Core Viewpoint - The China Securities Regulatory Commission (CSRC) has requested supplementary materials from Xin'ao Gas Co., Ltd. regarding its Hong Kong IPO, focusing on the impact of pledged shares by controlling shareholders and foreign investment compliance [1][4][5]. Company Overview - Xin'ao Gas is the largest private natural gas company in China, covering the entire natural gas industry chain, including sales, engineering, infrastructure, and energy production [5]. - The company provides a full range of services, including natural gas retail, platform trading, and wholesale [5]. Market Position - According to Frost & Sullivan, the Chinese natural gas industry is relatively concentrated, with the top five city gas companies collectively retailing approximately 135.5 billion cubic meters of gas in 2024, accounting for about 31.7% of the total market share [5]. - Among the top five city gas companies, Xin'ao Gas is the largest private enterprise and ranks third in retail gas volume with a market share of approximately 6.1% in 2024 [5]. Financial Performance - Xin'ao Gas reported revenues of RMB 150.02 billion, RMB 141.11 billion, and RMB 134.95 billion for the years 2022, 2023, and 2024, respectively [6]. - The annual profits for the same years were RMB 11.07 billion, RMB 12.53 billion, and RMB 9.94 billion [6]. - The gross profit margins for the years 2022, 2023, and 2024 were 13.6%, 13.1%, and 13.6%, respectively [6].