New Stock Outlook | Breaking through fierce competition, Eastroc Beverage dares to challenge the Hong Kong Stock Exchange with increased fundraising to expand overseas business.

After the initial IPO application was unsuccessful, the leading functional beverage company, Eastroc Beverage (Group) Co., Ltd. (referred to as "Eastroc Beverage" (605499.SH)) swiftly resubmitted the application to the Hong Kong Stock Exchange, demonstrating its determination. At a critical period in the internationalization process of Chinese brands, Eastroc Beverage, as a benchmark enterprise in the consumer goods sector in China, its IPO process is not only essential for its own financing and development but also seen by the market as an important window to observe how Chinese domestic brands leverage the international capital market to achieve global strategic deployment. Therefore, it has attracted widespread attention from investors and research institutions. Significant effects of diversification strategy As a leading functional beverage company in China, the company has shown outstanding revenue growth, ranking first among the top twenty listed soft drink companies globally, as disclosed in its prospectus. According to a Frost & Sullivan report, by sales volume, Eastroc Beverage has been the market leader in the Chinese functional beverage market for four consecutive years starting from 2021, with market share increasing from 15.0% in 2021 to 26.3% in 2024; by retail sales, the company ranked second in the industry in 2024, with a market share of 23.0%, consolidating its position in the industry. With over thirty years of development, Eastroc Beverage has built a national-level beverage product matrix centered around the "Dongpeng" brand, dedicated to providing consumers with delicious and high-quality beverages at a competitive price. While solidifying its core business in functional beverages, the company has also been continuously advancing product innovation and diversifying its product categories. Specifically, the company's products cover multiple categories including energy drinks, sports drinks, tea beverages, coffee beverages, plant-based protein beverages, and fruit and vegetable juice beverages. Among these, the sports drinks sector has been the fastest-growing product for the company in recent years. The "Dongpeng Hydrating" product launched in January 2023, targeting scenarios of sweating and hydration with a main function of "rapid electrolyte replenishment," recorded revenue of nearly 1.5 billion yuan in 2024, a year-on-year growth of up to 280.4%. Against this backdrop, the revenue contribution of the company's sports drinks has also been growing year after year, increasing from 3.5% in 2023 to 9.4% in 2024, further rising to 13.9% in the first half of 2025, indicating that the product has become the company's "second growth curve." Meanwhile, other beverage products including tea beverages, coffee beverages, plant-based protein beverages, and fruit and vegetable juice beverages have also shown steady revenue growth. During the reporting period, they achieved revenues of 280 million yuan, 500 million yuan, 1.02 billion yuan, and 880 million yuan, with revenue shares of 3.3%, 4.5%, 6.5%, and 8.2%, respectively. With the rapid growth in revenue from sports drinks and other beverage products, the revenue contribution of energy drinks represented by "Dongpeng Special Drinks" has declined slightly, with figures of 96.6%, 91.9%, and 84% for 2022, 2023, and 2024 respectively, further decreasing to 77.9% in the first half of 2025. Nevertheless, it remains the company's flagship product with the largest revenue share. During the reporting period, revenue from this product continued to grow from 8.21 billion yuan in 2022 to 13.3 billion yuan in 2024, with a compound annual growth rate of 27.3%. At the same time, the gross margin performance of this product has steadily increased from 42.5% in 2022 to 47.5% in 2024, further rising to 49.9% in the first half of 2025. This has also driven the overall profitabil... The sentence seems to be cut off, so I cannot provide a full translation. Let me know if you would like me to continue.