Guoxia Secures Hong Kong Listing Amid Energy Storage Boom and Financial Strains
Guoxia Technology Co. Ltd., a leading provider of AI-driven energy storage solutions, has received approval from the China Securities Regulatory Commission to apply for a Hong Kong listing. The move comes amidst growing demand in commercial and industrial sectors and a projected boom in China's new energy storage installations.
Guoxia's turnover has been surging in recent years, reaching 1.03 billion yuan ($144 million) in 2024. Despite this growth, the company faces operational challenges, including tight cash flow, shrinking margins, and soaring receivables. In the first half of 2025, Guoxia's net profit margin stood at a mere 0.8%, with gross margins halving from 25.1% to 12.5%. Trade receivables have also ballooned, reaching 952 million yuan in the same period.
To address these challenges and fund its business development, Guoxia has applied to list on the Hong Kong Stock Exchange. The company provides innovative energy storage solutions, capitalizing on the growing demand in commercial and industrial sectors. CALB Group serves as both a battery cell supplier and a customer for Guoxia's large-scale energy storage systems. Guoxia has also received investments from Kaibo Hongcheng and Shenzhen Ningqian, increasing its valuation to 6 billion yuan.
Guoxia Technology Co. Ltd. has gained clearance for a Hong Kong listing, aiming to capitalize on the growing energy storage market. Despite operational challenges, the company's innovative solutions and strategic partnerships, such as with CALB Group, position it well for future growth. The listing is expected to provide the necessary funds for business development and expansion.
