranked competitors [1] - Suplay Inc. is the only Chinese brand among the top five collectible non-battle card brands globally [1]