Core Viewpoint - Transsion Holdings, known as the "King of Africa," is seeking new growth opportunities amid pressure on its mobile phone business, including the establishment of a new electric two-wheeler division to expand into related markets [3][4][10]. Group 1: Business Expansion - Transsion has formed a new mobility division to explore electric two-wheeler business, focusing on rapid deployment in Africa and other developing countries [4][5]. - The company has been testing electric two-wheeler projects in South Asia and Africa for nearly three years, with plans to launch products under the brand "Revoo" [9][5]. - Transsion is actively recruiting for positions related to electric motorcycles, indicating a serious commitment to this new venture [6][9]. Group 2: Financial Performance - In 2024, Transsion reported revenue of 68.72 billion yuan, a year-on-year increase of 10.31%, while net profit was 5.55 billion yuan, a slight increase of 0.22% [14][15]. - The company's first-quarter performance in 2025 showed a significant decline, with revenue dropping 25.45% year-on-year to 13.00 billion yuan and net profit down 69.87% to 490 million yuan [18][14]. - The African market remains crucial for Transsion, contributing over 30% of total revenue in 2024, although the gross margin in this region decreased by 1.46 percentage points [19][14]. Group 3: Market Position - Transsion holds over 40% market share in the African smartphone market, maintaining its position as the leader [22][21]. - In South Asia, Transsion also leads in Pakistan with over 40% market share, but its position in India has declined from 8.2% to 5.7% [24][25]. - The global smartphone market share for Transsion is 14%, ranking third among manufacturers, with an 8.7% share in the global smartphone market, ranking fourth [28][29]. Group 4: Competitive Landscape - Increased competition from brands like Xiaomi, OPPO, and Honor is impacting Transsion's market position, particularly as these competitors adopt more localized strategies in Africa [30][34]. - The shift in strategy by competitors to target smaller retail networks poses a challenge for Transsion, which has traditionally relied on local partnerships [33][34]. - The competitive pressure is expected to intensify as these brands leverage their domestic market revenues to invest in emerging markets [39]. Group 5: Electric Two-Wheeler Market Potential - The global electric two-wheeler market is projected to reach $74.9 billion in 2024, with an expected compound annual growth rate of 8.7% from 2025 to 2034 [43]. - Transsion's entry into the electric two-wheeler market is seen as a strategic move to tap into this growing segment, especially in overseas markets [40][45]. - However, the company will face significant challenges in establishing supply chains and marketing for electric two-wheelers, which require higher investment compared to its mobile phone business [45][50].