IPO Radar｜Jingjie Electronics Submits Application to HKEX, Loses Over RMB 1 Billion in 3.5 Years, Multiple Clients Also Act as Suppliers

According to the HKEX website, on September 5, Jingjie Electronics Technology (Jiangsu) Co., Ltd. (referred to as "Jingjie Electronics") submitted its listing application, with China International Capital Corporation (CICC) and Guotai Junan International acting as joint sponsors.

Information shows that Jingjie Electronics was established in 2015 and is dedicated to providing innovative sensing chips. According to a Frost & Sullivan report, based on 2024 revenue, Jingjie Electronics is the world's third-largest automotive wireless sensing SoC company and China's largest automotive wireless sensing SoC company.

In terms of performance, the prospectus reveals that during the reporting periods (2022 to 2024, and the first half of 2025), Jingjie Electronics achieved revenues of approximately RMB 104 million, RMB 223 million, RMB 348 million, and RMB 157 million, respectively. The losses during these periods were approximately RMB 205 million, RMB 356 million, RMB 351 million, and RMB 143 million, respectively, with a cumulative loss of RMB 1.055 billion.

Jingjie Electronics stated that the company incurred significant net losses and was in a net liability position during the track record period and may not achieve or maintain profitability in the near future or thereafter. As the company is in the stage of expanding its business and operations in the rapidly growing wireless sensing SoC industry and continues to invest in R&D, it may continue to generate net losses in the short term.

Regarding clients, Jingjie Electronics mentioned that its customers mainly include direct customers in relevant downstream industries, particularly tier-1 suppliers and distributors. During the reporting periods, revenue from the top five customers accounted for 41.2%, 35.6%, 52.1%, and 46.8% of total revenue, respectively.

Jingjie Electronics stated that negotiations with these overlapping customers or suppliers for sales and purchase terms are conducted on an individual basis, and sales and purchases are neither interconnected nor conditional upon each other. All sales and purchases with these overlapping customers or suppliers are conducted in the ordinary course of business under normal commercial terms and fair trading principles.

Additionally, Jingjie Electronics noted that its business may be affected by seasonal fluctuations. The company typically recognizes a higher proportion of revenue in the second half of each year, primarily due to the procurement patterns of customers in the automotive industry.