Core Viewpoint - Transsion Holdings, a leading provider of smart terminal products and mobile internet services, has submitted an application for a mainboard listing on the Hong Kong Stock Exchange, while its stock has seen a decline of over 20% this year [1][2] Group 1: Company Overview - Transsion Holdings focuses on the design, research and development, production, sales, and brand operation of smart terminal products, primarily smartphones [1] - The company has established a strong brand presence in emerging markets, particularly in Africa, where it is known as the "King of Africa" in the mobile industry [1] - Transsion's smartphone brands include TECNO for mid-to-high-end consumers, Infinix targeting younger consumers, and itel for the mass market emphasizing cost-effectiveness and reliability [1] Group 2: Market Position and Performance - According to a Frost & Sullivan report, Transsion Holdings ranks first in smartphone sales in Africa with a market share of 61.5% as of 2024 [1] - The company has set up manufacturing centers in Ethiopia, India, and Bangladesh, and its products are available in over 70 countries and regions [2] - In the global emerging markets, Transsion's smartphone market share is 24.1%, with leading positions in Africa (15.4%), emerging Asia-Pacific (22.8%), and the Middle East [2] Group 3: Future Projections - IDC data indicates that Transsion Holdings is projected to have a global smartphone market share of 8.6% in 2024, ranking fourth overall [2] - The company is expected to sell 201.4 million smartphones in 2024, with the mobile internet penetration rate in emerging markets anticipated to rise from 46% in 2024 to 53% by 2029 [2] - The revenue of the emerging market smartphone sector is forecasted to grow from $134.4 billion in 2020 to $171.1 billion in 2024, reaching $236.7 billion by 2029 [2]

Company Overview - Transsion Holdings, a leading provider of smart terminal products and mobile internet services, focuses on the design, research and development, production, sales, and brand operation of mobile phones [3][5] - The company has established a strong brand presence in emerging markets, particularly in Africa, where it is known as the "King of Africa" due to its significant market share and brand influence [3][6] - Transsion Holdings operates three main smartphone brands: TECNO, targeting mid-to-high-end consumers; Infinix, aimed at young consumers; and itel, which emphasizes cost-effectiveness and reliability for the mass market [5][6] Market Position - According to Frost & Sullivan, Transsion Holdings ranks first in the global emerging markets for mobile phone sales, with a market share of 24.1% as of 2024 [1][6] - In Africa, the company holds a dominant position with a market share of 61.5%, benefiting from the transition from feature phones to smartphones and the growing demand driven by economic development and consumer upgrades [6][8] - The company also leads in the emerging Asia-Pacific and Middle Eastern markets, with market shares of 15.4% and 22.8%, respectively [6] Financial Performance - For the fiscal years ending December 31, 2022, 2023, and projected for 2024, Transsion Holdings reported revenues of RMB 46.60 billion, RMB 62.29 billion, and RMB 68.72 billion, respectively [8] - The gross profit for the same periods was RMB 9.25 billion, RMB 14.44 billion, and RMB 14.34 billion, with corresponding gross profit margins of 19.9%, 23.2%, and 20.9% [9] - The net profit for the fiscal years was RMB 2.47 billion, RMB 5.59 billion, and RMB 5.60 billion, indicating a strong profitability trend [10] Industry Overview - The global mobile phone market is projected to reach USD 0.5 trillion by 2024, with a compound annual growth rate (CAGR) of 4.6% from 2024 to 2029 [12] - The mobile internet services market is expected to grow significantly, from USD 2.9 trillion in 2024 to USD 7.6 trillion by 2029, with a CAGR of 21.5% [12][14] - Emerging markets are experiencing a rapid increase in mobile internet penetration, expected to rise from 46% in 2024 to 53% by 2029, indicating substantial growth potential in both smartphone and mobile internet service markets [14][16] Emerging Market Dynamics - The smartphone market in emerging markets is anticipated to grow from USD 134.4 billion in 2020 to USD 171.1 billion by 2024, with a CAGR of 6.2% [16] - The number of smartphones sold in emerging markets is projected to increase from 624.6 million units in 2020 to 648.5 million units by 2024, with Africa being the fastest-growing region [21] - The IoT product market in emerging markets is expected to grow from USD 81 billion in 2020 to USD 135.5 billion by 2024, driven by advancements in network infrastructure and technology [25]

Core Viewpoint - Transsion Holdings has submitted an application to list on the main board of the Hong Kong Stock Exchange, with CITIC Securities as its sole sponsor. The company ranks first in the global emerging markets for mobile phone sales, holding a market share of 24.1% according to Frost & Sullivan [1][4]. Company Overview - Transsion Holdings is a leading provider of smart terminal products and mobile internet services, primarily focusing on the design, research and development, production, sales, and brand operation of mobile phones. The company has established brand recognition in emerging markets, particularly in Africa, and has expanded into mobile internet services and IoT products, creating an ecosystem of products, services, and brands [4][6]. - Since its establishment in 2013, Transsion has focused on emerging markets, especially Africa, where it is known as the "King of Africa" due to its significant market share and brand influence. The company has successfully replicated its business model in various emerging markets [4][7]. Business Highlights - Transsion operates three main smartphone brands: TECNO, targeting mid-to-high-end consumers; Infinix, aimed at young consumers; and itel, which emphasizes cost-effectiveness and reliability for the mass market. In addition to smartphones, the company offers mobile internet services and IoT products [6][7]. - In Africa, Transsion holds a market share of 61.5% in smartphone sales, benefiting from the transition from feature phones to smartphones, driven by economic development and consumer upgrades [7]. Financial Performance - The company reported revenues of RMB 46.60 billion in 2022, RMB 62.29 billion in 2023, and projected revenues of RMB 68.72 billion in 2024, with a six-month revenue of RMB 29.08 billion for 2025 [9]. - Gross profit figures were RMB 9.25 billion in 2022, RMB 14.44 billion in 2023, and projected RMB 14.34 billion in 2024, with corresponding gross profit margins of 19.9%, 23.2%, and 20.9% respectively [10]. - The net profit for the years 2022, 2023, and projected for 2024 is RMB 2.47 billion, RMB 5.59 billion, and RMB 5.60 billion respectively [11]. Industry Overview - The global mobile phone market has shown strong growth since 2010, with a market size of USD 0.5 trillion in 2024, expected to reach USD 0.6 trillion by 2029, reflecting a CAGR of 4.6% from 2024 to 2029. The mobile internet services market is projected to grow from USD 2.9 trillion in 2024 to USD 7.6 trillion by 2029, with a CAGR of 21.5% [13][14]. - The emerging markets' mobile internet penetration rate is currently at 46%, expected to rise to 53% by 2029, indicating significant growth potential in the smartphone and mobile internet services sectors [14]. - The smartphone market in emerging markets is projected to grow from USD 134.4 billion in 2020 to USD 171.1 billion in 2024, with a CAGR of 6.2% [16].