Hong Kong IPO disclosure precedents · 86 companies, 86 items
Disclosures that the single largest supplier accounts for a high share of purchases (generally 20% or more) or that the group is significantly dependent on one principal supplier, including long-standing supply relationships.
In 2022, 2023, 2024 and the six months ended June 30, 2025, purchases from our top five suppliers in each year or period of the Track Record Period in aggregate accounted for 50.8%, 37.3%, 32.2% and 46.8% of our total purchases for the respective periods, and purchases from our largest supplier in each year or period of the Track Record Period accounted for 35.6%, 21.7%, 16.3% and 26.6% of our total purchases for the respective periods.
Summary · p. 8
Our top suppliers are primarily cloud services provider, video and audio hardware suppliers and information technology services providers.
Business · p. 188
We have standardized procedures for selecting and vetting suppliers.
Among them, our purchases were primarily attributable to Supplier A, amounting to RMB149.7 million, RMB363.7 million and RMB239.9 million in 2022, 2023 and 2024, respectively, accounting for 53.4%, 34.4% and 51.0% of our total purchases in the respective years.
Business · p. 278
Our purchase of a substantial amount of SiC substrates from Supplier A, especially those in 2023, has adversely affected our cash flow utilization and inventory level in 2024.
Business · p. 279
We have secured domestically produced alternative in China, and we do not rely on such U.S.-originated raw material.
Purchases from our five largest suppliers in each period during the Track Record Period were RMB111.5 million, RMB165.2 million, RMB217.2 million and RMB228.8 million in 2022, 2023 and 2024 and the six months ended June 30, 2025, respectively, representing 16.2%, 16.8%, 15.8% and 24.4% of our total purchases for the corresponding periods.
Summary · p. 12
To the best of our knowledge, (i) all of our five largest suppliers for each year/period during the Track Record Period are independent third parties, and (ii) none of our Directors, their respective associates or any shareholder who owned more than 5% of our issued share capital as of the Latest Practicable Date has any interest in any of our five largest suppliers for each year/period during the Track Record Period.
Our top five suppliers in each period during the Track Record Period in aggregate accounted for 72.6%, 66.3%, 85.0% and 84.7% of our total purchases in 2022, 2023, 2024 and the six months ended June 30, 2025, respectively.
Business · p. 239
Our largest supplier in each period during the Track Record Period accounted for approximately 39.4%, 36.3%, 50.3% and 51.7% of our total purchases in 2022, 2023, 2024 and the six months ended June 30, 2025, respectively.
Business · p. 239
We primarily rely on one cloud service provider and also purchase from other cloud service providers, which is an industry norm for e-commerce SaaS providers, according to CIC.
In 2022, 2023, 2024 and five months ended May 31, 2025, our purchases of Qualcomm SoCs accounted for 67.3%, 44.2%, 87.0% and 80.5% of our total purchase value of SoCs, respectively, and 54.9%, 56.6%, 68.3% and 63.9% of our total procurement volume, respectively.
Summary · p. 11
We entered into a supply framework agreement with Qualcomm in 2021.
Summary · p. 11
To ensure a stable supply of chips and mitigate potential supply chain disruptions, we adopt a proactive procurement strategy by budgeting additional chip inventory when making purchases.
The aggregate purchases from our five largest suppliers in each year/period during the Track Record Period amounted to RMB220.10 million, RMB403.45 million, RMB308.90 million and RMB157.52 million, respectively, accounting for 90.72%, 93.92%, 92.40% and 95.38% of our total purchases for the respective periods.
Business · p. 397
According to CIC, the Shanghai Gold Exchange is the largest gold exchange in China and is directly regulated by the Chinese government, purchasing gold from the Shanghai Gold Exchange is an industry norm in the precious metal watch-gold industry, partial precious metal watch-gold industry, and precious metal jewellery and accessories industry.
Business · p. 394
During the Track Record Period, we procured gold from three qualified members of the Shanghai Gold Exchange, all of whom are Independent Third Parties.
In 2022, 2023, 2024 and the three months ended March 31, 2025, our purchase amount from our five largest suppliers in each year/period in the aggregate accounted for 31.8%, 28.8%, 33.3% and 26.6% of our total cost of sales during the corresponding years/periods, respectively.
Summary · p. 4
We believe that we have good relationship with our major suppliers.
Business · p. 227
To the best of our knowledge, none of our Directors, their respective associates or any shareholder who owned more than 5% of our issued share capital of our Company as of the Latest Practicable Date, had any interest in any of our five largest suppliers in each year/period during the Track Record Period.
In the years ended December 31, 2022, 2023 and 2024 and the six months ended June 30, 2025, purchases from our five largest suppliers amounted to HK$214.0 million, HK$745.7 million, HK$589.0 million and HK$178.6 million, respectively, accounting for 94.2%, 97.7%, 95.8% and 82.8% of our total purchases, respectively.
Business · p. 288
Purchases from our largest supplier for the same periods, CCECC, amounted to HK$202.6 million, HK$727.1 million, HK$575.8 million and HK$69.7 million, respectively, representing 89.2%, 95.2%, 93.6% and 39.0% of our total purchases, respectively.
Business · p. 288
During the Track Record Period, all of our suppliers and contractors were engaged through the public tender process as required under relevant Kazakhstan laws and regulations and the SSU Code where such requirements were applicable.
In 2022, 2023 and 2024, purchases from our five largest suppliers in each year during the Track Record Period amounted to RMB209.8 million, RMB182.2 million, and RMB220.8 million, respectively, representing 89.3%, 86.9%, and 80.4% of our total purchases, respectively.
Business · p. 163
In 2022, 2023 and 2024, our aggregate purchases from Supplier A and Supplier B accounted for 75.5%, 69.3% and 59.1% of our total purchases, respectively.
Business · p. 166
Our Directors are of the view that our relationship with Supplier A and Supplier B is unlikely to materially adversely change or terminate, because (i) we have maintained a long-term and stable collaboration relationship with Supplier A and Supplier B for more than ten years, and (ii) during the Track Record Period and up to the Latest Practicable Date, we did not have any disputes with Supplier A or Supplier B.
In 2022, 2023 and 2024, purchases from our five largest suppliers amounted to RMB1,849.6 million, RMB3,689.0 million and RMB4,175.3 million, respectively, representing 79.9%, 89.2% and 88.9% of our total purchases, respectively.
Summary · p. 3
Accordingly, we believe our reliance on the Shanghai Gold Exchange for gold procurement is reasonable and aligns with the industry practice, and it is in our best interest to continue procuring gold from the Shanghai Gold Exchange.
Business · p. 222
To ensure a stable supply of gold, we chose to work with both members, mitigate potential risks associated with relying on a single member, fostering healthy competition while broadening our resources and procurement options.
For each of FY2022, FY2023 and 9M2024, Yihai Kerry became our largest supplier, and our purchase with Yihai Kerry amounted to approximately RMB141.9 million, RMB282.3 million and RMB284.5 million for FY2022, FY2023 and 9M2024, representing approximately 12.5%, 25.5% and 30.5% of our total purchase, respectively.
Summary · p. 3
To the best knowledge of our Directors, Yihai Kerry granted similar district distributorship rights in Yangzhou City to not more than three companies including us.
Summary · p. 3
For FY2021, FY2022, FY2023 and 9M2024, our purchase from our largest supplier in each year/period during the Track Record Period accounted for approximately 7.5%, 12.5%, 25.5% and 30.5% of our total purchase costs, respectively, while our purchase from our five largest suppliers in each year/period during the Track Record Period in aggregate accounted for approximately 28.0%, 35.9%, 42.4% and 50.0% of our total purchase costs, respectively.
For each financial year/period during the Track Record Period, purchases from our top five suppliers collectively accounted for approximately 99.6%, 97.3%, 98.6% and 99.5% of our total purchases, respectively, and the purchases from our largest supplier accounted for approximately 35.1%, 86.2%, 87.7% and 93.5% of our total purchases, respectively.
Business · p. 314
The significant increase in the purchases from our largest supplier from approximately 35.1% for FY2021 to approximately 86.2%, 87.7% and 93.5% for FY2022, FY2023 and 6M2024, respectively, was primarily attributable to (i) the supply of hardware parts and components in respect of the increase in the sale of our other products of hardware parts and components during FY2022;
Business · p. 314
according to F&S, the hardware and certain software components we purchased externally for our projects of ICV simulation testing platforms and ICV data platforms and other products are generally generic products which are readily available from numerous hardware manufacturers and software developers in the market.
For each year/period of the Track Record Period, our purchases made to our five largest suppliers amounted to approximately RMB539.3 million, RMB882.1 million, RMB1,296.6 million and RMB654.5 million, respectively, representing approximately 30.2%, 49.0%, 64.5% and 69.8% of our total purchases for the corresponding year/period, respectively, while our purchases made to our largest supplier in each year during the Track Record Period amounted to approximately RMB211.4 million, RMB509.5 million, RMB916.2 million and RMB495.1 million respectively, representing approximately 11.8%, 28.3%, 45.6% and 52.8% of our total purchases for the corresponding year/period, respectively.
Business · p. 266
Our total purchases with our largest supplier has increased steadily throughout the Track Record Period due to the fact that we began sourcing ethylene oxide with it in FY2022 for our production of concrete admixtures; as our concrete admixture business grew, so did our purchase of ethylene oxide from our largest supplier.
Business · p. 266
Such practice enhances our bargaining power on raw materials prices, avoid reliance on one single supplier, and helps us to identify the best value-for-money option.
During the Track Record Period, the amount paid to Shanghai Gold Exchange amounted to RMB7,585.1 million, RMB8,050.2 million, RMB11,162.6 million and RMB5,327.9 million for the years ended December 31, 2021, 2022 and 2023 and the six months ended June 30, 2024, respectively, representing 90.9%, 93.2%, 87.6% and 83.4% of our total purchase of the respective year/period.
Business · p. 240
Accordingly, our Directors are of the view that our reliance on the Shanghai Gold Exchange is reasonable and aligns with the industry practice, and is in the best interest of the Company as a whole to continue purchasing gold from the Shanghai Gold Exchange.
Business · p. 240
Hence, in the unlikely event that we require an immediate source of gold, we have the flexibility to increase the percentage of gold obtained through gold trade-in.
For the years ended 31 December 2021, 2022 and 2023 and the four months ended 30 April 2024, purchases from our five largest suppliers in each year/period during the Track Record Period amounted to RMB42.1 million, RMB58.6 million, RMB74.4 million and RMB26.8 million, respectively, accounting for 58.5%, 72.2%, 74.7% and 79.3% of our total purchases, respectively, while purchase from our largest supplier amounted to RMB26.5 million, RMB31.9 million, RMB45.3 million and RMB15.5 million, respectively, accounting for 36.8%, 39.3%, 45.6% and 45.8% of our total purchases, respectively.
Business · p. 240
In particular, we have reliance on referral services provided by Supplier A, which was our largest supplier and strategic channel partner in each year/period during the Track Record Period, as we continued to strengthen our cooperation with Supplier A to expand our insurance client base and had established a strong and strategic relationship.
Business · p. 245
Despite our reliance on Supplier A, our Directors are of the view that our business is sustainable for the following reasons:
For each year during the Track Record Period, charges from our five largest suppliers accounted for 89.2%, 92.1% and 62.7%, respectively, of our cost of sales in the same year.
Summary · p. 6
It is estimated that the Group accounts for 10% to 12% of service fees paid by the ecosystem partners to Supplier A in Shandong Province and Inner Mongolia.
Summary · p. 1
We consider our relationship with Supplier A and other state-owned telecommunication carriers to be stable and unlikely to materially and adversely change or terminate.
Purchases from Supplier A accounted for 35.0% and 37.4% of our total purchase for FY2022 and FY2023, respectively.
Business · p. 236
We strategically procured the majority of fulfillment logistics services from a single supplier, namely Supplier A, to make up part of our “last-mile” fulfillment services to ensure consistency in the quality of services supplied.
Business · p. 236
Although we have entered into a framework agreement with Supplier A, we may terminate the framework agreement by 30 days written notice without cause to Supplier A at any time.
Charges from our largest supplier in each year of the Track Record Period accounted for 59.5%, 87.3% and 83.2%, respectively, of our cost of sales during those years.
Business · p. 288
Charges from our five largest suppliers in each year of the Track Record Period accounted for 90.3%, 92.4% and 91.7%, respectively, of our cost of sales during those years.
Business · p. 288
If our business relationship with Supplier A were to be terminated, we believe that we would be able to procure the media resources of Supplier A by entering into arrangements with first-tier agents for purchasing traffic and earning rebates, and it is unlikely that Supplier A would refuse to provide service to us even indirectly through the said first-tier agent.
For FY2021, FY2022, FY2023 and 8MFY2024, purchases from our largest supplier amounted to approximately RMB451.4 million, RMB706.8 million, RMB976.9 million and RMB1,025.0 million, respectively, which accounted for approximately 22.4%, 19.1%, 29.2% and 46.6% of our total purchases, respectively.
Business · p. 244
Our purchase from Supplier C was relatively high as a percentage to our total purchases for FY2023 and 8MFY2024, which accounted for approximately 29.2% and 46.6% of our total purchases for the relevant year/period.
Business · p. 260
Our Directors believe that these alternative sourcing and new business relationships with domestic producer and other overseas suppliers will diversify our source of supplies, and reduce the risk of concentration on a number of existing suppliers.
During the Track Record Period, purchases from our five largest suppliers in that year/period amounted to RMB255.3 million in 2020, RMB286.6 million in 2021, RMB302.3 million in 2022 and RMB157.2 million in the six months ended June 30, 2023, which accounted for 97.6%, 97.0%, 93.6% and 89.4% of our total cost of sales, respectively.
Business · p. 200
Nevertheless, we by no means relied on, and it is unlikely that we would be materially and adversely affected by the change of, our largest suppliers or primary subcontractors, considering that (i) we select suitable subcontractors pursuant to our internal procurement standards and procedures; typically there are multiple subcontractors that we could choose from, and we engaged different primary subcontractors during the Track Record Period; and
Business · p. 204
As a result, our transaction amount with Supplier B decreased from RMB211.4 million in 2021 to RMB112.5 million in 2022, which accounted for only 34.8% of our total cost of sales, whereas our transaction amount with Supplier A increased from RMB119.1 million, which accounted for 36.9% of our total cost of sales in 2022, to RMB154.0 million, which accounted for 87.5% of our total cost of sales in the six months ended June 30, 2023.