Core Viewpoint - Guangdong Chao Hong Ji Industrial Co., Ltd. (Chao Hong Ji) is pursuing a dual listing on the A-share and Hong Kong stock markets, aiming to become the "first fashion jewelry stock" in Hong Kong if successful [3][4]. Company Overview - Chao Hong Ji was founded in 1996 by the Liao family and has grown from a self-operated gold shop to a well-known chain brand with over 1,500 stores [3][4]. - The company focuses on mid-to-high-end fashion consumer goods, including jewelry and handbags, and operates two main brands: "CHJ Chao Hong Ji" and "VENTI Fan Di" [4]. Financial Performance - Revenue figures for Chao Hong Ji from 2022 to the first half of 2025 are as follows: - 2022: approximately 4.364 billion RMB - 2023: approximately 5.836 billion RMB - 2024: approximately 6.452 billion RMB - First half of 2025: approximately 4.062 billion RMB [4][5]. - Net profit for the same periods is: - 2022: approximately 205 million RMB - 2023: approximately 330 million RMB - 2024: approximately 169 million RMB - First half of 2025: approximately 333 million RMB [4][5]. Revenue Breakdown - In the first half of 2025, 93.6% of Chao Hong Ji's revenue came from jewelry, with a notable decline in handbag revenue, which dropped by 16.9% year-on-year [6][7]. - The classic gold jewelry segment has shown significant growth, with revenue increasing from 1.42 billion RMB in 2022 to 2.92 billion RMB in 2024, reflecting a compound annual growth rate (CAGR) of 43.4% [7][9]. - Fashion jewelry revenue grew from 2.45 billion RMB in 2022 to 2.94 billion RMB in 2024, with a slower CAGR of 9.5% [8][9]. Operational Structure - As of June 30, 2025, Chao Hong Ji operates a total of 1,542 jewelry stores, comprising 201 self-operated stores and 1,337 franchise stores [10][11]. - The company has shifted from a self-operated model to a franchise-based model, indicating a strategic change in its operational approach [11]. Management - The CFO, Mr. Chen Shufeng, has been with the company since 2007 and was appointed CFO in November 2024, overseeing financial and accounting matters [12][18].

Core Viewpoint - The article discusses the recent IPO application of Guangdong Chao Hong Ji Industrial Co., Ltd. (Chao Hong Ji) to the Hong Kong Stock Exchange, aiming for an "A+H" listing amidst a rising trend in gold-related stocks in Hong Kong [5][26]. Company Overview - Chao Hong Ji, founded in 1997 by the Liao family, has grown from a small gold shop to a well-known jewelry chain with over 1,500 stores [5][10]. - The company was the first fashion jewelry company to be listed on the Shenzhen Stock Exchange in 2010, with a current market capitalization exceeding 130 billion RMB [10][24]. Market Context - The Hong Kong Stock Exchange is experiencing a "golden wave," with companies like Lao Pu Gold seeing their market value increase significantly, prompting a surge in IPO applications from gold retailers [5][27]. - The article highlights the competitive landscape, noting that Chao Hong Ji ranks ninth in the jewelry market and eighth in the gold jewelry market in mainland China [24]. Financial Performance - Chao Hong Ji's revenue for 2022 was 4.364 billion RMB, with projections of 5.836 billion RMB for 2023 and 6.452 billion RMB for 2024, indicating a compound annual growth rate of 21.6% [21][23]. - The company's net profit showed a decline, with figures of 286 million RMB in 2022 and 238 million RMB in the first half of 2025, reflecting a compound annual growth rate of -9.17% [24]. Product Strategy - Chao Hong Ji focuses on a diverse product range, including classic gold jewelry and fashion jewelry, targeting a younger demographic with price points starting from 1,000 RMB [13][14]. - The company has also ventured into collaborations with popular IPs, launching over 400 SKUs since 2010, aiming to attract younger consumers [24]. Industry Trends - The article notes a shift in gold consumption towards younger consumers, with those aged 18 to 34 contributing over one-third of retail sales in 2024 [29]. - The rising gold prices, driven by geopolitical risks and increased demand for gold as an investment, have sparked renewed interest in gold jewelry [29][30].

Core Viewpoint - The company Chao Hong Ji is seeking to expand its market presence by applying for an IPO on the Hong Kong Stock Exchange amid rising international gold prices, aiming to leverage its dual capital platform for further growth [1][5][47]. Company Overview - Chao Hong Ji, a jewelry enterprise with over 15 years of listing on A-shares and a market capitalization exceeding 13.5 billion yuan, is attempting to expand through an "A+H" dual capital platform [1][4][5]. - Founded nearly 30 years ago, the company has evolved from a family-run gold processing business to a leading fashion jewelry brand in China [6][36]. Financial Performance - The company reported revenues of 4.36 billion yuan in 2022, 5.84 billion yuan in 2023, and 6.45 billion yuan in 2024, with a 19.6% year-on-year growth in the first half of 2025 [38][39]. - Despite revenue growth, the company has faced declining profit margins, with net profits fluctuating significantly, dropping from 330 million yuan in 2023 to 169 million yuan in 2024 [40][42]. Market Position - Chao Hong Ji holds a 1.4% market share in the Chinese fashion jewelry market, ranking first among competitors [37][38]. - The company has a total of 1,542 stores as of mid-2025, with a significant portion being franchise stores, indicating a need for further expansion compared to competitors like Zhou Dazheng [44]. Product Segmentation - The company's core revenue sources are jewelry, with fashion jewelry accounting for 45.6% and classic gold jewelry for 45.2% of total revenue in 2024 [40][41]. - The company has seen a decline in the contribution of its FION business, which reported a 27.4% drop in revenue in 2024 [42]. Strategic Initiatives - The IPO proceeds are intended for expanding the overseas sales network, establishing a Hong Kong office, and building new production facilities, reflecting the company's commitment to internationalization and core business enhancement [47].