Guanglian Technology Holdings (02531) surged 31% to a high of 6.38 Hong Kong dollars, a new high since its listing, up more than 35% from the issue price of 4.7 Hong Kong dollars. As of press time, it rose 31.34%, to HK$6.37, with a turnover of 9.13 million Hong Kong dollars.
According to the Smart Finance APP, Guanglian Technology Holdings (02531) surged 31% to a high of 6.38 Hong Kong dollars, a new high since its listing, up more than 35% from the issue price of 4.7 Hong Kong dollars. As of press time, it rose 31.34%, to HK$6.37 with a turnover of 9.13 million Hong Kong dollars.
As a participant in the Chinese automotive after-sales market industry, Guanglian Technology Holdings provides car-mounted hardware and SaaS marketing and management services, focusing on selling car-mounted hardware products to industry participants and providing SaaS marketing and management services. According to the report of Zhishen Consulting, Guanglian Technology Holdings ranks first among SaaS marketing and management service providers in the Chinese automotive after-sales market industry with a market share of 6.1% based on the revenue in 2023; and ranks third among car-mounted hardware providers in the Chinese automotive after-sales market industry with a market share of 3.4%.
However, based on its financial data, Guanglian Technology's past profit performance is relatively unstable. Its gross margin from 2020 to 2023 is approximately CNY 0.11 billion, CNY 94.681 million, CNY 0.173 billion, and CNY 0.252 billion, respectively; its net income is approximately CNY 0.048 billion, CNY 0.035 billion, CNY 0.049 billion, and CNY 0.051 billion, respectively. In 2023, the company's gross margin reached 44.9%, a year-on-year increase of 3.1 percentage points, but the net profit margin decreased by 2.3 percentage points year-on-year to 9.2%. One of the main reasons for the pressure on profit growth is the rapid increase in distribution and sales expenses.