Preview of US stocks IPOs | Revenue Down, Net Profit Up How does "Industry Fourth" Amber Finance go to the next level?

On March 6, Rich Sparkle Holdings Limited, a subsidiary of the Amber Financial Services Group Limited (hereinafter referred to as "Amber Financial"), publicly submitted an IPO to the U.S. Securities and Exchange Commission (SEC), with the stock code ANPA and aiming to raise between 5 to 7.5 million USD, and seeking to list on Nasdaq. The company had initially submitted a confidential application to the SEC on September 13, 2024. Rich Sparkle is a BVI commercial company that does not have significant direct business activities, mainly operating through its subsidiary, Amber Financial, in Hong Kong. Established in 2016, Amber Financial focuses on designing and printing high-quality financial materials, providing a wide range of financial printing services such as typesetting, proofreading, translation, design, and printing. More specifically, Amber Financial provides comprehensive services for document preparation to Hong Kong-listed companies and companies preparing for their initial listing on the HKEX. Its product portfolio includes listing documents, financial reports, fund documents, notices, and announcements. It also offers a wide range of convenient and high-quality financial printing services such as typesetting, corrections, translations, graphic design, and printing to its clients. As a financial printing service company closely related to the secondary market, can Amber Financial impress Nasdaq with its true strength by venturing into the U.S. market? Revenue down, net profit up The financial printing service industry is an indispensable part of the global stock market. Due to Amber Financial's business reliance on the Hong Kong stock market, including initial public offerings, secondary offerings, mergers and acquisitions, public and private debt issuances, leveraged buyouts, spin-offs, bankruptcies, and claims handling transactions, the company's operational performance is easily affected by global financial market fluctuations. This is evidently reflected in Amber Financial's latest operational performance. According to the prospectus data, as of the fiscal year ending on September 30, 2023, and September 30, 2024, the company achieved revenues of 6.2688 million USD and 5.8844 million USD, respectively, representing a 6.1% decrease year-on-year. The revenue decline was mainly due to a decrease in the company's main business of financial printing services, which decreased by approximately 0.8676 million USD during the... The company's liquidity pressure. With the increasing demand for digital services, breaking through the current situation is an urgent issue. Looking at the competitive landscape, the competition in the financial printing service market is still fierce, with fewer than 50 market participants, including some internationally renowned companies that can provide comprehensive printing services with certain resource and technological advantages, as well as some local companies that benefit from profound market knowledge, flexible pricing strategies, and rapid response capabilities. In terms of serving listed companies, Amber Financial ranks fourth in the Hong Kong financial printing service market, with a customer retention rate reaching 72.0% from 2022 to 2023, far exceeding the industry average. Despite the fierce industry competition, Amber Financial still maintains its position in the market based on its own strength. However, looking at it from a deeper perspective, the market challenges facing the company may not only be the fierce competition but also the impact of digital transformation on its related businesses. This is mainly reflected in three aspects: First, traditional printing demand is shrinking as global financial regulators gradually accept electronic documents (such as electronic prospectuses, online annual reports), leading to a slowdown in traditional printing business growth. Second, there is a rising demand for digital services, with customers increasingly requiring digital solutions such as interactive PDFs, data visualization, and online roadshow materials. And finally, a hybrid model is emerging, where some scenarios still rely on high-end printed materials (such as IPO ceremonies, shareholder meetings), forming a dual-track demand for "paper + digital" materials.Request.Therefore, in the company's latest growth strategy, Amber Finance expressed its intention to integrate generative artificial intelligence functionality into its service module. The company pointed out that although it currently relies on traditional information technology to produce deliverables, it now recognizes the transformative potential of generative artificial intelligence. In the future, the company will utilize generative artificial intelligence technologies, such as advanced natural language processing (NLP) and machine learning algorithms, to enhance operational efficiency and accuracy. Additionally, the company plans to expand its global influence by expanding its business to the United States to capitalize on the growth of the US stock market. In conclusion, although Amber Finance operates in a "niche track" where competition pressure is relatively low due to the top effect, it is important to note that building core competitive advantages may still be crucial as it could drive the overall performance of the company to a new level. Whether the company can reverse the revenue growth trajectory through a strategy of technological iteration + expanding global influence remains to be seen and may require time to validate.