UGREEN Plans to List on Shenzhen Stock Exchange

Consumer Discretionary Author: EqualOcean News, Xiaoran Zhang Apr 02, 2024 01:38 PM (GMT+8)

UGREEN achieved a revenue of over 4.8 billion yuan in 2023 and is currently planning to go public to further propel its development.

Stock market

Recent reports reveal that UGREEN Technology Co., Ltd. (referred to as "UGREEN"), based in Shenzhen, has submitted registration documents to the Shenzhen Stock Exchange, aiming to list on the GEM (the Growth Enterprise Market), with Huatai United Securities as the sponsoring institution.

Established in 2012, UGREEN is a national high-tech enterprise integrating research and development, design, production, and sales. Centered around user experience and real-world scenarios, UGREEN provides comprehensive digital solutions. Its product range includes five main categories: transmission, audiovisual, charging, mobile peripherals, and storage. Currently, transmission products constitute the largest portion of UGREEN's business, followed by audiovisual and charging products. Additionally, the company offers peripheral and storage products, including private cloud storage solutions.

Through continuous development and the introduction of advanced production technologies, UGREEN ensures efficiency, quality, and sustainability across all production stages. The company has established robust online and offline sales channels and expanded its presence to markets in the United States, the United Kingdom, Germany, Japan, and other regions, following a global independent branding strategy. Overseas sales primarily operate under the online B2C model through platforms such as Amazon, AliExpress, Shopee, and Lazada. UGREEN's products have gained popularity in overseas markets, consistently ranking as Best Sellers and Amazon's Choice, among others. Financial data indicates that from 2021 to 2023, UGREEN achieved revenues of 3.446 billion yuan, 3.839 billion yuan, and 4.802 billion yuan, with net profits of 305 million yuan, 330 million yuan, and 394 million yuan, respectively, representing a compound annual growth rate of 18.05%. Since its inception, UGREEN has attracted investments from notable institutions such as Hillhouse Capital and Sequoia Capital.

Despite UGREEN's positive business trajectory, analysts point out potential risks during the listing process, including shortcomings in product development and quality control, as well as reliance on e-commerce platforms and external production. Overall, successful listing presents a significant development opportunity for the company. Moving forward, UGREEN will need to intensify its research and development efforts and mitigate risk factors to foster long-term growth.