Following the release of its strongest quarterly results since going public, Biwin Storage Technology Co., Ltd. saw its stock price tumble after several major shareholders announced plans to reduce their holdings.
On April 17, shares of Biwin Storage (688525), a leading storage company on the STAR Market with a market cap exceeding 100 billion yuan, opened lower and continued to decline throughout the trading session. The stock ultimately closed at 270.67 yuan per share, down nearly 6%, reducing the company's total market capitalization to 127.4 billion yuan. This represented a single-day evaporation of approximately 7.6 billion yuan in market value.
The sharp decline came after an announcement made on the evening of April 16. Biwin Storage disclosed that shareholders Sun Jing, Shenzhen Baisheng, Shenzhen Baitai, Shenzhen Taises, and Shenzhen Fang Tailai intended to sell portions of their company shares.
According to the announcement, these shareholders plan to collectively sell up to 9.416734 million shares of Biwin Storage between May 14 and August 13. This represents no more than 2.00% of the company's total shares. Prior to this planned reduction, these shareholders held a combined 23 million shares, accounting for 4.87% of the total equity.
Breaking down the individual plans, shareholder Sun Jing intends to sell up to 4.7084 million shares (1.00% of total equity). Shenzhen Baisheng plans to sell up to 523,200 shares (0.11%), Shenzhen Baitai up to 2.0926 million shares (0.44%), Shenzhen Taises up to 732,400 shares (0.16%), and Shenzhen Fang Tailai up to 1.3602 million shares (0.29%). The stated reason for all sales is personal or partnership capital needs.
It is noteworthy that these shareholders were previously acting in concert with the company's actual controller, Sun Chengsi. However, the concerted action agreement signed by the parties expired and was terminated on December 30, 2025. There is currently no concerted action relationship between the relevant parties.
Regarding the share reduction, Biwin Storage stated in the announcement that it is primarily based on the shareholders' own management needs and is not expected to significantly impact the company's corporate governance or ongoing operations.
Despite the company's attempt to downplay the impact, the timing of the shareholders' announcement appears noteworthy when viewed in a slightly broader context. Just on the evening of April 15, immediately preceding the sell-off announcement, Biwin Storage had reported exceptionally strong financial results for the first quarter of 2026. The company achieved revenue of 6.814 billion yuan, a staggering year-on-year increase of 341.53%. Net profit attributable to shareholders reached 2.899 billion yuan, a significant turnaround from a loss of 197 million yuan in the same period last year.
This performance not only marked the best first-quarter results since the company's listing but also saw its net profit surpass the full-year totals of 161 million yuan in 2024 and 853 million yuan in 2025 combined, reaching 2.9 times the sum. This growth pace is rare within the A-share semiconductor sector.
Biwin Storage attributed this leap in performance to the AI computing boom driving the storage industry into a high-growth cycle, with strong market demand pushing product prices higher. Simultaneously, the company capitalized on the industry's upward trend by aggressively expanding its global key client base, achieving breakthroughs in both market presence and business operations.
Public information shows that Biwin Storage was founded in 2010 and listed on the STAR Market in December 2022. The company is primarily engaged in the R&D, packaging and testing, production, and sales of semiconductor memory storage media. Its main products and services cover embedded storage, consumer-grade storage, industrial-grade storage, and advanced packaging and testing services.
Stimulated by the positive first-quarter results, the capital market responded positively on April 16, with Biwin Storage's share price surging intraday to over 290 yuan, approaching its historical high.
Consequently, just as investors were immersed in the narrative of the "AI storage leader's earnings explosion," the plot took a sharp turn. The shift from "blockbuster earnings" to a "surprise sell-off" led to a dramatic reversal in market sentiment within 24 hours.
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