Core Viewpoint - Three Squirrels, a leader in the snack food industry, has submitted its prospectus to the Hong Kong Stock Exchange, aiming to become the first snack food company listed on both A-shares and H-shares [1] Company Overview - Founded in 2012 by Zhang Liaoyuan, Three Squirrels capitalized on the booming e-commerce sector, particularly in the emerging snack e-commerce market, using a unique "online marketing + offline OEM" model to establish brand recognition [1] - The company successfully went public on the A-share market in 2019, achieving a market capitalization of over 80 billion yuan on its first trading day with an initial share price of 14.68 yuan [1] - At its peak, the share price reached 90.87 yuan, with a total market value exceeding 360 billion yuan [1] - Zhang Liaoyuan's personal wealth surged to 111.7 billion yuan in 2019, making him the 235th richest person in China according to Forbes [1] Shareholding Structure - As of the upcoming IPO in Hong Kong, Zhang Liaoyuan directly holds 40.37% of the company's shares and an additional 1.67% indirectly through Liao Yuan Investment, totaling 42.04% control [2] Market Challenges - The snack industry is facing increasing competition, leading to severe product homogenization and intensified price competition, which has pressured Three Squirrels' market share [2] - In response, the company launched a "high-end cost-performance" strategy at the end of 2022, which included significant price reductions and increased investment in new product development [2] Financial Performance - The company's revenue projections for 2022 to 2024 are as follows: 72.93 billion yuan in 2022, 71.15 billion yuan in 2023, and 106.22 billion yuan in 2024, indicating a recovery back to the "100 billion club" in 2024 [2] - Gross profit figures for the same period are projected at 19.13 billion yuan, 16.15 billion yuan, and 25.26 billion yuan, with corresponding gross margins of 26.2%, 22.7%, and 23.8% [2] - Net profits are expected to rise from 1.29 billion yuan in 2022 to 4.08 billion yuan in 2024 [2] Product Development - By the end of 2024, Three Squirrels will have over 1,000 standard product units (SPUs) and plans to launch more than 600 new SPUs across various categories, including snacks, baked goods, and meat products [3] - The company has evolved from a single nut category to become the largest Chinese snack food enterprise, with the fastest growth rate among the top five companies in the industry based on compound annual growth rate from 2022 to 2024 [3]