New Stock News | Zejing Electronics Submits Application to Hong Kong Stock Exchange as a Pioneer in China's Innovative Smart Cockpit Visual and Interactive Solutions.

According to the Hong Kong Stock Exchange disclosed on May 9th, Jiangsu Zejing Automotive Electronics Co., Ltd. (referred to as: Zejing Electronics) has submitted an application for listing on the main board of the Hong Kong Stock Exchange, with HAITONG INTL and CITIC SEC as its joint sponsors. The prospectus disclosed that Zejing Electronics is a pioneer and leader in China's innovative intelligent cockpit visual and interactive solutions, mainly providing the W-HUD(CyberLens) solution CyberVision for the windshield HUD solution and the augmented reality HUD solution respectively, with testing solutions and other innovative visual technology solutions as supplementary comprehensive solutions. Zejing Electronics was the first in China to launch a self-developed HUD solution and was the first in China to launch a mass-produced AR-HUD based on Digital Light Processing (DLP) technology, which can guarantee more stable and reliable performance by resisting environmental interference. Through innovative solutions, the company actively promotes the transformation of intelligent cockpit visual and human-vehicle interaction systems from 2D to 3D, AR, and market penetration. According to Zhoushi Consulting's data, the market size of China's car-mounted HUD solutions is expected to increase from 1 million units in 2020 to 3.9 million units in 2024, with a compound annual growth rate of 41.2%. It is expected to grow to 12.7 million units by 2029, with a compound annual growth rate of 27.9% between 2025 and 2029. Financially, the company's revenue is expected to be approximately 214 million, 549 million, and 578 million RMB in the years 2022, 2023, and 2024 respectively. During the same period, the company is expected to experience net losses of approximately 256 million, 175 million, and 138 million RMB. Zejing Electronics points out that the company recorded net losses and negative cash flow from operating activities in the past years, and it may not be able to achieve profitability or maintain positive cash flows from operating activities in the future. The company's ability to achieve future profitability is influenced by various factors, such as the ability to expand customer base and increase sales volume, enhance solution product capabilities, and expand production capacity. Additionally, Zejing Electronics has incurred and may continue to incur significant costs and expenses, which may affect its ability to achieve profitability in the future. Due to continued investment in research and development and production expansion, changes in the macroeconomic and regulatory environment, and competitive landscape, the company may continue to incur annual losses or experience negative cash flows from operating activities in the future.