New Stock News | Yixin Communications has once again submitted an application to the Hong Kong Stock Exchange, ranking third in the global cellular communication chip market.

According to the Hong Kong Stock Exchange's disclosure on August 24, Shanghai Yixin Communication Technology Co., Ltd. (referred to as Yixin Communication) has submitted a listing application to the main board of the Hong Kong Stock Exchange, with China Securities Co., Ltd. International as the exclusive sponsor. The company had previously submitted a listing application to the Hong Kong Stock Exchange on November 30, 2025. Company Overview The prospectus shows that Yixin Communication is a provider of cellular communication chips with a highly optimized engine that enables devices to communicate via cellular LTE/5G networks. According to a report by Frost & Sullivan, the company ranks third in global cellular communication chip market revenue (market share: 3.9%). The company focuses on the research, development, and commercialization of cellular communication chips while outsourcing wafer manufacturing, assembly/packaging, and testing to third-party foundries and outsourced semiconductor packaging and testing (OSAT) partners. According to technical characteristics and application scenarios, cellular communication chips can be divided into low-speed, medium-speed, high-speed, and ultra-high-speed. The companys products are an indispensable part of industries related to data transmission, and it continues to expand its footprint in large-scale connectivity, industrial control, broadband connectivity, consumer electronics, and satellite communications. The product range is divided into multiple categories according to the supported cellular IoT standards, providing solutions for a broad market demand. NB-IoT: very suitable for low data speed, long-range, and ultra-low power applications, such as smart metering, environmental sensors, and smart city devices. 4G Cat.1bis: provides balanced performance for medium-speed applications requiring voice support, such as POS terminals, asset tracking, AI devices, wearable devices, and IoT devices. 5G reduced capability (5G Redcap) / LTE Cat.4 and 5G enhanced mobile broadband (5G eMBB): tailored for industrial IoT applications requiring speed and low latency, such as connected vehicles, CPE devices, and real-time multimedia. The revenue breakdown by products and services is as follows: Since launching its first NB-IoT product in 2019, the company has continuously expanded and refined its product matrix to meet the ever-changing demands of the IoT market. The current product line includes EC616, EC616S, and EC626 for NB-IoT; EC618, EC716, EC718, and EC718M for Cat.1bis; and EC800L for LTE Cat.4, catering to low-speed, medium-speed, and mid-to-high-speed transmission needs. These products, with their high integration, low power consumption, and cost-effectiveness, have solidified the companys industry leadership. Looking ahead, the company is preparing for the next stage of innovation, with the upcoming 5G RedCap product expected to significantly enhance performance while controlling costs. In addition, the 5G eMBB product being developed will extend the companys leadership into high-speed transmission applications and solidify its position in 5G communications. Beyond chip sales, the company also generates revenue through licensing, services, and providing design services to global semiconductor leader Q. These services complement the core business and further enrich the companys engagement model, creating added value for customers through broader adoption of its technology across various fields. As the largest and rapidly expanding cellular IoT connectivity market globally, China provides a continuous growth foundation for cellular communication chip suppliers. In 2022, the number of cellular IoT end users among Chinas three major telecom operators reached 1.84 billion, surpassing the number of mobile phone users for the first time, marking a structural shift towards a "thing-centric" network. Cellular IoT connections are projected to further increase to 2.66 billion by 2024, reflecting ongoing market penetration and ecosystem expansion. Concurrently, driven by the continuous growth of applications across various connection scenarios worldwide, the global cellular communication chip market continues to expand. According to Frost & Sullivan, global cellular communication chip shipments are expected to reach approximately 703 million units by 2025, with a market size (measured by revenue) of RMB 16.3 billion. Financial Information Revenue In the fiscal years of 2023, 2024, 2025, and the six months ending June 30, 2026, the company's revenues are approximately RMB 533 million, RMB 552 million, RMB 689 million, RMB 337 million, and RMB 416 million respectively. Net Profit Net profits for the fiscal years 2023, 2024, and 2025, and the six months ending June 30, 2026, are approximately -RMB 159 million, RMB 12.395 million, -RMB 15.956 million, RMB 16.853 million, and -RMB 39.025 million respectively. Gross Margin Gross margins for the fiscal years 2023, 2024, 2025, and the six months ending June 30, 2026, are 8.9%, 22.3%, 18.3%, and 7.8%, respectively. Industry Overview The global cellular communication chip market continues to grow rapidly, with shipments increasing from approximately 406 million units in 2021 to around 703 million units by 2025, representing a compound annual growth rate (CAGR) of 14.7%. With the continuous expansion of downstream application scenarios and market demand, the market size is expected to accelerate further, growing from 842 million units in 2026 to 1.28 billion units by 2030, with a CAGR of 12.7%. NB-IoT chips continue to exhibit strong growth momentum, with shipments increasing from 51.8 million units in 2021 to 97.1 million units by 2025, achieving a CAGR of 17.0%, primarily driven by demand for smart metering, underground sensors, and rural deployments. It is anticipated that by 2030, shipments will reach approximately 115 million units, with a CAGR of 3.5% from 2026 onwards. Cat.1bi chips hold the largest market share in the cellular communication chip market, supported by a well-established LTE infrastructure and widely applied in large-scale industrial and consumer applications. Shipments are projected to grow from 139 million units in 2021 to 401 million units by 2025, with a CAGR of 30.3%. It is expected that by 2030, shipments will reach 691 million units, achieving a CAGR of 11.5%. Cat.4 chips are experiencing stable growth, with shipments increasing from 93.4 million units in 2021 to 102 million units by 2025, at a CAGR of 2.2%, primarily driven by demand for consumer hotspots, home gateways, and in-car connectivity. Due to technological replacements, it is projected that by 2030, shipments will grow to approximately 109 million units, with a CAGR of 1.3% from 2026 to 2030, showing a steady growth trend. 5G RedCap, a high-growth area, is rapidly developing, particularly achieving large-scale commercial deployment in the power industry. In 2025, shipments of 5G RedCap chips are expected to reach 7 million units and are anticipated to grow to 128 million units by 2030, with a CAGR of 78.7% from 2026 to 2030. The growth impetus primarily originates from advancements in smart manufacturing, vehicle networking, and diverse smart terminals. 5G eMBB chips are showing robust growth primarily driven by demand from CPE, automotive systems, and PCs/tablets. Shipments are projected to increase from 6.1 million units in 2021 to 56.3 million units by 2025, achieving a CAGR of 74.3%. By 2030, shipments are expected to reach 141 million units with a CAGR of 20.1% starting from 2026, attributed to a notable transition of the industry from traditional PCs to AI PCs. 5G eRedCap, as a further evolution of 5G RedCap technology, aims to further reduce terminal complexity and costs, primarily targeting the cost- and power-sensitive mid-to-low-speed IoT market, and is expected to achieve scaled growth during the forecast period. By 2030, shipments of 5G eRedCap chips are expected to grow to 44.8 million units. With the increasing demand for general connectivity, integration of 5G standards, and expansion of applications in fields such as transportation, industrial IoT, and public safety, the satellite IoT market is expected to expand. Large-scale satellite constellation construction, ecological partner expansion, and decreasing technology costs will further promote satellite IoT to become a core element of future communication networks. Shipments of its chips are expected to grow from 7.6 million units in 2026 to 48.6 million units by 2030, with a CAGR of 103.1%. In 2025, total global shipments of cellular communication chips are estimated to reach approximately 703 million units. The companys global shipments of cellular communication chips are about 144 million units, accounting for 20.4% of total global shipments, ranking second worldwide. By 2025, the global market size (measured by revenue) of the cellular communication chip industry is expected to reach RMB 16.251 billion. The company's revenue from cellular communication chips in 2025 is approximately RMB 630 million, accounting for 3.9% of the global cellular communication chip market (measured by revenue). In 2025, total global shipments of NB-IoT chips are expected to reach 97.1 million units, accounting for about 14% of the global cellular communication chip market. The company's global shipments of NB-IoT chips amount to 39 million units, constituting 40.2% of the global total, and ranking second worldwide. Other major companies in the NB-IoT chip sector include Company D, Company E, Company C, and Company A. By 2025, the global market size of the NB-IoT chip industry is anticipated to reach RMB 442 million, comprising about 3% of the global cellular communication chip market. The company's revenue from NB-IoT chips in 2025 is expected to be RMB 161 million, accounting for 36.5% of the global NB-IoT chip market (measured by revenue). Board Information The board of directors currently consists of seven members, including four executive directors and three independent non-executive directors. Shareholding Structure The largest shareholder group of the company includes Mr. Liu, Ai Gan Cheng Zhi, and Ai Gan Ji Hui (the company's employee stock ownership platform), all managed by Mr. Liu as their general partner. As of the latest practicable date, the largest shareholder group jointly has the right to exercise approximately 32.79% of the voting rights of the total issued shares of the company. Intermediary Team Sole Sponsor: China Securities Co., Ltd. (International) Financing Company Company Legal Advisors: Regarding Hong Kong Law: JunHe LLP; Regarding Chinese Law: JunHe LLP Legal Advisor of the Sole Sponsor: Regarding Hong Kong Law: Tianyuan Law Firm (limited liability partnership); Regarding Chinese Law: Fangda Partners Auditors and Reporting Accountants: Ernst & Young Industry Advisor: Frost & Sullivan (Beijing) Consulting Co., Ltd. Shanghai Branch Compliance Advisor: Hongbo Capital Limited