--- title: "[IPO Frontline] Valuation exceeds $1 billion, what's the background of Sunmi Technology?" type: "Topics" locale: "zh-CN" url: "https://longbridge.com/zh-CN/topics/31694681.md" description: "Several companies with weighted voting rights have already been listed in the Hong Kong stock market, including $XIAOMI-W(01810.HK), $MEITUAN(03690.HK), $HORIZONROBOT-W(09660.HK), etc. Recently, another company with weighted voting rights—Shanghai Sunmi Technology Group Co., Ltd. (hereinafter referred to as "Sunmi Technology") has submitted its application to the Hong Kong Stock Exchange, with Deutsche Bank, CITIC Securities, and ABC International as its joint sponsors. It is worth mentioning that before attempting to list in Hong Kong, Sunmi Technology had sought to list on the Shanghai Stock Exchange in 2021 but ultimately failed..." datetime: "2025-07-11T02:23:51.000Z" locales: - [en](https://longbridge.com/en/topics/31694681.md) - [zh-CN](https://longbridge.com/zh-CN/topics/31694681.md) - [zh-HK](https://longbridge.com/zh-HK/topics/31694681.md) author: "[财华社](https://longbridge.com/zh-CN/profiles/11651030.md)" --- > 支持的语言: [English](https://longbridge.com/en/topics/31694681.md) | [繁體中文](https://longbridge.com/zh-HK/topics/31694681.md) # [IPO Frontline] Valuation exceeds $1 billion, what's the background of Sunmi Technology? Several companies with weighted voting rights have been listed in the Hong Kong stock market, including $XIAOMI-W(01810.HK) , $MEITUAN(03690.HK) , $HORIZONROBOT-W(09660.HK) , etc. Recently, another company with weighted voting rights—Shanghai Sunmi Technology Group Co., Ltd. (hereinafter referred to as "Sunmi Technology") has submitted its listing application to the Hong Kong Stock Exchange, with Deutsche Bank, CITIC Securities, and ABC International as its joint sponsors. It is worth mentioning that before attempting to list in Hong Kong, Sunmi Technology sought to list on the Shanghai Stock Exchange in 2021 but ultimately failed and voluntarily withdrew its application in March 2022. ### **Backed by Several Renowned Companies, What is Sunmi Technology?** Most people may not be familiar with Sunmi Technology, but this company is closely related to daily life. The emergence of convenient technologies such as Alipay's facial recognition payment and "touch-to-pay" is driven by innovations from service providers like Sunmi Technology. According to the prospectus, Sunmi Technology's history back to 2013, founded by Lin Zhe, who is now the company's executive director, chairman, general manager, one of the beneficiaries of weighted voting rights, and a controlling shareholder. After more than a decade of development, Sunmi Technology has become a global leader in providing Business Internet of Things (BIoT) solutions. BIoT refers to the integration of IoT technology for commercial purposes. These solutions include terminal hardware equipped with operating systems and supporting software developed based on the hardware, enabling merchants to operate more efficiently, make data-driven decisions, and respond to consumer needs in real-time. According to CIC data, Sunmi Technology is currently the world's largest Android-based BIoT solution provider by revenue in 2024, with a market share of over 10%. Its solutions are deployed in more than 200 countries and regions, covering over 100 industry verticals, with monthly active smart devices exceeding 4.9 million. Additionally, Sunmi Technology serves over 70% of the world's top 50 food and beverage companies. In China, it has achieved coverage of over 70% of the top 100 catering companies and over 60% of the top 100 chain stores. Its representative clients/users include Hema, Alipay, Hotai, SF Express, etc. It is worth noting that Sunmi Technology has received investments from several giants, including Xiaomi, Ant Group, Meituan, and Shenzhen Capital Group. Moreover, Sunmi Technology's valuation exceeded $1 billion as early as 2019, making it a unicorn company. ### **Occasional Performance Fluctuations and Heavy Reliance on a Single Business** In terms of performance, from 2022 to 2024, Sunmi Technology's revenue was RMB 3.404 billion, RMB 3.071 billion, and RMB 3.456 billion, respectively. **Net profit for the year was approximately RMB 160 million, RMB 101 million, and RMB 181 million, respectively.** The company's gross margin also fluctuated, at 28.1%, 26.7%, and 28.9% from 2022 to 2024. It is not hard to see that Sunmi Technology's revenue, profit, and gross margin all declined in 2023 but rebounded in 2024. Sunmi Technology attributed the improved gross margin in 2024 to increased sales in Europe and other developed regions, where margins are relatively higher, and enhanced cost management. **Sunmi Technology's BIoT solutions mainly include smart devices and the BIoT PaaS platform, involving two businesses: smart device sales and PaaS platform & customized services.** Among them, PaaS platform & customized services mainly include (1) self-developed supporting software products or systems (such as the upgraded SUNMIOS system and DMP system), for which an annual fee is charged to relevant clients; (2) providing PaaS platform services, for which fees are charged based on the number of connected Sunmi smart devices and/or the transaction amount of merchants; (3) providing customized services for BIoT hardware and software developed based on the PaaS platform, for which fees are charged on a project basis to relevant clients and enterprises. However, in terms of revenue structure, from 2022 to 2024, **revenue from smart device sales accounted for 99.5%, 98.0%, and 99.5% of total revenue, respectively.** In 2024, revenue from smart financial devices accounted for 42.3% of total revenue. It is evident that although there are two main businesses, **Sunmi Technology heavily relies on the hardware smart device sales business,** which poses certain risks. In the prospectus, Sunmi Technology stated that it relies on a limited number of OEM and ODM suppliers to manufacture hardware devices. In 2024, Sunmi Technology collaborated with about 30 third-party manufacturers, **with raw material procurement and manufacturing conducted through these third-party manufacturers.** Sunmi Technology claimed that selectively utilizing OEM/ODM facilities provides greater flexibility in capacity and resource allocation. However, the OEM and ODM approach may make Sunmi Technology more passive in quality management and cost control. The prospectus also disclosed that **from 2022 to 2024, purchases from Sunmi Technology's top five suppliers accounted for 75.9%, 74.1%, and 66.3% of total annual purchases,** with the largest supplier accounting for 27.7%, 24.9%, and 25.0% of total annual purchases, respectively, **indicating some concentration.** Additionally, Sunmi Technology's accounts receivable surged, with trade receivables at RMB 406 million, RMB 638 million, and RMB 1.049 billion from 2022 to 2024, showing rapid growth. Meanwhile, **the days sales outstanding (DSO) for trade receivables were 36 days, 62 days, and 89 days from 2022 to 2024.** The continuous growth in accounts receivable and the increasing DSO are aspects that investors should pay attention to. Despite the surge in accounts receivable and DSO, Sunmi Technology's cash flow is relatively ample. As of April 30, 2025, **the company had RMB 40 million in fixed deposits with an original maturity of over three months but less than one year, RMB 58 million in restricted bank deposits, and RMB 1.853 billion in cash and cash equivalents. In 2024, Sunmi Technology declared dividends of RMB 151 million to shareholders.** Regarding the use of IPO proceeds, Sunmi Technology plans to allocate funds for: **R&D of BIoT hardware and software solutions; strengthening the supply chain and production operations; implementing global market expansion plans; working capital and other general corporate purposes.** Author: Yun Zhi Feng Qi ### 相关股票 - [XIAOMI-W (01810.HK)](https://longbridge.com/zh-CN/quote/01810.HK.md) - [Xiaomi Corporation (XIACY.US)](https://longbridge.com/zh-CN/quote/XIACY.US.md) - [XIAOMI-WR (81810.HK)](https://longbridge.com/zh-CN/quote/81810.HK.md) - [HORIZONROBOT-W (09660.HK)](https://longbridge.com/zh-CN/quote/09660.HK.md) - [MEITUAN (03690.HK)](https://longbridge.com/zh-CN/quote/03690.HK.md) - [Meituan (MPNGY.US)](https://longbridge.com/zh-CN/quote/MPNGY.US.md) - [MEITUAN-WR (83690.HK)](https://longbridge.com/zh-CN/quote/83690.HK.md) - [Xiaomi HK SDR 2to1 (HXXD.SG)](https://longbridge.com/zh-CN/quote/HXXD.SG.md) - [Meituan HK SDR 5to1 (HMTD.SG)](https://longbridge.com/zh-CN/quote/HMTD.SG.md) ## 评论 (1) - **Zeb-T · 2025-07-11T03:50:28.000Z**: 666