New Stock News | Qingtian Full Tax Pass Hong Kong Stock Exchange Ranks First in China's Cross-border Enterprise Intelligent Financial and Tax Solutions Market

According to the disclosure by the Hong Kong Stock Exchange on October 17, Nanjing Qitiantong All-Tax Information Technology Co., Ltd. (referred to as Qitiantong) has submitted its listing application to the main board of the Hong Kong Stock Exchange, with CICC and ICBC International as its joint sponsors. According to Frost & Sullivan data, by 2024, Qitiantong ranked first in the Chinese cross-border enterprise intelligent tax solutions market (by revenue), with a market share of 1.7%, and second in the Chinese cross-border enterprise financial and tax digital solutions market (by revenue), with a market share of 1.2%. The prospectus shows that Qitiantong is a leading Chinese cross-border enterprise digital professional service provider, dedicated to providing multidimensional digital solutions to cross-border enterprises engaged in import and export trade. Since its establishment in 2012, Qitiantong has reached nearly 420,000 foreign trade export enterprises and cross-border e-commerce enterprises, serving approximately 160,000 users with over 2 million service instances, making it one of the top companies providing digital solutions for cross-border enterprises (based on customer base). By 2024, Qitiantong had over 60,000 active users, with approximately 27,000 being paying customers, and the company has a high stickiness, high repurchase rate, and a long-term stable customer base. The company's business covers multiple provinces and cities such as Jiangsu, Shanghai, Guangdong, Shandong, Shenzhen, Qingdao, and Chongqing, particularly in the Yangtze River Delta region which houses over 280,000 cross-border enterprises in China. As of December 31, 2024, Qitiantong's market penetration rate was approximately 10%. Leveraging its strong technological capabilities and rich experience in the cross-border trade industry, Qitiantong has launched a comprehensive solution for cross-border enterprise financial and tax digitization, covering intelligent financial and tax solutions for cross-border enterprises, ticket management solutions, and cross-border enterprise risk control and compliance solutions, achieving full business coverage in all scenarios of cross-border enterprise finance and tax. Financially, during the historical period, Qitiantong's revenue mainly came from product sales and solutions. Revenue increased from RMB 119 million in 2022 to RMB 161 million in 2023, and further increased to RMB 171 million in 2024. For the six months ended June 30, 2025, the company recorded revenue of RMB 63.82 million; the company's gross profit for 2022, 2023, 2024, and the six months ended June 30, 2025 were RMB 99.907 million, RMB 133 million, RMB 120 million, and RMB 42.921 million respectively. Due to increased system integration costs, the gross profit margin decreased from 83.0% in 2023 to 70.0% in 2024. The prospectus warns that the success of Qitiantong depends on the market's acceptance of its various solutions and services. If the development of the industry in which the company operates is slower than expected, or even stagnates or shrinks, it may have a significant adverse impact on the company's business, financial condition, and operating performance.