New Stock Preview | Visionet Technology: China's Swimming Pool Cleaning Siasun Robot&Automation "Number One", Gross Margin to the left Net Profit Margin to the right

The Hong Kong stock market is expected to see the emergence of a leading player in the smart equipment segment race track. According to the disclosure on April 24 by the Hong Kong Stock Exchange, Tianjin Wangyuan Smart Technology Co., Ltd. (referred to as "Wangyuan Technology") officially submitted its application for listing on the main board of the Hong Kong Stock Exchange, with China Securities Co., Ltd. International as the sole sponsor. Wangyuan Technology previously submitted its application on September 28, 2025. The prospectus shows that Wangyuan Technology is a growing global enterprise, focusing on the research, design, production, and marketing of pool cleaning Siasun Robot & Automation. According to the report from Zhoushi Consultancy, based on the shipment volume and GMV of self-made products in 2024, the company is among the top three globally and ranked first in China as a supplier of pool cleaning Siasun Robot & Automation. The company has a comprehensive product portfolio with advanced pool cleaning technology. According to the same source, based on the shipment volume of self-made products in 2024, the company is also the pioneer and largest supplier of wireless pool cleaning Siasun Robot & Automation with a market share of 19.7%. According to the prospectus, the company plans to use the funds raised from the IPO mainly for four purposes: expanding the Tianjin production base and warehouse facilities; expanding channels through Wuxi Online Offline Communication Information Technology Co., Ltd.; increasing investment in research and development, focusing on core technologies such as AI vision, wireless charging, underwater 3D modeling; and supplementing operational funds. Products cover 60 countries and regions globally Wangyuan Technology was founded in 2005 and has been focusing on the pool cleaning Siasun Robot & Automation segment for nearly twenty years, establishing a complete industry chain from research and development to manufacturing and global sales. Before 2023, the company mainly operated on an ODM basis. Since 2023, the company has shifted to its own brand DTC model, actively reducing the scale of ODM, and focusing resources on building two major brands, WYBOT and WinnyPoolCleaner. According to the prospectus, from 2023 to 2025, the revenue from brand products increased from 67.1% to 83.5%, while the revenue from ODM decreased from 31.1% to 15.6%. Wangyuan Technology first introduced light products in 2009, cordless products in 2014, and AI-driven products in 2023. Currently, the company's product portfolio includes cordless, corded, and handheld products, with a total of 48 main models, with cordless products contributing over 97% revenue in 2025. In 2023, 2024, and 2025, the company sold approximately 370,500, 431,000, and 501,100 units of pool cleaning Siasun Robot & Automation, respectively. As of April 15, 2026, the company's products have entered 60 countries and regions worldwide, forming a synergistic channel network with Wuxi Online Offline Communication Information Technology Co., Ltd., and is one of the few Chinese intelligent cleaning enterprises that can directly compete with international giants. Rapid revenue growth, profit margin under pressure In terms of performance, from 2023 to 2025, Wangyuan Technology showed characteristics of high revenue growth, continuous increase in gross profit margin, and temporary pressure on net profit margin. During the reporting period, the company's operating income was 378 million yuan, 544 million yuan, and 812 million yuan, respectively, with a compound annual growth rate of 46.6%. Revenue growth was led by the company's own brand, with brand product revenue reaching 678 million yuan in 2025, a year-on-year increase of 72.4%, significantly faster than the overall growth rate. In terms of regional structure, overseas revenue accounted for over 90% in 2025, with North America and Europe being the core markets contributing about 44% and 41% of sales revenue, respectively. Benefiting from the increase in the proportion of own brand, and the upgrade of product structure, the company's gross profit margin increased from 57.5% in 2023 to 58.0% in 2024, further increasing to 62.9% in 2025. In terms of net profit, the company achieved a net profit of 60.849 million yuan, 70.51 million yuan, and 100 million yuan in the three years, but the net profit margin decreased from 16.1% in 2023 to 13% in 2024 and further declined to 12.4% in 2025, continuously decreasing for three years. The core reason for the decline in net profit margin is the sharp increase in sales expenses. To promote brand internationalization and expand overseas channels, the company has continued to increase its investment in Amazon advertising, brand promotion, and channel development, leading to a continuous rise in sales expenses. From 2023 to 2025, the company's sales and distribution expenses increased from 97.186 million yuan to 303 million yuan, with the sales expense ratio reaching 37.2% in 2025. Wangyuan Technology pointed out in the prospectus that it plans to continue increasing investment in sales and marketing, further expanding its sales channels. The company cannot guarantee that such investments will have a positive impact on customer development and product sales sufficient to cover costs. If sales and marketing efforts do not achieve the expected results, the company's business, operating performance, and financial condition will be adversely affected. Expanding the pool cleaning Siasun Robot & Automation track, focusing on four major risks The global pool cleaning Siasun Robot & Automation industry is currently in a period of increasing penetration rate, wireless substitution, and intelligent upgrade, providing Wangyuan Technology with a broad growth space. However, industry competition and external risks also pose challenges to long-term development. According to the report from Zhoushi Consultancy, pools are an essential component of the growing outdoor living space, becoming increasingly interconnected and intelligent with the popularity of home IoT devices and the rise of AI technology. AI technology is expected to lead the next generation of top courtyard experiences, including accessibility, intelligent pool cleaning, and maintenance. Pool cleaning is a cumbersome task for pool owners and operators. Due to the significant improvement in pool maintenance convenience, water conservation, and reduction of the use of aggressive chemicals provided by pool cleaning Siasun Robot & Automation, the demand for pool cleaning Siasun Robot & Automation to replace manual labor is increasingly seen as a necessary and regular requirement for the continued operation of pools. The global pool inventory is steadily expanding, reaching approximately 34.1 million in 2025 and expected to increase to 41.1 million by 2030, with a compound annual growth rate of 3.8%. The global pool cleaning Siasun Robot & Automation market size continues to expand, reaching 2.8 billion US dollars in 2025 and expected to increase to 4.568 billion US dollars by 2030, with a compound annual growth rate of 10.3%. In terms of penetration rate, the global penetration rate was 27.8% in 2025, expected to increase to 34.7% by 2030. In China, the penetration rate of pool cleaning Siasun Robot & Automation is expected to increase from 8.7% in 2025 to 16.2% in 2030, with significant growth prospects in pools in sports centers, luxury hotels, apartments, hot springs or spa facilities, as well as underwater environments such as aquariums and breeding pools. Against this backdrop, Wangyuan Technology has a clear medium to long-term growth path. On one hand, it relies on capacity release, deepening channels, and increasing the proportion of high-end products to achieve sales growth. On the other hand, the company extends its growth boundaries from household pools to commercial pools, ships, landscape pools, aquaculture, and other scenarios; and promotes platform-based AI+ underwater Siasun Robot & Automation technology to expand more underwater applications. It is worth noting that in the process of globalization, Wangyuan Technology will face four major risks: first, overseas patent litigation risk, the company is involved in patent infringement disputes with Zodiac in the United States and France, and although the probability of winning is considered high by lawyers, there is still uncertainty; second, platform dependency risk, with nearly 50% of revenue coming from the Amazon channel, changes in platform policies can have a significant impact; third, overseas market and exchange rate risks, with high dependence on overseas markets, trade policies, tariffs, and exchange rate fluctuations can all have an impact; fourth, the risk of sustained profit pressure, if sales expenses remain high, the net profit margin may continue to decline. Overall, Wangyuan Technology is in a stable expansion phase in the pool cleaning Siasun Robot & Automation track, establishing a leading position in the niche field through technological accumulation, product advantages, and a globalized channel. With the continuous increase in the proportion of own brand revenue and the gradual release of production capacity, the company has the foundation to further expand its market share in the future. However, factors such as international patent disputes, channel concentration, profit pressure from marketing investment, and changes in the international market environment will still pose challenges to its long-term operation. The success of this Hong Kong IPO in converting industry dividends into sustainable business results will require continuous validation from the market and performance.