Another big hit! Amazon's revenue exceeds 1.5 billion

The red ocean is no longer red, and another big seller in the 3C track is about to be listed!

Following Anker Innovations and BULL, another well-known consumer electronics brand , UGREEN, is about to ring the bell for its IPO.

UGREEN Amazon revenue exceeds 1.5 billion! Many products win BSR

Today, UGREEN officially started subscription, with the subscription code 301606, the subscription price of RMB 21.21 per share, the upper limit for subscription for a single account of 6,500 shares, and the subscription quantity of 500 shares in multiples . The market value before issuance is RMB 7.92 billion, the issuance P/E ratio is 24 times, the industry P/E ratio is 33.11 times, it belongs to the Growth Enterprise Market, and the sponsor is Huatai United Securities.

Huatai Securities uses the PE relative valuation method and the FCFF absolute valuation method, and believes that the fair value range of GreenLink Technology after its listing is 8.343 billion to 8.461 billion yuan.

UGREEN products mainly cover five series: transmission, audio and video, charging, mobile peripherals, and storage. In 2023, the company's operating income was 4.803 billion yuan, and its net profit attributable to the parent company was 388 million yuan. The average annual compound growth rate from 2021 to 2023 reached 18.05%, and its performance showed a trend of rapid growth.

In recent years, UGREEN has gradually formed a comprehensive layout of "online + offline" and "domestic + overseas". It is worth noting that the company continues to focus on cross-border e-commerce, relying on the "UGREEN UGREEN" brand, and has entered multiple platforms such as Amazon, AliExpress, Shopee, and Lazada. During the reporting period, the proportion of overseas online sales revenue to main business revenue was 41.12%, 37.25% and 40.71% respectively .

UGREEN has won honors such as "Alibaba King's Store" and "JD.com's Best Store of the Year". Its main products continue to be selected as Amazon's best-selling products (Best Seller) and Amazon's Choice, and the brand's global influence continues to increase.

Amazon platform is one of UGREEN's main sales channels, with revenue exceeding 1.5 billion in 2023, accounting for 32.69% of the main business revenue. It was 1.16 billion in 2022 and 1.149 billion in 2021, a year-on-year increase of 17.36% (979 million in 2020). It can be said that UGREEN's sales revenue on the Amazon platform has increased year by year.

The stratification of UGREEN's sales orders on the Amazon platform according to the customer consumption amount is as follows. In 2023, a total of 12.4987 million orders were sold . It can be observed that products with a single order amount of less than 100 yuan and between 100 yuan and 500 yuan are the main sales force. Among them, the number of orders with a single order amount of less than 100 yuan in 2023 reached 6.128 million, accounting for 49.03%.

While low-priced products are selling well, high-end products are also gaining momentum. In the past three years, the number of orders with a single order amount of more than 2,000 yuan has steadily increased, with a total of 18,500 orders sold in 2023.

UGREEN's revenue on platforms such as AliExpress, Lazada, and Shopee is also very considerable. In 2023, its sales on AliExpress were 107 million yuan, its sales on Lazada were 82.9 million yuan, and its sales on Shopee were 120 million yuan.

Termination of listing! Pisen’s IPO dream shattered

Although both are 3C products that sell well, PISEN’s road to IPO is relatively tortuous.

On June 25, 2024, the Shenzhen Stock Exchange announced that PISEN Electronics withdrew its IPO application. According to relevant regulations, the Shenzhen Stock Exchange decided to terminate the review of the company's initial public offering and listing on the main board.

On March 31, 2024, Pin Sheng temporarily suspended its listing because the financial information recorded in its IPO application documents had expired and needed to be supplemented and submitted. This was a very normal thing in the IPO process. According to convention, Pin Sheng only needed to supplement the information in a timely manner to continue the listing process. However, three months later, the news that Pin Sheng had terminated its listing came.

Pisen mainly develops and sells 3C smart peripheral products such as mobile power supplies, chargers, data cables, built-in batteries and other smart hardware. In the first half of 2023, its revenue was 674 million yuan, its net profit was 45.81 million yuan, and its net profit after deducting non-recurring items was 41.25 million yuan.

In 2020, 2021 and 2022, the revenue was RMB 1.142 billion, RMB 1.328 billion and RMB 1.329 billion respectively; the net profit was RMB 102 million, RMB 100 million and RMB 97.14 million respectively; the net profit after deducting non-recurring items was RMB 78.996 million, RMB 83.647 million and RMB 88.986 million respectively.

The prospectus shows that some of Pisen Electronics' distributors are former employees of the company. During the reporting period, the number of former employee distributors of Pisen Electronics was 119, 126 and 127 respectively, with corresponding revenues of 321 million yuan, 309 million yuan and 260 million yuan respectively, accounting for 28.58%, 23.56% and 19.68% of the main business revenue respectively.

In overseas markets, PISEN has established itself as the "leader in 3C smart mobile peripheral products" and has entered multiple e-commerce platforms such as Amazon. Its power bank products have attracted more than 2 million consumers, and its data cables have also performed well, with annual sales expected to reach 24.73 million units in 2022.

Pinsheng said it will increase its investment in cross-border e-commerce and actively explore cross-border e-commerce channels represented by Amazon.

Many 3C brands are selling well! Products from Apeman Technology, Shokz and others continue to sell well

Using cross-border e-commerce as a springboard to break through the sales ceiling, many 3C sellers are living very well in their respective segments, and products from brands such as Apeman Technology and Shokz continue to sell well.

Aohai Technology was founded in 2004, and its business layout covers smart terminal charging and storage, new energy vehicle electronic control, digital energy and other fields. Among them, mobile phone chargers will have a global market share of nearly 17% in 2023, ranking first in the world.

Aohi Technology is not only a supplier to well-known mobile phone manufacturers such as Huawei, Meizu, Transsion, and Coolpad , but also has developed two of its own brands, "AOHI" and "MOVE SPEED" .

In recent years, Aokai Technology has launched various creative charging and storage products on Amazon, eBay, Lazada , overseas crowdfunding and other channels, and has achieved remarkable results. Due to its strong product strength, some of its products on platforms such as Amazon can already compete with its customers. For example, one of its mini fast chargers has successfully won the Amazon's Choice logo .

In 2023, Aokai Technology launched more than 20 new products on the Amazon platform , mainly including data cables, charging heads, mobile power supplies, hard drives, USB flash drives, etc. , and it seems that it is going to increase its investment in this platform.

Shokz was founded in 2011. After years of development, it has a pivotal position in the field of global bone conduction headphones and professional sports headphones. As of the end of 2021, Shokz accounted for 70% of the global bone conduction headphone shipments in overseas markets.

Shaoyin is now available on multiple Amazon sites including the United States, Canada, Japan, and Europe.

In December 2023, the top four on Amazon's open-ear headphones best-seller list were all from the same brand - Shokz. In 2022, Shokz won the "Amazon Annual Shining Brand Award".

Yuanren Technology mainly deals in imaging and smart home products. In 2016, it started its overseas expansion with sports cameras. Although it was established later, its overseas development has been unstoppable: in 2017, its sports camera sales ranked first in the German Amazon market. In the third year after its establishment, its monthly sales exceeded 100 million yuan. In 2020, its revenue reached 2 billion yuan. In 2021, it completed its B+ round of financing, becoming a cross-border unicorn and won the "TOP100 Entrepreneurial Dark Horse in the New Consumer Force List". In 2023, its monthly turnover exceeded 100 million again .

In addition, there are many excellent cross-border sellers in the 3C track, such as Baseus, CableCreation, 1MORE, Soundcore, etc.

3C products , known as the red ocean category , are a hot-selling evergreen category. Although the competition is fierce, there have always been constant business opportunities. The gradual development of the market, from mobile phone peripherals to computer peripherals, from Bluetooth headsets to smart speakers, from smart watches to AR/VR wearable devices, and the increasingly rich product lines have jointly driven the improvement of the prosperity of the consumer electronics industry.