Once sold 10 billion yuan worth of goods a year! Another cross-border company restarts IPO

In the capital market, the road to IPO for companies is full of challenges, and not every IPO company's listing is so smooth.

Tongli Technology, whose listing was suspended due to overdue financial information, has restarted its IPO and is continuing its journey to listing.

Tongli Technology restarts IPO

Looking back on Tongli Technology's listing process, it was full of twists and turns.

In August 2013, Tongli Technology was listed on the main board of the Hong Kong Stock Exchange with the stock code 01249.HK.

However, in 2021, Tongli Technology completed its privatization and delisted from the Hong Kong stock market.

In September 2022, Tongli Technology submitted an IPO application in the country.

On March 2, 2023, Tongli Technology's main board IPO application materials were accepted by the Shenzhen Stock Exchange.

The company expects to raise 1.015 billion yuan, which will be mainly used for upgrading the manufacturing technology of the plant, building a research and development center, expanding the production capacity of electroacoustic products and replenishing cash flow. The sponsor of this issuance is Huatai United Securities, and the auditing agency is Dahua Certified Public Accountants.

On March 30, 2023, the Shenzhen Stock Exchange issued an inquiry letter to Tongli Technology.

In May 2023, Tongli Technology responded to the relevant questions in the Shenzhen Stock Exchange's inquiry letter.

On June 30, 2023, the Shenzhen Stock Exchange issued another letter of implementation of opinions to Tongli Technology.

On July 28, 2023, Tongli Technology passed the listing committee meeting.

On November 6, 2023, Tongli Technology entered the stage of submitting registration application to the China Securities Regulatory Commission.

On March 31, 2024, Tongli Technology was judged to have its listing suspended because the submitted financial information had expired.

Now, Tongli Technology has updated and submitted relevant financial information and restarted its IPO.

It is reported that the predecessor of Tongli Technology was TCL Tongli Electronics (Huizhou) Co., Ltd., which was established by TCL Holdings (BVI) Co., Ltd. in January 2000 with a capital of 16 million yuan. It is mainly engaged in ODM business of speaker products, wearable devices, AIoT products and precision components and accessories.

In the early stages of Tongli Technology's development, its main business was DVD OEM, providing ODM services for DVD products to global brands such as Philips, Sony, Toshiba, Panasonic, and LG. At that time, its shipments ranked first in the world.

Later, with the rapid development of the electronics industry and the decline of the DVD industry, Tongli Technology began to transform into acoustic products. Its main products include speaker products, wearable devices, AIoT products, precision components and accessories.

After years of development, Tongli Technology has established solid cooperative relationships with many well-known international and domestic consumer electronics and Internet brand companies, and the group's various products are sold to the global market through customers.

At present, Tongli Technology has reached stable cooperative relationships with companies such as Amazon, Anker Innovations, Harman, Sony, Samsung, Jabra, OPPO, Alibaba, Google, ByteDance, and Lenovo.

As the fifth largest customer of Tongli Technology , Anker's purchase amount in 2020 was 400 million yuan, mainly concentrated in speakers and AloT categories; Alibaba's purchase amount of AloT products was much higher than Anker. In 2022, Tongli Technology also became a supplier of Amazon, with a purchase amount of 365 million yuan, mainly concentrated in the field of wearable devices.

Tongli Technology's revenue exceeded 10 billion! With multiple advantages, it has become popular

In recent years, Tongli Technology has experienced rapid development and its performance has maintained steady growth.

From 2020 to 2022, Tongli Technology's revenue was 8.508 billion yuan, 9.754 billion yuan and 10.031 billion yuan respectively, and the net profit attributable to the parent company's owners was 347 million yuan, 285 million yuan and 372 million yuan respectively. Although the net profit in 2021 fluctuated, it maintained a steady growth trend overall.

Especially in 2022, Tongli Technology's revenue exceeded 10 billion yuan.

In the first three quarters of 2023, Tongli Technology achieved a revenue of approximately 6.7-7 billion yuan, and its net profit attributable to the parent reached 340-380 million yuan, almost catching up with the net profit for the whole year of 2022.

From the perspective of specific revenue structure, speakers are the product that contributes the most to KONE Technology's revenue, and have remained stable at more than 50% in the past three years. KONE Technology has become an important supplier of world-renowned consumer electronics brands.

Tongli Technology’s second largest product is wearable devices, and its third largest product is AIoT products.

Tongli Technology’s ability to achieve such outstanding results is inseparable from its strong product strength.

1. Tongli Technology's speaker products include Bluetooth speakers, Soundbar, Partybox, etc. These products adopt excellent structure and acoustic design, have IPX7 professional waterproof and IP6X dustproof functions, and provide high-quality sound effects. Tongli Technology has in-depth cooperation with internationally renowned acoustic brands such as Harman, Sony, and Samsung in the field of speaker products to ensure the sustainability of speaker product revenue.

2. Tongli Technology's wearable device products include headphones, TWS headphones, smart bracelets, etc. Among them, the headphones use a forward and backward feed-forward hybrid noise reduction algorithm to provide an immersive music experience. The TWS headphones are equipped with ear canal /leakage/environmental adaptive ANC noise reduction algorithms, and also support BT5.3 LE-Audio solutions, support CIS and BIS protocols, bone conduction + 2-Mic + intelligent AI uplink call noise reduction algorithms, and support multiple voice assistant wake-up . It is worth mentioning that Tongli Technology has obtained large orders for TWS headphones from long-term cooperative customers such as Harman by relying on its self-developed core technologies such as noise reduction, voice interaction, and sensor algorithms .

3. The main application scenarios of Tongli Technology's AIoT products include smart speakers, routers, smart lights, smart cameras , etc. AIoT products are a new business expanded by Tongli Technology in recent years. Such products are based on technical pre-research in AI speech recognition algorithms and microphone array design and implementation, providing users with a one-stop intelligent solution .

For a long time, Tongli Technology has established strong competitiveness in the field of acoustic products through continuous R&D investment and technological innovation.

In the past three years, Tongli Technology has invested 1.4 billion yuan in R&D. Tongli Technology has established R&D centers in Huizhou, Shenzhen, Xi'an, and Malaysia, and has also established industry-leading laboratories such as full anechoic chambers, semi-anechoic chambers, far-field voice test rooms, and headphone wind noise test rooms. It has a R&D team of about 1,500 people, including various senior experts, and has formed a series of core technologies in product simulation, algorithms, radio frequency, acoustics, etc.

Tongli Technology also has great advantages in the supply chain.

KONE Technology has achieved lean and intelligent production on the supply chain side, and has established multiple manufacturing bases in Huizhou, Beihai and Vietnam. It has global production and manufacturing capabilities and can effectively reduce the risks of trade barriers.

Tongli Technology continues to innovate in the field of acoustic products and has launched a series of new products including smart bracelets, smart speakers with screens, smart routers, smart cameras, etc.

Tongli Technology has been making great strides in its field . Yien.com will continue to pay close attention to whether it can eventually be successfully listed on the Shenzhen Stock Exchange .

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Tongli Technology