Lingong Heavy Machinery files for Hong Kong IPO amid shifting sales trends

A bold IPO move meets market headwinds. Can Lingong’s surging overseas revenue offset its slumping domestic **work** equipment demand?

, and ASMedia

2025 November 13 . 3:07 AM

1 min read

In this picture we can see a market, in which we can see some stoles and we can see few people are... — In this picture we can see a market, in which we can see some stoles and we can see few people are around.

Lingong Heavy Machinery files for Hong Kong IPO amid shifting sales trends

Lingong Heavy Machinery Co. Ltd. has filed for a Hong Kong IPO, aiming to raise funds for production enhancement, R&D, and global expansion. Meanwhile, the mining equipment market is projected to grow at a compound annual rate of almost 6% from 2020 to 2023.

Lingong's revenue increased by over 20% in 2023, but sales contracted in the first half of 2024 compared to the previous year. Growth in Lingong's core mining equipment sales is slowing, with sales barely increasing in the first half of 2024. Aerial work platforms, accounting for 40% of Lingong's total revenue in 2023, saw a significant decrease of 45% year-on-year in the first half of 2024.

Overseas sales have been a bright spot for Lingong, rising to 44% of its overall revenue in the first half of 2024, up from 31% a year earlier and 27% in 2022. However, Lingong's exposure to the real estate sector through aerial work platforms is a concern due to the ongoing property slump in China. The gross profit margin for aerial work platforms was nearly 28% in the first half of 2024, compared to 19% for mining equipment.

Lingong Heavy Machinery Co. Ltd. is seeking funds through a Hong Kong IPO for growth and expansion. Despite a slowdown in mining equipment sales and a significant drop in aerial work platform sales, Lingong's overseas sales have been increasing. However, the company's exposure to the struggling Chinese real estate sector through aerial work platforms is a potential risk.