Core Insights - The article highlights the significant growth and market position of Yunzhisheng, an AI pioneer that recently went public on the Hong Kong Stock Exchange, with its stock price increasing over 72% and market capitalization exceeding HKD 29 billion [1] Group 1: Company Overview - Yunzhisheng was established in 2012 and has demonstrated a robust growth trajectory, focusing on smart living and intelligent healthcare as dual drivers of its business [1] - The company has expanded its client base from 373 in 2022 to 411 in 2024, achieving a compound annual growth rate of 5%, with 82% of new clients being industry leaders or public welfare projects [5] Group 2: Life AI Sector - In the life AI sector, Yunzhisheng empowers daily life through technology, creating benchmark cases to validate its technological value and achieve scalable applications [2] - The company’s life solutions revenue share increased from 32% to 39%, becoming the second-largest revenue source [5] Group 3: Healthcare AI Sector - In the healthcare AI sector, Yunzhisheng has developed intelligent medical solutions that cover various aspects such as medical record quality control and risk prediction, significantly enhancing the efficiency of traditional medical quality control methods [5] - The company’s smart medical solutions have been deployed in 400 hospitals, with over 700 more in testing phases, maintaining a top-three market share in the electronic medical record segment [7]

Company Overview - Yunzhisheng, established in 2012, focuses on IoT artificial intelligence with proprietary intellectual property, initially starting with smart voice technology and later proposing the "cloud-end-chip" architecture to reduce AI deployment costs [1] - The company shifted from consumer hardware to enterprise solutions in 2016 and began its large model transformation journey in 2021, emphasizing the development and application of the "Shanhai Model" [1] - Its products cover smart living (home, automotive, etc.) and smart healthcare, serving over 500 partners [1] IPO Information - IPO date: June 20-25, 2025, with listing on June 30 [2] - Offering price: HKD 165-205 per share, with an entry fee of HKD 4,141.35 (20 shares) [2] - Fundraising amount: Up to HKD 320 million, with a free float of approximately HKD 210 million after cornerstone investors [2] - Green shoe option: 15% over-allotment (234,140 shares), with CICC as the stabilizing agent [2] - Cornerstone investors include SensePower Management Limited and others, accounting for 32.86% [2] - Sponsors: CICC and Haitong [2] - Margin ratio: 22 times [2] Financial Performance - Revenue: 80% from living AI solutions, with the remainder from medical AI solutions, primarily from domestic sources [3] - Living business shows steady growth with a 3-year CAGR of +24%, with key clients including major insurance groups and Shenzhen Metro [3] - AI chip sales increased from 12.8 million in 2022 to 36 million in 2024 [3] - Medical business is the fastest-growing segment with a 3-year CAGR of +32%, increasing client base to 166 in 2024 [3] - Gross margin stable around 40% over three years, slightly declining to 39% in 2024 due to increased procurement costs and lower client retention [4][5] Research and Development - R&D expenditure slightly decreased in 2023 but significantly increased to HKD 370 million in 2024, maintaining a high ratio of 39% [5] - The R&D team comprises 70% of total employees, with a growing reliance on external outsourcing for R&D [5] - The company has accumulated 512 patents and launched the "Shanhai Model" with 60 billion parameters in 2023 [8] Competitive Advantages - As the only unicorn in the AI voice sector, Yunzhisheng has differentiated itself with the "Shanhai Model" and automotive-grade chip technology [7] - The AI solutions market in China is projected to grow at a CAGR of 36.7% from 2024 to 2030 [7] - The company has a diverse product matrix across various sectors, including smart living and healthcare [9] - Customer concentration has decreased, with the largest clients contributing less to total revenue over the years [10] Investment Risks - Financial risks associated with major clients, particularly Shimao Group, which has faced liquidity issues [11] - High accounts receivable and credit risks, with receivables exceeding 50% of total assets [12] - Declining growth in living AI projects and customer retention in the medical sector [13] - Increased competition in the AI market, with a low market share of 0.6% [14] - Continuous operating losses and negative cash flow, raising sustainability concerns [15]