Chengdu Guoxing Aerospace Technology Co., Ltd. (Guoxing Aerospace) has updated its prospectus, continuing its push for a Hong Kong listing. If successful, this eight-year-old commercial aerospace company could become the first "Space AI" stock on the Hong Kong exchange.
Against the backdrop of rising interest in AI and commercial aerospace over the past year, Guoxing Aerospace is positioned at the intersection of two highly sought-after capital market themes.
**Selling AI Satellites**
Founded in May 2018 in Chengdu by founder Lu Chuan, Guoxing Aerospace initially focused on developing AI payloads internally before shifting to independently developing AI satellites. The company launched China's first AI application satellite in December 2018 and China's first large AI model computing satellite in September 2024. By May 2025, it had successfully developed and launched the world's first AI computing satellite constellation, consisting of 12 satellites.
To date, Guoxing Aerospace has completed 14 space missions, launching a total of 27 satellites, with 15 AI computing satellites still in orbit. Unlike traditional satellites that require sending massive raw data back to ground stations for processing, AI satellites can perform data processing, analysis, and decision-making functions directly in orbit. With AI integration, satellites can evolve from simple data collectors into intelligent terminals.
The company's goal in launching AI satellites is to build a global space-based computing network, providing computing power services as convenient as utilities for silicon-based intelligence worldwide.
From 2023 to 2025, Guoxing Aerospace reported revenues of approximately 5.08 billion yuan, 5.53 billion yuan, and 7.03 billion yuan, respectively, with a nearly 27% year-on-year increase in 2025. The company currently holds orders for 37 AI satellites pending delivery, with a total contract value of about 12.31 billion yuan, along with an additional project backlog for space-based solutions worth approximately 104 million yuan.
According to Frost & Sullivan data, based on 2025 revenue, Guoxing Aerospace ranked seventh among Chinese private commercial aerospace companies engaged in satellite-related businesses, with a market share of 2.1%.
From 2023 to 2025, the company reported losses of 139 million yuan, 177 million yuan, and 256 million yuan, respectively, accumulating a total loss of about 572 million yuan over three years. The company attributes these losses to R&D investments, administrative expenses, and fluctuations in the gross margin of its space-based solutions.
R&D expenses for 2023 to 2025 were 53.478 million yuan, 142 million yuan, and 152 million yuan, respectively. Compensation for R&D personnel, including salaries, bonuses, and equity incentives, accounted for 58.7%, 51.7%, and 67.2% of these expenses, highlighting the company's emphasis on R&D talent.
**Valuation Skyrockets 120-Fold in 7 Years**
Beyond its advanced business, Guoxing Aerospace has drawn attention for its rapid fundraising and valuation growth. Since its founding in 2018, the company has completed 10 funding rounds, raising over 5 billion yuan in total.
During its angel round in 2018, Guoxing Aerospace was valued at only about 95 million yuan, with investments from entities related to Lu Chuan's alma mater, the University of Electronic Science and Technology of China, and Shenzhen Capital Group. By December 2023, after raising 522 million yuan, its post-investment valuation had risen to 4.122 billion yuan. Following another 538 million yuan raise at the end of 2024, its valuation further increased to 6.538 billion yuan.
Last month, the company completed another funding round, raising 3.55 billion yuan in a single tranche, bringing its post-investment valuation to approximately 11.554 billion yuan. This represents a staggering increase of over 120 times in just seven years.
The investor list for the latest round includes notable industry figures and A-share listed companies. Jiang Zhenlin, Chairman of Zhenyu Technology (300953.SZ), subscribed to approximately 1.9814 million shares for about 400 million yuan. Ye Guofu, Chairman and CEO of MINISO Group Holding Limited (09896.HK), subscribed to about 792,600 shares for approximately 160 million yuan. Additionally, Jinko Solar (601778.SH) and Trina Solar (688599.SH) subscribed to around 322,000 shares and 247,700 shares for about 65 million yuan and 50 million yuan, respectively.
As of May 4, 2026, Jiang Zhenlin holds a 3.46% stake, Ye Guofu holds 1.38%, Jinko Solar holds 0.56%, Trina Solar holds 0.43%, and Shenzhen Capital Group holds 2.61%. Founder Lu Chuan controls 30.77% of the voting rights through three holding platforms and a concerted action arrangement.
The prospectus indicates that Lu Chuan, 42, has nearly two decades of experience in AI, aerospace, and communication engineering and is a recipient of national high-level talent support.
Raising such a significant amount just before an IPO underscores sustained market interest in the "AI + commercial aerospace" narrative. However, from a commercial standpoint, the current valuation reflects more than just present revenue. A company with 7 billion yuan in annual revenue, consecutive losses, and no stable cash flow being valued over 10 billion yuan essentially represents a bet on its future potential.
**Conclusion**
In terms of industry positioning, Guoxing Aerospace remains in the second tier of the commercial aerospace sector. However, another ranking better highlights its differentiation. Frost & Sullivan notes that, based on cumulative AI satellite launches, Guoxing Aerospace currently ranks first among all Chinese private commercial aerospace companies. The company is also China's earliest commercial aerospace firm to develop, produce, and launch AI application satellites and AI computing satellites, and one of the few with comprehensive satellite development capabilities.
This comprehensive capability encompasses not just satellite design but the entire chain of development, assembly, and testing. The company has established the Chengdu AIT Center, Jiaxing Testing Base, and Taizhou Center, with plans for a Shenzhen Center. The Taizhou Center, which began operations in February this year, primarily handles satellite development and testing tasks. The establishment of the Shenzhen Center is expected to further enhance Guoxing Aerospace's capacity for mass production of AI satellites.
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