Financial Services Association, March 1 (Editor Feng Yi) On February 29, Shanghai Reshape Energy Group Co., Ltd. submitted a statement on the main board of the Hong Kong Stock Exchange, with CICC as its sole sponsor.

According to the prospectus, Reshape Energy was founded in 2015 and focuses on the design, development, manufacture and sale of hydrogen fuel cell systems, hydrogen energy equipment and related components, and provides hydrogen fuel cell engineering development services to meet customer needs.

According to Frost & Sullivan, according to the total output power of hydrogen fuel cell systems sold for heavy trucks in 2022, the company ranked first in China's hydrogen fuel cell system market, with a market share of 25.9%.

Reshape Energy revealed that the financing will mainly be used for R&D and production expansion of hydrogen fuel cell systems and hydrogen energy equipment; overseas market business expansion, etc.

Previously, Hong Kong stocks had already listed two hydrogen fuel cell concept stocks, namely Yihuatong (02402.HK), which was listed on AH, and Guohong Hydrogen (09663.HK), which was listed on the Hong Kong Stock Exchange last year.

It is worth noting that judging from the listing experience of the two companies, the Hong Kong stock market's acceptance of the hydrogen energy concept is quite limited.

In January 2023, Yihuatong listed at an issue price of HK$60 per share, which was oversubscribed by 0.29 times from retail investors. As of press release, Yihuatong Hong Kong shares reported HK$35.40 per share, which is almost “lower” than the listed issue price.

Guohong Hydrogen Energy, on the other hand, landed on the Hong Kong Stock Exchange in December 2023. At the time of public sale, it was oversubscribed by only 0.18 times. On the first day of listing, it plummeted 25% during the intraday period, and the company's stock price is still in a broken state.

At the industry level, the market size of the global hydrogen fuel cell industry reached 5.8 billion US dollars in 2022, growing at a CAGR of 37.6% since 2018. The global hydrogen fuel cell industry is expected to reach $82 billion in 2027.

Over the same period, global hydrogen fuel cell sales increased from 784.8 MW in 2018 to 3194.0 MW in 2022, growing at a CAGR of 42.0%. Fuel cell vehicles are the main driving factor. The global hydrogen fuel cell market is expected to reach 48754.2 MW by 2027, with a CAGR of 72.5% during this period.

Meanwhile, the market size of China's hydrogen fuel cell industry has also increased from RMB 700 million in 2018 to RMB 2.9 billion in 2022, with a CAGR of 41.8%. It is expected to reach RMB 29.3 billion in 2027.

According to 2022 sales, China accounts for about 18.9% of the global fuel cell system market. The sales volume of hydrogen fuel cell systems reached 603.0 MW, and the compound annual growth rate from 2018 to 2022 is 79.1%, which is expected to reach 13053.5 MW in 2027.

Financial reports show that in 2021, 2022 and the first nine months of 2023, reshaping energy achieved revenue of about 524 million yuan, 605 million yuan, and 219 million yuan respectively; during the same period, the company's losses were about 654 million yuan, 546 million yuan, and 460 million yuan respectively, totaling more than 1.1 billion yuan.

As a comparison, in the first five months of 2021, 2022 and 2023, Guohong Hydrogen Energy's revenue was $457 million, $748 million and $143 million respectively, while net losses were $703 million, $280 million and $88 million

On the side of Yihuatong, revenue in 2023 was about 801 million yuan, with a net loss of 226 million yuan. In 2021 and 2022, Yihuatong's revenue was 629 million yuan and 738 million yuan respectively, leading the three companies, with losses of 162 million yuan and 166 million yuan respectively for the same period.

In terms of revenue and performance alone, whether in terms of scale of performance or loss, reshaping energy does not have an advantage over the two hydrogen energy companies already listed in Hong Kong, or even lags behind.

Therefore, the valuation and subsequent trends of reshaping energy's future listing financing are also likely to be in a similar situation to those of the previous two companies.

In addition, reshaping energy also suggests that the current government support policy for the hydrogen energy market, demand for fuel cell vehicles, and industrial technology paths are uncertain, and potential risk factors may also have a significant impact on the company's business