New Stock News | Zhongxin Home Furnishings files for listing on the Hong Kong Stock Exchange, ranking first among Chinese PVC flooring export manufacturers.

According to the disclosure on January 30th by the Hong Kong Stock Exchange, Jiangsu Zhongxin Home Furnishing New Materials Co., Ltd. (referred to as Zhongxin Home) submitted an application for listing on the main board of the Hong Kong Stock Exchange, with CCB International as its exclusive sponsor. According to Frost & Sullivan data, based on the sales area of PVC flooring worldwide in 2024, Zhongxin Home ranks eighth among Chinese PVC flooring export manufacturers, with a market share of 0.61%. Based on the sales area of SPC flooring worldwide in 2024, the company ranks first among Chinese PVC flooring export manufacturers, with a market share of 1.02%. Company Profile The prospectus shows that Zhongxin Home is a reputable PVC flooring export manufacturer in China, and is a leader in the SPC flooring field. With nearly 20 years of industry experience, the company is committed to providing high-quality PVC flooring products to global customers, focusing on product innovation, intelligent manufacturing, and global business expansion. Zhongxin Home designs, develops, manufactures, and exports PVC flooring products. The company's PVC flooring products include SPC, LVT, and WPC flooring products. The company's core product, SPC flooring, has excellent characteristics such as waterproofing, moisture resistance, high fire resistance, and easy installation. The company's products have been certified by FloorScore in the United States. In addition, the company has obtained ISO9001 International Quality Management System Certification, ISO14001 International Environmental Management System Certification, EU CE Certification, EPD Carbon Emission Certification, and China Environmental Labeling Product Certification. Zhongxin Home mainly adopts the ODM model, providing overseas well-known building material brands and retailers with customized product design, development, and manufacturing services, as well as customs clearance and logistics services, to establish long-term business relationships. The company's products are well received in the international market, with customers worldwide covering China, Europe, the United States, and other countries and regions. In 2023, 2024, and the nine months ended September 30, 2025, the company's overseas revenue accounted for 96.0%, 97.9%, and 99.4% of total revenue, respectively, and revenue from the U.S. market accounted for 79.6%, 68.5%, and 81.2% of total revenue, reflecting the company's global business layout. In order to comply with China's "Belt and Road" initiative and the policy orientation of manufacturing going global, the company strategically established a production base in Vietnam in 2023. The base has a construction area of 53,000 square meters and began operations in July 2023, equipped with 24 production lines with advanced equipment. The estimated annual production capacity of the Vietnam production base is 24.1 million square meters. The products of the Vietnam production base are mainly exported to the United States and Europe. In addition, the company is building a second production base in Vietnam, which includes a factory building with an area of 17,000 square meters and 8 production lines, with an estimated annual production capacity of 8.0 million square meters. The second Vietnam production base is expected to be completed and put into operation by 2026. Furthermore, the company's production base in Changzhou, China, was established in 2008, with a factory building area of 108,600 square meters and 24 production lines. As of September 30, 2025, the annual production capacity of the Changzhou production base... Financial Information Revenue The company achieved revenues of approximately RMB 1.422 billion, RMB 972 million, RMB 673 million, and RMB 960 million in the years 2023, 2024, the nine months ended September 30, 2024, and the nine months ended September 30, 2025, respectively. Gross Profit and Gross Profit Margin The company's gross profit was approximately RMB 369 million, RMB 216 million, RMB 126 million, and RMB 204 million for the years 2023, 2024, the nine months ended September 30, 2024, and the nine months ended September 30, 2025, respectively, with corresponding gross profit margins of 26.0%, 22.3%, 18.8%, and 21.3%. Annual/Period Profit The company recorded annual/period profits of approximately RMB 125 million, RMB 52.717 million, RMB 13.035 million, and RMB 74.054 million for the years 2023, 2024, the nine months ended September 30, 2024, and the nine months ended September 30, 2025, respectively. Industry Overview The flooring industry can be roughly divided into three categories based on materials. The first category is PVC flooring, which is manufactured using PVC resin combined with fillers and additives and is characterized by waterproofing, wear resistance, and easy installation, which can be further subdivided into SPC flooring, WPC flooring, and LVT flooring. The second category is wood flooring, which uses natural wood or plant fibers as the core material and includes solid wood flooring and engineered wood flooring that retain natural wood grain and texture, as well as bamboo... Looking forward to the years 2024 to 2029, the global flooring industry's manufacturing revenue is expected to increase from approximately RMB 394 billion to RMB 498.2 billion, with an overall compound annual growth rate of 4.8%. PVC flooring is expected to maintain the fastest growth rate, with a compound annual growth rate of 7.6%, while wood flooring and other flooring products are expected to have compound annual growth rates of 2.5% and 2.1%, respectively. Benefitting from its advantages in waterproofing, durability, and ease of installation, PVC flooring is expected to further increase its revenue contribution to the entire flooring industry and maintain key growth momentum during the forecast period. From 2020 to 2024, the global PVC flooring industry's manufacturing revenue increased from approximately RMB 125.3 billion to approximately RMB 173.7 billion, with a compound annual growth rate of 8.5%. During the same period, East Asia increased from approximately RMB 52.2 billion to approximately RMB 64.2 billion, with a compound annual growth rate of 5.3%; Southeast Asia expanded from approximately RMB 29.6 billion to approximately RMB 54.3 billion, with a compound annual growth rate of 16.3%, ranking first in growth among all regions worldwide; North America increased from approximately RMB 13.9 billion to approximately RMB 16.8 billion, with a compound annual growth rate of... Looking ahead to the years 2024 to 2029, the global PVC flooring industry's manufacturing revenue is expected to increase from approximately RMB 173.7 billion to approximately RMB 250.2 billion, with an overall compound annual growth rate of 7.6%. Southeast Asia is expected to remain the fastest-growing region, with a compound annual growth rate of 11.7%, and manufacturing revenue is projected to increase from approximately RMB 54.3 billion to approximately RMB 94.2 billion. This strong performance is mainly due to the region's supply-side expansion and capacity enhancement. The increase in production capacity and the gradual transfer of some manufacturing processes have improved local output in key processes such as extrusion molding, surface treatment, and lock molding. Furthermore, Southeast Asia benefits from relatively competitive manufacturing costs, strengthening industrial parks and export processing infrastructure, and improved logistics connectivity, enhancing its capacity to undertake export-oriented orders and provide contract manufacturing services for overseas markets. As upstream and downstream supporting capacities continue to mature, including more efficient sourcing of raw materials and additives, as well as improvements in delivery and quality management, Southeast Asia is expected to further consolidate its position as a scale manufacturing base for PVC flooring. Europe and other regions are expected to have compound annual growth rates of 6.7% and 7.4%, while East Asia and North America are expected to maintain relatively moderate growth rates of 4.8% and 4.5%, respectively. Overall, the continued demand release in emerging markets is expected to remain a key driver of growth for the global PVC flooring industry. SPC flooring market size increased from approximately RMB 61.1 billion to RMB 91.8 billion, with a compound annual growth rate of 10.7%, becoming the fastest-growing segment market among major product categories. Over the same period, the market size of LVT flooring increased from approximately RMB 45.9 billion to RMB 57 billion, with a compound annual growth rate of 7.9%, while the market size of WPC flooring increased from approximately RMB 18.4 billion to RMB 24.9 billion, with a compound annual growth rate of 5.6%. Looking ahead, SPC flooring is expected to maintain strong growth momentum, with a compound annual growth rate of 9.1%, and its market size is expected to increase to approximately RMB 142.2 billion. LVT and WPC flooring are expected to steadily expand at compound annual growth rates of 7.0% and 5.1%, respectively. SPC flooring is expected to continue to maintain its leading position, mainly due to its strengthening of key performance... Board of Directors Information The company's board of directors consists of nine directors, including six executive directors and three independent non-executive directors. The board of directors is responsible for managing and operating the company's business, with general authority over the management and operation of the company's business, including establishing business strategies, implementing resolutions passed at shareholder meetings, and exercising other powers, functions, and duties granted by the company's articles of association. The board of directors is also responsible for formulating and reviewing the company's policies and practices related to internal controls and compliance with laws and regulations. Ownership Structure Mr. Yao Yong, Mr. Yao Zhongxing, and Ms. Huang Liying jointly hold a 89.3% stake in Changzhou Zhongxin; Mr. Yao Yong holds a direct stake of 5.2%; Mr. Hang Cheng holds a 3.6% stake; and Ms. Yao Yun holds a 1.9% stake. As of the last practicable date, Mr. Yao, Mr. Yao Zhongxing, and Ms. Huang Liying respectively hold 73.2%, 11.6%, and 15.2% equity interests in Changzhou Zhongxin. Therefore, (i) Mr. Yao, Mr. Yao Zhongxing, and Ms. Huang Liying are regarded as having interests in the shares of Changzhou Zhongxin; and (ii) Mr. Yao's spouse, Ms. Ding Yaqin, is regarded as having interests in the shares held by Mr. Yao and Changzhou Zhongxin. Advisory Team Exclusive Sponsor: CCB International Finance Limited Legal Counsel: Han Kun Law Firm for Hong Kong law; DeHeng Law Offices for Chinese law; Han Kun LLP for U.S. law; Donaldson & Burkinshaw LLP for Singapore law; DFDL Vietnam Law Company Limited for Vietnam law Legal Counsel for Exclusive Sponsor: Beijing Tongsong Law Firm for Chinese law Auditor and Reporting Accountant: Ernst & Young LLP Industry Consultant: Frost & Sullivan Property Valuer: Cushman & Wakefield Limited Compliance Advisor: Nan Hua Finance Limited.