Group 1 - 52TOYS is a leading domestic IP toy company established in 2015, with over 100 self-owned and licensed IPs, covering various product categories including static toys, movable toys, and transforming mechas. By the end of 2024, it plans to launch over 160 SKUs and has achieved a cumulative GMV of over 1.9 billion RMB, ranking second among multi-category IP toy companies in China and third overall in the IP toy sector [1][6][24]. - The company's revenue has shown significant growth, increasing from 463 million RMB in 2022 to 630 million RMB in 2024, with a compound annual growth rate (CAGR) of 16.7%. The core revenue driver is licensed IP income, which is expected to account for 64.5% of total revenue in 2024 [2][6][34]. - 52TOYS has successfully expanded its overseas market presence, with overseas revenue growing from 35 million RMB to 147 million RMB from 2022 to 2024, reflecting a remarkable CAGR of 104.1% [2][6][48]. Group 2 - The IP derivative market is continuously expanding, with the global and Chinese markets expected to grow at CAGRs of 8.3% and 15.1% respectively from 2020 to 2024. The IP toy segment is the largest sub-category within this market [2][7][66]. - The Chinese IP toy market is still in its early development stage, with a per capita expenditure of 53.6 RMB in 2024, significantly lower than that of the US and Japan, indicating substantial future growth potential [2][7][73]. - 52TOYS employs a dual-driven strategy of self-owned and licensed IPs, with a diverse product matrix that caters to various price ranges, launching over 500 new products annually. The company has established a comprehensive sales network combining direct sales and distributors, covering both online and offline channels [3][6][39]. Group 3 - The company's adjusted net profit turned positive in 2023, reaching 32 million RMB in 2024, a year-on-year increase of 68%. This improvement is attributed to overseas market expansion, successful product launches, and effective cost control [2][6][49]. - The management team of 52TOYS is experienced and well-rooted in the industry, with key executives having extensive backgrounds in toy and IP operations, which supports the company's long-term strategic goals [2][6][55]. - The competitive landscape of the IP toy industry is becoming increasingly concentrated, with leading companies leveraging their IP reserves and full industry chain capabilities to gain market advantages [2][7][73].

Group 1 - 52TOYS, established in 2015, is a leading IP toy company in China with over 100 proprietary and licensed IPs, ranking second in multi-category IP toys and third in overall IP toys by GMV in 2024, with a cumulative GMV exceeding 190 million RMB [1][30] - The company has experienced significant revenue growth, with projected revenue increasing from 463 million RMB in 2022 to 630 million RMB in 2024, representing a compound annual growth rate (CAGR) of 16.7% [1][34] - The adjusted net profit turned positive in 2023, reaching 32 million RMB in 2024, a year-on-year increase of 68%, with a gross margin projected to improve to 40.5% [1][48] Group 2 - The global IP derivative market is expected to grow from 1,020.5 billion RMB in 2020 to 1,405.6 billion RMB in 2024, with China's market expanding from 99.4 billion RMB to 174.2 billion RMB during the same period [2][63] - The Chinese IP toy market is in its early development stage, with a projected per capita expenditure of 53.6 RMB in 2024, significantly lower than the US and Japan, indicating substantial growth potential [2][68] - The industry is driven by factors such as expanding audience, explosive IP content, emergence of quality products, and policy support, with a competitive landscape that remains fragmented, allowing for growth opportunities for 52TOYS, which holds a market share of 1.2% [2][7] Group 3 - 52TOYS employs an "IP Hub" strategy, leveraging both proprietary and licensed IPs, with a diverse product matrix that includes over 500 new products launched annually [2][16] - The company has established a comprehensive sales network that includes direct sales, distributors, and online platforms, contributing to its rapid revenue growth [1][34] - The company has a stable shareholding structure, attracting notable institutional investors, which enhances investor confidence and supports its growth strategy [1][49]

Core Viewpoint - The global economic recovery by 2025 is revitalizing the Hong Kong stock market, with the IP toy industry being a focal point for capital market attention, highlighted by 52TOYS' IPO plans and valuation of 4.273 billion RMB [1][6]. Company Overview - 52TOYS, the third-largest IP toy company in China, has adopted an "IP hub" strategy since its brand launch in 2015, focusing on diverse consumer needs and extensive product development [1][3]. - The company has launched various product lines, including blind boxes and transformable mechas, and has developed its first original IP, "Beast Box" [3][12]. - As of 2024, 52TOYS has 35 proprietary IPs and 80 licensed IPs, with a total of 2,800 SKUs and over 500 new products introduced annually [3][12]. Financial Performance - Revenue from 2022 to 2024 shows growth from 462.9 million RMB to 630.1 million RMB, with a notable increase in sales cost and a fluctuating gross margin [10][11]. - The company reported a net loss of 1.22 billion RMB in 2024, with adjusted net profits showing a gradual improvement [12]. - The revenue structure is increasingly reliant on licensed IPs, which accounted for 64.5% of total revenue in 2024, while proprietary IPs contributed only 24.5% [12]. Market Position and Challenges - Despite its growth, 52TOYS faces challenges in creating blockbuster proprietary IPs comparable to competitors like Pop Mart's MOLLY [8][12]. - The company has seen a significant shift in its distribution strategy, reducing direct stores from 19 in 2022 to 5 by early 2025, while increasing reliance on distributors [12][14]. - The competitive landscape is intensifying, particularly in overseas markets, where 52TOYS has seen over 100% CAGR in revenue since 2022 [13][14]. Strategic Partnerships - Recent strategic investments from Wanda Film and Ru Yi Holdings have increased 52TOYS' valuation and provided a 7% stake to these investors, indicating confidence in the company's growth potential [5][6]. - A strategic partnership with Wanda Film aims to leverage both companies' strengths in IP toy product development and marketing [6]. Future Outlook - The company's future success hinges on its ability to innovate and develop impactful proprietary IPs while navigating the competitive landscape of the global toy market [16][18]. - The ongoing global economic recovery is expected to enhance consumer demand for IP toys, presenting opportunities for growth [1][16].

Core Viewpoint - The Chinese collectible toy company 52TOYS has submitted its IPO application to the Hong Kong Stock Exchange, aiming to capitalize on the booming market for IP-based toys and collectibles [1][3]. Group 1: Company Overview - 52TOYS, founded in 2015, has established itself as the third-largest player in the domestic collectible toy market, with a revenue of approximately 6 billion RMB [6][11]. - The company has undergone several funding rounds, raising 1 billion RMB in 2018 and 4 billion RMB in 2021, demonstrating steady growth despite challenges such as the pandemic [6][7]. Group 2: Financial Performance - 52TOYS reported revenues of approximately 4.6 billion RMB, 4.8 billion RMB, and 6.3 billion RMB for the years 2022, 2023, and 2024, respectively, reflecting a compound annual growth rate of about 16.7% [7][8]. - The company has faced losses for three consecutive years, with a projected loss exceeding 1 billion RMB in 2024, but expects adjusted profits of 19.1 million RMB and 32.1 million RMB in 2023 and 2024, respectively [8][25]. Group 3: Market Position and Competition - As of May 27, 2023, 52TOYS has an estimated valuation of approximately 1.87 billion RMB based on a recent investment from Wanda Film, which holds a 7% stake in the company [5][3]. - The market capitalization of leading competitors, such as Pop Mart and Blok, is significantly higher, with Pop Mart valued at 313.17 billion HKD and Blok at 38.46 billion HKD [5][25]. Group 4: IP Strategy - 52TOYS generates a substantial portion of its revenue from licensed IPs, with the proportion of revenue from licensed IPs increasing from 50.2% in 2022 to 64.5% in 2024 [14][11]. - The company has developed over 30 proprietary IPs and collaborates with 85 experienced designers and 40 artists to enhance its product offerings [16][11]. Group 5: Future Plans - 52TOYS aims to expand its retail presence significantly, planning to establish over 100 self-operated stores in China and internationally within the next three to five years [26][25]. - The company is also focusing on increasing its overseas market revenue, which has grown from 7.6% in 2022 to 23.4% in 2024 [26][25].

Core Viewpoint - Wanda Film is strategically investing in the潮玩 (trendy toy) market to enhance its IP derivative business, aiming to increase non-box office revenue and reduce reliance on traditional film income [4][9][16]. Investment Details - Wanda Film's subsidiary,影时光, will acquire a 4% stake in乐自天成, while儒意星辰 will hold a 3% stake, collectively owning 7% of乐自天成 [4][2]. - The investment is part of Wanda's broader strategy to strengthen its IP derivative business and expand its IP copyright pool [4][10]. Market Context - The潮玩 market is projected to grow significantly, with the global market expected to reach $48 billion (approximately 350.4 billion yuan) by 2025, reflecting an annual growth rate of 12% [14]. - In China, the潮玩 industry is anticipated to reach 110.1 billion yuan by 2026, with a growing user base expected to exceed 49 million by 2030 [14]. Financial Performance - Wanda Film's revenue from box office sales has been declining, with a reported revenue of 12.36 billion yuan in 2024, down 15.44% from 2023 [13]. - The company's net profit turned into a loss of 949 million yuan in 2024, a significant drop of 203.05% compared to the previous year [13]. - In contrast, sales from derivative products contributed over 40% to non-box office revenue, indicating a shift towards IP-derived income sources [16]. Competitive Landscape - 52TOYS, a key player in the潮玩 market, has experience in IP collaborations and has launched successful products linked to popular franchises [7][9]. - The partnership between Wanda,儒意, and乐自天成 is seen as a strategic move to leverage their combined IP resources to enhance market presence [9][10].