Hong Kong IPO disclosure precedents · 550 companies, 554 items
a large share of revenue from the largest or five largest customers, discussed as reliance or concentration (why it is mutual, sustainable, how it will be reduced)
For each of FY2022, FY2023 and FY2024, revenue from our top five customers amounted to approximately RMB164.7 million, RMB126.2 million and RMB95.0 million, respectively, representing approximately 41.9%, 36.2% and 27.2% of our total revenue during the same period.
Summary · p. 10
During the same periods, the revenue from our largest customer amounted to approximately RMB90.0 million, RMB62.6 million and RMB41.2 million, respectively, accounting for 22.9%, 18.0% and 11.8% of our total revenue, respectively.
Business · p. 228
The revenue from our top five customers decreased during the Track Record Period primarily due to the decrease in revenue from Customer Group A, resulting from the softened market demands for portable study printer for self-study when physical lessons or tutoring had revived after the impact of COVID-19.
During the Track Record Period, the aggregate revenue generated from our top five customers in each year amounted to RMB622.4 million, RMB1,042.2 million and RMB979.9 million, respectively, accounting for 77.2%, 63.8% and 70.7% of our total revenue in the respective year.
Summary · p. 7
For the years ended December 31, 2022, 2023 and 2024, we did not have any substantial reliance on any single customer as our largest customer was different during each of the years ended December 31, 2022, 2023 and 2024.
Business · p. 284
We believe that we will be able to mitigate customer concentration risks as we are able to change our customer composition and expand our customer base taking into account the large number of insurance companies in China and our years of experience in the industry.
For each year of the Track Record Period, sales from our five largest customers accounted for 28.7%, 24.3% and 27.2% of our total revenue, and sales from our largest customer accounted for 23.8%, 18.6% and 18.8% of our total revenue.
Summary · p. 8
For each year of the Track Record Period, sales from Customer Group A represented a sizable amount of our revenue, as we have maintained close cooperation with Customer Group A since 2006, whereby both parties are committed to establishing a stable supply relationship, which is an industry norm in the paper packaging industry in Mainland China; and Customer Group A is a leading dairy products producer in Mainland China, such that as long as they maintain a significant sales volume, our sales to them would continue to be sizeable, as our sales of paper packaging products were positively correlated with the sales volume of dairy products sold by Customer Group A for which our paper packaging is used.
Business · p. 260
To the best of our knowledge, all of our five largest customers for each year of the Track Record Period are independent third parties.
In each of the years ended December 31, 2022, 2023 and 2024, we generated revenue of RMB12,724.9 million, RMB14,163.9 million, and RMB16,437.1 million from our five largest customers, respectively, representing 59.8%, 62.0%, and 58.7% of our total revenue for the respective periods.
Summary · p. 9
The credit terms that we provided to our five largest customers generally ranged from 30 to 90 days after the invoice date, with payments made through wire transfers or banks' acceptance bills.
Business · p. 322
To the best knowledge of our Directors, in each year during the Track Record Period, all of our five largest customers were Independent Third Parties.
For the years ended December 31, 2022, 2023 and 2024, the aggregate revenue generated from our five largest customers were US$7.6 million, US$12.0 million and US$11.1 million, respectively, representing 42.7%, 49.8% and 54.5% of our revenue, respectively.
Summary · p. 19
As we further increase market penetration of GASTROClear™ and Fortitude™ in Singapore and other jurisdictions and expand our commercialization channels, we expect the percentage of the aggregate revenue generated from our five largest customers out of our total consolidated revenue will decrease.
Business · p. 413
We generally allow for a credit period of up to one month, and for certain customers we may grant an extended credit term of up to twelve months.
In 2022, 2023 and 2024, our revenue from the five largest customers in each year accounted for 35.3%, 36.8% and 37.0% of our total revenue in the year, respectively; and revenue from our largest customer in each year accounted for 11.6%, 12.5% and 15.0% of our total revenue in the year, respectively.
Summary · p. 6
During the Track Record Period, we maintained stable business relationships with our five largest customers in each year.
Business · p. 203
By the end of 2024, nine out of the top ten global automotive OEMs by EV sales volume are our customers, according to the GGII Report.
For each year during the Track Record Period, we generated revenue of RMB5,981.3 million, RMB9,784.9 million and RMB4,110.5 million from each of the five largest customers of the continuing operation, accounting for 53.9%, 52.6% and 41.5% of our total revenue for the corresponding years, respectively.
Summary · p. 9
For each year during the Track Record Period, our revenue from each of the largest customer of the continuing operation amounted to RMB3,336.7 million, RMB5,172.3 million and RMB1,892.1 million, accounting for 30.1%, 27.8% and 19.1% of our total revenue for the corresponding years, respectively.
Business · p. 276
According to Frost & Sullivan, the top ten PV module manufacturers globally accounted for 83.4% of the world's shipment volume in 2023.
In 2022, 2023 and 2024, the revenue attributable to our five largest customers for each year of the Track Record Period amounted to RMB125.6 million, RMB201.4 million and RMB276.2 million, respectively, representing 34.9%, 43.4% and 43.5% of our total revenue for the corresponding years.
Summary · p. 13
Revenue attributable to our single largest customer amounted to RMB27.2 million, RMB47.4 million and RMB86.9 million for the same years, accounting for 7.6%, 10.2% and 13.7% of our total revenue, respectively.
Summary · p. 13
Our Directors confirm that our sales to our five largest customers for each year during the Track Record Period were conducted on standard commercial terms and negotiated on an arm's length basis.
During the Track Record Period, our revenue was primarily derived from our license and collaboration agreements with our business partners.
Business · p. 425
For the years ended December 31, 2023 and 2024, our revenue generated from our largest customer in each year accounted for 98.9% and 80.7% of our total revenue for the respective year.
Business · p. 425
The partnerships enable us to maximize the clinical value of our in-house discovered assets and provide financial resources to further invest in our pipeline development.
In 2021, 2022, 2023 and 2024, sales to our largest customer in each year during the Track Record Period amounted to RMB828.3 million, RMB962.5 million, RMB1,179.1 million and RMB1,462.3 million, representing 55.2%, 29.3%, 28.3% and 28.5% of our total revenue for the respective year, respectively, while our five largest customers in each year during the Track Record Period amounted to RMB1,337.4 million, RMB2,972.7 million, RMB3,238.2 million and RMB4,530.0 million, representing 89.1%, 90.4%, 77.8% and 88.2% of our total revenue for the respective years, respectively.
Summary · p. 9
The increase in the percentage of our revenues from the five largest customers of the total revenue in 2024 was primarily due to (i) our strategic focus on top OEM customers which we are collaborating more vehicle models given tight production capacity in 2024; (ii) the revenue growth from three of our top five customers, which increased by 24.0%, 12.3% and 79.3% compared to 2023, resulting in an overall increase in the proportion of revenue contributed by our top five customers; and (iii) in addition, the revenue contribution of our ESS business decreased from 7.6% of total revenues in 2023 to 4.2% in 2024.
For FY2021, FY2022, FY2023 and 9M2024, our revenue attributable to our largest customer in each year/period during the Track Record Period accounted for approximately 5.7%, 12.4%, 16.2% and 11.2% of our total revenue, respectively, while our revenue attributable to our five largest customers in each year/period during the Track Record Period in aggregate accounted for approximately 18.8%, 26.8%, 31.8% and 28.5% of our total revenue, respectively.
Summary · p. 11
The five largest customers of our Group in each year/period during the Track Record Period are Independent Third Parties to us.
Business · p. 268
According to the Industry Consultant, the credit terms for wholesalers of cooking oil in Jiangsu Province are typically up to 60 days.
Russian Top-tier Retailer, our second largest customer in FY2021 and our largest customer during FY2022, FY2023 and 9M2024, accounted for approximately 11.8%, 31.5%, 48.7% and 36.8%, respectively of our total revenue for the corresponding periods.
Summary · p. 7
Despite our reliance on Russian Top-tier Retailer, as we have developed a mutually beneficial and complementary relationship with them, our Directors are of the view that the likelihood of relationship termination or material adverse changes is low because: (i) we have been the single source supplier of babycare products for one of its major babycare private labels for over three years and established a stable business relationship with Russian Top-tier Retailer; (ii) we were successfully awarded five supplemental framework supply agreements as a stable source of supply for babycare products;
Business · p. 186
In light of our mutually beneficial relationship with Russian Top-tier Retailer mentioned above, given the long-term contract with Russian Top-tier Retailer renewed in December 2023 for a term up to 31 December 2030, our Directors consider the risk of material adverse change or termination in our relationship with Russian Top-tier Retailer to be low.
Our five largest customers accounted for 100% of our revenue in each year/period of the Track Record Period, of which we had four customers in FY2021 and FY2022.
Summary · p. 4
Furthermore, our Directors believe that the relationship between our Group and Press Metal is mutually beneficial.
Business · p. 205
In terms of percentage, our sales to Press Metal dropped from 73.3% in FY2021 to 53.4% in 9M2024 to our total revenue, and in terms of volume from 70.7% in FY2021 to 53.4% in 9M2024 to our total production.
Revenue contributed by our largest customer for each year/period of the Track Record Period amounted to RMB2,126.6 million, RMB2,602.2 million, RMB2,672.1 million and RMB2,140.3 million, respectively, accounting for 56.2%, 41.5%, 37.0% and 34.4% of our total revenue for the same periods.
Summary · p. 30
For each year/period of the Track Record Period, revenue contributed by our top five customers amounted to RMB2,946.2 million, RMB5,345.8 million, RMB5,565.6 million and RMB4,904.6 million, respectively, accounting for 77.9%, 85.4%, 77.1% and 78.8% of our total revenue for the same periods, respectively.
Business · p. 371
According to Frost & Sullivan, gold mining has long been considered a sellers’ market, where gold mining companies hold a bargaining advantage over their downstream customers.
In each year/period of the Track Record Period, sales to our five largest customers in the aggregate accounted for 80.5%, 74.4%, 55.2% and 46.2% of our total revenues, respectively.
Summary · p. 13
Green RV held 49% equity interest in our subsidiary, Leisure Lion, and was also a dealer operating two of our dealer stores as of June 30, 2024.
Business · p. 240
To the best of our knowledge, all of our five largest customers in each year/period of the Track Record Period, except for Green RV as our JV partner, and Leisure Lion as our JV dealer, were independent third parties, and none of our Directors, their respective associates or any shareholder who, to the knowledge of our Directors, owned more than 5% of our issued share capital, had any interest in any of our five largest customers in each year/period of the Track Record Period.
For each year/period of the Track Record Period, our revenue generated from our five largest customers amounted to approximately RMB1,028.4 million, RMB997.7 million, RMB1,188.6 million and RMB490.1 million, respectively, representing approximately 66.8%, 54.3%, 49.7% and 44.4% of our total revenue for the corresponding year/period, respectively, while our revenue generated from our largest customer, Conch Cement Group, in each year/period during the Track Record Period amounted to approximately RMB807.9 million, RMB765.1 million, RMB762.4 million and RMB338.6 million, respectively, representing approximately 52.5%, 41.6%, 31.8% and 30.7% of our total revenue for the corresponding year/period, respectively.
Summary · p. 13
Given our long term co-operation and business relationship with Conch Cement Group, our Directors believe that our relationship with Conch Cement Group has been and will continue to be mutually complementary to a large extent, and it is unlikely that there would be any materially adverse changes to, or termination of, such relationship in the foreseeable future.
Summary · p. 14
During the Track Record Period, our proportion of revenue generated from our sales to Conch Cement Group has actually decreased throughout the years/period.
For each financial year/period during the Track Record Period, our revenue generated from our top five customers collectively accounted for approximately 93.4%, 67.2%, 55.8% and 76.1% of our total revenue, respectively, whilst our revenue generated from our largest customer accounted for approximately 39.0%, 24.4%, 22.8% and 29.8% of our total revenue, respectively.
Summary · p. 9
Owing to the substantial contract sum of our ICV-related platform projects, only a limited number of SOEs and large private enterprises can afford such platform building projects at the current preliminary development stage of the ICV industry.
Business · p. 259
In the meantime, we have made and will continue to make efforts to reduce our customer concentration and expand our customer base by (i) increasing our efforts and resources to develop customers from the private sector while at the same time maintaining existing and developing new customers in the public sector; (ii) increasing our R&D investment to improve our technologies, products and services to better serve the needs of customers in the rapidly evolving ICV industry; and (iii) exploring business opportunities for our products and services in other industries.
The revenue from our five largest customers for each of the years ended December 31, 2021, 2022 and 2023 and the six months ended June 30, 2024, represented approximately 90.5%, 76.1%, 84.3% and 89.4% of our total revenue for the respective year or period, and the revenue from the largest customer during each of the same year or period represented approximately 30.2%, 33.3%, 37.3% and 23.6% of our total revenue for the respective year or period.
Summary · p. 13
In addition, customers have become accustomed to utilizing our equipment and systems, and a transition to alternative providers would incur switching costs.
Summary · p. 13
According to Frost & Sullivan, concentration in the customer base in the maritime environmental protection equipment and system industry is in line with the industry norm based on the interviews conducted with top 10 global market players and comprehensive primary research by interviewing experts form the China Association of the National Shipbuilding Industry, a leading organization in the shipbuilding industry, encompassing various related enterprises and institutions.
For FY2021, FY2022, FY2023 and 6M2024, our revenue from our five largest customers for each year/period during the Track Record Period accounted for approximately 64.2%, 68.3%, 65.6% and 74.4% of our total revenue, respectively, and our revenue from our largest customer for each year/period during the Track Record Period accounted for approximately 22.6%, 28.4%, 32.2% and 34.2% of our total revenue, respectively.
Business · p. 201
Our revenue from Customer A constituted approximately 22.6%, 14.3%, 9.9% and 14.5% of our total revenue for FY2021, FY2022, FY2023 and 6M2024, respectively, whereas our revenue from Customer B constituted approximately 21.6%, 28.4%, 32.2% and 34.2% of our total revenue for FY2021, FY2022, FY2023 and 6M2024, respectively.
Business · p. 206
According to Frost & Sullivan, Customer A and Customer B are among the largest e-commerce companies in the PRC, and as such it is not uncommon for brand owners or sellers of nutritional products in the PRC to have material reliance on Customer A and Customer B and it is not commercially realistic for our Group to diversify our reliance.
The total revenue generated from our top five customers was RMB1.6 million, RMB8.3 million, RMB50.8 million, and RMB28.9 million in 2021, 2022, 2023, and the six months ended June 30, 2024, respectively, accounting for 70.1%, 73.1%, 75.6%, and 55.6%, respectively, of our total revenue during the same periods.
Summary · p. 19
Revenue from our largest customer was RMB0.8 million, RMB4.4 million, RMB26.8 million, and RMB14.5 million in 2021, 2022, 2023, and the six months ended June 30, 2024, respectively, accounting for 35.5%, 39.1%, 39.9%, and 28.0%, respectively, of our total revenue during the same periods.
Summary · p. 19
We became acquainted with our top five customers for each period during the Track Record Period through various cooperation on clinical trials, cognitive centers and brain science research projects, as well as academic conferences we organized and attended.