On December 3, Anker Innovations Technology Co., Ltd., the global power bank leader, formally submitted its listing application to Hong Kong Stock Exchange. Notably, this comes just six months after the company raised nearly 1.1 billion yuan through convertible bonds.
Despite 27.79% revenue growth in the first three quarters of 2025, Anker's non-GAAP net profit only increased by 13.82%, significantly lagging behind sales growth due to product recall impacts. The company's Q3 non-GAAP net profit actually declined 2.92% to 521 million yuan - an unusual occurrence for the typically high-growth firm.
The performance drag stems from Anker's recall of 710,000 power banks across seven models in June 2025, caused by unauthorized material changes by a battery supplier. This recall, along with subsequent Bluetooth speaker recalls, is estimated to cause approximately 500 million yuan in losses. The company reported 290 million yuan in asset impairment losses during the period.
With China's new power bank safety standards taking effect in June 2026, industry experts predict production costs could rise over 20%. Maintaining Anker's premium 45% gross margin - significantly above industry average - will depend on passing these costs to consumers in its core US and European markets.
Despite holding 2.59 billion yuan in cash and 2.53 billion yuan in liquid financial assets (totaling over 5.1 billion yuan in cash equivalents), Anker continues seeking capital market funding. The company distributed 800 million yuan in employee bonuses in 2024 and paid 1.116 billion yuan in dividends that year alone. Controlling shareholders Yang Meng and He Li, who own 47.04% of Anker, have received over 1.1 billion yuan from dividends since 2022.
Anker's stock has surged over 200% since early 2022 to around 110 yuan per share, giving the founders a 27 billion yuan fortune. Early investor IDG Capital reportedly earned at least 500 million yuan from its investment. The company has also granted hundreds of employees stock options worth hundreds of millions through three consecutive years of equity incentives.
While Anker's overseas-focused strategy delivers premium margins, analysts caution about rising trade friction risks and the challenge of maintaining profitability amid tightening regulations and potential cost increases.
Comments