image credit: Bamboo Works
Key Takeaways:
HBN has applied for a Hong Kong IPO, reporting its revenue rose 10% to reach 1.5 billion yuan in the first nine months of last year as its profit nearly tripled
After entering its current business line six years ago, the company already ranks among China's top 10 skincare brands
Tech firms have become flavors of the day in Hong Kong's recent stock market rally, with new listings often notching big post-IPO gains. The techy sounding Shenzhen HBN Technology (Group) Co. Ltd. recently threw its hat into that listing pool by submitting its Hong Kong IPO application last week. Yet this "technology"-flagged company is anything but that, operating squarely within the cosmetics industry as a skincare specialist, putting it well outside the realm of any specialized technology.
HBN is a relative newcomer to China's bustling skincare scene, hawking a signature product containing retinol, a vitamin A derivative that boosts skin cell renewal and collagen synthesis. The company, whose savvy social media marketing has propelled it to stardom in the skincare world, primarily develops and sells products under corrective and preventative skincare formulations, its two major categories.
HBN's revenue grew by a modest 6.9% from 1.95 billion yuan ($280 million) in 2023 to 2.08 billion yuan in 2024, even as its profit more than tripled to 129 million yuan from 39 million yuan over that time. Its revenue continued its slow climb in the first nine months of last year, rising 10.2% year-over-year to 1.51 billion yuan. Meantime, its profit continued to grow much faster, jumping 190% to 145 million yuan over that time.
Rapid rise to stardom
Despite its status as a top skincare brand with over 2 billion yuan in annual revenue, HBN's history is decidedly brief. The company was founded just 12 years ago as a seller of feminine care products. But things didn't take off until ...
