Core Viewpoint - Shanghai Able Digital Science & Tech Co., Ltd. (卓越睿新) is preparing for an IPO on the Hong Kong Stock Exchange, aiming to leverage its position as a leading provider of digital education solutions for higher education institutions in China [3]. Business Overview - Established in 2008, the company focuses on developing, delivering, and operating digital education content and services, covering all critical aspects of education such as teaching, learning, assessment, and management [3]. - The company has delivered over 44,000 digital education content products and ranks first among the top five players in China's higher education digitalization market by revenue [3][7]. Client Base - The primary clients of the company are higher education institutions, including universities, colleges, and vocational schools, with 251 customer service centers across 95 cities in China [4]. Revenue Sources - Revenue is mainly derived from digital teaching content services and products, including digital course development, knowledge graph development, and virtual simulation development [5]. - The company has seen significant growth in digital course development, with 12,304 courses delivered in 2024 and 3,540 in the first half of 2025 [5]. Market Position - The company holds a 4.0% market share in the Chinese higher education digitalization market and a leading 7.3% share in the digital teaching content production market [7]. Financial Performance - The company's revenue for the years 2022, 2023, 2024, and the first half of 2025 was RMB 400 million, RMB 653 million, RMB 848 million, and RMB 275 million respectively, with net profits of RMB -59 million, RMB 81 million, RMB 105 million, and RMB -99 million [15][16]. Shareholder Structure - The major shareholders include Wang Hui and Ge Xin, who collectively hold 38.44% of the company, with other notable shareholders being Sina and Baidu [10][11]. Management Team - The board consists of 9 members, including 3 executive directors and 3 independent non-executive directors, with Wang Hui serving as the chairman [12][14]. IPO Advisory Team - The IPO advisory team includes Agricultural Bank of China International as the sole sponsor and PwC as the auditor, among others [17].

Company Overview and Market Position - Shanghai Zhuoyue Ruixin Digital Technology Co., Ltd. (hereinafter referred to as "Zhuoyue Ruixin") is a well-known provider of digital solutions for higher education in China, focusing on the development, delivery, and operation of digital educational content and teaching scenarios [1][4] - In 2023, Zhuoyue Ruixin ranked second in China's higher education digital teaching market with a market share of 3.4%, and first in the digital teaching content production market with a market share of 6.2% [1][4] Business Scope and Competitive Advantages - The company operates in two main categories: digital teaching content services and products, and digital teaching environment services and products [2][5] - As of 2024, Zhuoyue Ruixin has developed over 31,000 digital courses covering 12 recognized subject categories and 92 majors, with 627 courses rated as national first-class undergraduate courses [5] Financial Performance - Zhuoyue Ruixin's revenue grew rapidly from 400 million RMB in 2022 to 653 million RMB in 2023, representing a growth rate of 63.2%, and is projected to further increase to 848 million RMB in 2024, with a growth rate of 29.9% [2][6] - The company transitioned from a net loss of 59.1 million RMB in 2022 to a net profit of 81.4 million RMB in 2023, with further growth to 105 million RMB in 2024 [6] - Gross margin improved significantly from 44.1% in 2022 to 60.7% in 2023, and is expected to reach 61.9% in 2024 [6] Key Risks and Challenges - Zhuoyue Ruixin faces pressure from rapid technological advancements in the digital education market, necessitating continuous investment in research and development to maintain competitiveness [3][7] - The company's debt burden has increased, with the debt-to-asset ratio rising from 6.2% in 2022 to 16.4% in 2024, indicating financial risk [3][7] - The company recorded an operating cash outflow of 9.526 million RMB in 2024, highlighting challenges in cash flow management due to timing mismatches between revenue recognition and cash collection [3][7] Summary - Zhuoyue Ruixin is a leading enterprise in China's digital teaching solutions for higher education, experiencing rapid growth while facing challenges related to technological updates and financial risks [8]