According to the Hong Kong Stock Exchange, on January 2, Honey Snow Ice City Co., Ltd. (hereinafter referred to as "Honey Snow Ice City") submitted a listing application to the main board of the Hong Kong Stock Exchange, with joint sponsors including Bank of America, Goldman Sachs and UBS Group.。

Company Profile

According to the prospectus, Honey Snow Ice City is a leading global ready-to-drink company, focusing on providing consumers with high-quality and affordable ready-to-drink, tea, ice cream and coffee products with a unit price of about RMB 6 (about US $1).。

Honey Snow Ice City owns the current tea brand "Honey Snow Ice City" and the current ground coffee brand "Lucky Cafe."。Honey Snow Ice City owns the current tea brand "Honey Snow Ice City" and the current ground coffee brand "Lucky Cafe."。

● "Honey Snow Ice City" mainly provides ready-made fruit drinks, tea drinks and ice cream to Chinese and overseas consumers。The price of the core products of "Honey Snow Ice City" is usually 2 yuan to 8 yuan。During the record period, the vast majority of terminal retail sales in Honey Snow Ice City came from "Honey Snow Ice City" stores.。

"Snow King," the lifelong spokesperson of the "Honey Snow Ice City" brand, has become the only super IP in China's current beverage industry, which distinguishes the Honey Snow Ice City brand from other brands.。When asked about the super IP of China's current beverage industry, 79.1% of consumers choose "Snow King"。In addition, according to the research of Insight Consulting, the brand of "Honey Snow Ice City" has reached 93% recognition among the consumers interviewed..0%。In the minds of consumers, "Honey Snow Ice City" is synonymous with and the first choice for ready-made drinks and high-quality affordable ready-made drinks.。

● Honey Snow Ice City launched the freshly ground coffee brand "Lucky Cafe" in 2017 to expand the product category of Honey Snow Ice City.。"Lucky Cafe" freshly ground coffee drinks include classic, popular and innovative models.。The price of "Lucky Cafe" core products is usually 5 yuan to 10 yuan。

Supply Chain Details

Through a series of initiatives such as building a global procurement network, production base and logistics system, the company has built the largest and most complete end-to-end supply chain system in China's current beverage industry, covering procurement, production, logistics, research and development and quality control.。Snow Ice City's highly digital and large-scale supply chain covers core components such as procurement, production, logistics, R & D and quality control, which fundamentally distinguishes Snow Ice City from its peers and enables Snow Ice City to provide franchisees with a competitive one-stop solution.。

● 采购。Through a procurement network covering six continents and 35 countries, Honey Snow Ice City integrates high-quality resources and adopts digital tools to ensure the quality and stable supply of raw materials.。The raw materials purchased upstream by Honey Snow Ice City mainly include food commodities, agricultural products and other auxiliary materials.。

● 生产。As of September 30, 2023, according to the report of Insight Consulting, Honey Snow Ice City has become the most comprehensive and largest company in the current beverage supply chain.。Honey Snow Ice City has five production bases in Henan, Hainan, Guangxi, Chongqing and Anhui, with a total area of 670,000 square meters and an annual comprehensive production capacity of about 1.43 million tons.。

● Logistics。Honey Snow Ice City's self-operated warehousing system and exclusive distribution network support the broadest store layout in China's current beverage industry。Honey Snow Ice City's storage system consists of 26 warehouses with a total area of more than 300,000 square meters, the largest in the industry.。The distribution network of Honey Snow Ice City covers 31 provinces, autonomous regions and municipalities directly under the Central Government, about 300 prefecture-level cities, 1,700 counties and 3,100 townships in China, with the highest coverage and sinking depth in the industry.。

● Research and development。The research and development of Honey Snow Ice City is divided into applied research and development related to product tastes and formulations, as well as basic research and development related to food technology, production processes, formulations and equipment.。

● Quality control。Honey Snow Ice City adheres to sound quality control standards to ensure consistent high-quality output throughout the chain.。

Market size

Honey Snow Ice City's store network has more than 36,000 stores in China and overseas。

As of September 30, 2023, the store network of Honey Snow Ice City has spread across 31 provinces, autonomous regions and municipalities directly under the Central Government in China, covering about 300 prefecture-level cities, 1,700 counties and 3,100 townships, covering all line-level cities.。Honey Snow Ice City has industry-leading penetration in the sinking market, according to a report by Insight Consulting.。The breadth and depth of Snow Ice City's store network distinguishes Snow Ice City from other current beverage brands in China.。As of September 30, 2023, Honey Snow Ice City opened approximately 4,000 stores in 11 countries overseas, building a large and growing store network.。

In the first nine months of 2023, the store network of Honey Snow Ice City achieved a total of about 5.8 billion cups.。According to the report of Burning Consulting, according to the number of stores as of September 30, 2023 and the number of drinks in the first nine months of 2023, Honey Snow Ice City is the number one current beverage company in China and the number two in the world.。

Financial Overview

Honey Snow Ice City conducts its business mainly through a franchise model, with the vast majority of revenue coming from the sale of goods and equipment to franchise stores.。As of September 30, 2023, more than 99.8% of the stores are franchise stores, the rest are self-operated stores。

The prospectus shows that the company's revenue in 2022 was 135.7.6 billion yuan (RMB, the same below), up 31.2%。Gross profit was 39.4.7 billion yuan, up 28.3%。Revenue for the nine months ended September 30, 2023 was 153.9.3 billion yuan, up 46% year-on-year。Gross profit was 45.7.6 billion yuan, up 29.7%。

Funding purposes

In the prospectus, Honey Snow Ice City stated that the funds raised will be used to (1) enhance the breadth and depth of the end-to-end supply chain of Honey Snow Ice City; (2) build and promote the brand and IP; (3) strengthen the digital and intelligent capabilities of various business links; (4) working capital and other general corporate purposes。