New stock news | Fylaland submits application to Hong Kong Stock Exchange for China's largest smart pool equipment supplier.

According to the disclosure of the Hong Kong Stock Exchange on April 17th, Shenzhen Fairland Technology Group Co., Ltd. (referred to as Fairland) submitted its listing application to the main board of the Hong Kong Stock Exchange, with Guotai Junan Financing Limited as its exclusive sponsor. According to Frost & Sullivan data, based on 2024 revenue, the company is China's largest supplier of intelligent pool equipment, with a global market share of 3.4%. In the same year, based on revenue, the company ranked first among intelligent pool heat pump manufacturers in China and intelligent pool water pump manufacturers in China, with global market shares of 15.0% and 6.6% respectively. Company Profile The prospectus shows that Fairland is a technology company mainly focusing on the vertical scene of courtyards, dedicated to building an integrated intelligent courtyard ecosystem. Leveraging the capabilities of the Internet of Things, the company develops, manufactures, and sells a wide range of intelligent courtyard equipment under the "Energy Management + Smart + Water Treatment" (EIW) product matrix, aiming to bring comfortable, smart, and fun living experiences to global courtyard users. With accumulated expertise in the field of intelligent pool equipment and innovative global sales channels, Fairland has gradually expanded its business to lawn scenes. As of the last practicable date, the company has launched and started mass production of its intelligent lawnmower series to meet market and customer demands. The following image shows Fairland's extensive EIW product matrix with its courtyard Intelligent Agent core driven by the Internet of Things: Guided by over 15 years of professional knowledge in intelligent courtyard equipment, the company has established a research and development framework covering structural design, software and hardware development, and product testing. With self-developed variable frequency and intelligent control technologies, the company's research and development focus on energy management, smart upgrades, and water treatment. These core technologies support the company's full-stack technical architecture, driving continuous optimization of products in terms of energy efficiency, long endurance, and quietness. Fairland has pioneered Full-Inverter and Turbo Silence technologies, which can achieve a coefficient of performance (COP) of up to 30 for pool heat pumps, far exceeding the industry average of 3 to 6. This milestone accelerates the industry's transition to high-energy efficiency, with the company being one of the first to achieve large-scale application of full-variable frequency technology in the Chinese intelligent courtyard equipment market. Fairland is headquartered in China and sells intelligent courtyard equipment to over 100 countries and regions worldwide. The company has four proprietary brands iGarden, FAIRLAND, AQUARK, and AQUAGEM marketing and selling branded products. Its main sales targets are local distributors with resources in key markets, who further supply to secondary distributors, third-party engineering installation companies, and end customers. In 2025, Fairland developed online sales channels primarily through third-party e-commerce platforms and its own website to sell Siasun Robot & Automation products to end customers that do not require installation or only require simple installation. The company also provides services to original design manufacturing (ODM) customers (mainly brand owners in the intelligent courtyard equipment field), offering customized products tailored to their specifications for them to market and sell under their respective brands. As of December 31, 2025, Fairland operates three manufacturing bases in China to oversee the quality of the production process. For its core product lines, the company has implemented standardized and integrated manufacturing processes, with strict quality assurance measures at each production stage to consistently deliver high-quality and reliable finished products. Financial Information Revenue In the fiscal years 2023, 2024, and 2025, the company achieved revenues of approximately RMB 488 million, RMB 765 million, and RMB 1.017 billion, respectively. Gross Profit and Gross Margin In the fiscal years 2023, 2024, and 2025, the company recorded gross profits of approximately RMB 180 million, RMB 276 million, and RMB 335 million, respectively, with corresponding gross margins of 36.9%, 36.1%, and 33.0%. Net Profit In the fiscal years 2023, 2024, and 2025, the company recorded net profits of approximately -RMB 15.695 million, RMB 24.191 million, and -RMB 120 million, respectively. Industry Overview Intelligent courtyard equipment currently includes the following main commercial categories: Intelligent pool equipment, designed to provide integrated intelligent pool ecosystem management solutions for private and public pools, including intelligent pool energy-saving products, Siasun Robot & Automation products for intelligent pools, and intelligent pool water treatment systems. Intelligent lawn equipment, designed for automatic outdoor ground maintenance and security management, mainly for lawn environments within courtyards, including intelligent mowers, snow removal, courtyard cleaning, and intelligent security equipment. Intelligent courtyard lighting, designed for intelligent outdoor lighting management to enhance safety, convenience, and energy efficiency in courtyard environments. The global intelligent courtyard equipment market expanded from USD 9.1 billion in 2020 to USD 15.9 billion in 2024 and is expected to reach USD 35.3 billion by 2029, with a compound annual growth rate of 17.3% from 2024 to 2029. This sustained growth is driven by continuous technological innovations, rising household purchasing power, and increasing adoption of intelligent and automated solutions in courtyard and garden-related living environments. The market size of global intelligent pool equipment increased from approximately USD 1.75 billion in 2020 to USD 3.1 billion in 2024, with a compound annual growth rate of 15.4% from 2020 to 2024. It is expected to further increase to around USD 6.34 billion by 2029, with a compound annual growth rate of 15.4% from 2024 to 2029. The penetration rate of intelligent pool equipment increased from 11.7% in 2020 to approximately 14.9% in 2024 and is expected to further rise to about 21.6% by 2029. The rising penetration rate is mainly driven by consumer preferences for energy-saving and variable frequency systems, increasing demand for automatic water quality monitoring, cleaning, and remote control functions, replacement and upgrade cycles for existing pool installations, and continued adoption of Internet of Things-enabled integrated pool management solutions in residential and commercial applications. Intelligent pool heat pumps are a major product category in the intelligent pool energy-saving product market. This segment increased from USD 331.2 million in 2020 to USD 500 million in 2024, with a compound annual growth rate of 10.8% from 2020 to 2024. It is expected to expand to approximately USD 902 million by 2029, with a compound annual growth rate of 12.5% from 2024 to 2029. At the same time, the penetration rate of intelligent pool heat pumps in the total pool heat pump shipments increased from 45.0% in 2020 to 50.0% in 2024 and is expected to further rise to 65.6% by 2029, reflecting an accelerated transition to energy-saving variable speed technology. Smart pool water pumps are also growing rapidly. This segment increased from USD 47.5 million in 2020 to USD 180.0 million in 2024, with a compound annual growth rate of 39.5% from 2020 to 2024. It is expected to expand to around USD 1.05 billion by 2029, with a compound annual growth rate of 42.3% from 2024 to 2029. However, its penetration rate in total pool water pump shipments remains relatively low, reaching approximately 10.0% in 2024 and expected to rise to about 46.7% by 2029, indicating significant further growth potential in the future. Board of Directors Information The board of directors consists of 9 directors, including 6 executive directors and 3 independent non-executive directors. Shareholding Structure Mr. Chen Bo directly holds 16.97% of the shares, Ms. Jiang Hui directly holds 1.80% of the shares, Guangzhou Hengtuo holds 76.10% of the shares, Zhuhai Zhongheng holds 2.49% of the shares, Zhuhai Zhongtuo holds 0.92% of the shares, Zhuhai Zhongyue holds 0.82% of the shares, Zhuhai Zhongchi holds 0.46% of the shares, Zhuhai Zhongbo holds 0.21% of the shares, Zhuhai Zhongren holds 0.12% of the shares, Zhuhai Zhongxi holds 0.07% of the shares, and iGarden Partner Limited holds 0.05% of the shares. According to the Securities and Futures Ordinance, Mr. Chen is deemed to have an interest in the shares held by Guangzhou Hengtuo, where he and Ms. Jiang respectively have 80.00% and 20.00%. As Mr. Chen controls more than one-third of the voting rights in Guangzhou Hengtuo's shareholders' meeting, he is considered to have an interest in the shares held by Guangzhou Hengtuo. Ms. Jiang and Mr. Chen are spouses, so they are each deemed to have an interest in the shares held by the other. As of the last practicable date, the company has set up Zhuhai Zhongheng, Zhuhai Zhongtuo, Zhuhai Zhongyue, Zhuhai Zhongchi, Zhuhai Zhongbo, Zhuhai Zhongren, Zhuhai Zhongxi, and iGarden Partner as employee shareholding platforms. Advisory Team Exclusive Sponsor: Guotai Junan Financing Limited Company Legal Advisor: Regarding Hong Kong law: King & Wood Mallesons; Regarding Chinese law: Zhong Lun Law Firm; Regarding international sanctions law: Ropes & Gray LLP; Regarding corporate affairs under Hong Kong law: Sunita Law Firm Exclusive Sponsor Legal Advisor: Regarding Hong Kong law: Ding & Ding Solicitors; Regarding Chinese law: JunHe Law Office Auditor and Reporting Accountant: Ernst & Young Transfer Pricing Consultant: Ernst & Young Consulting (China) Co., Ltd. Industry Consultant: Frost & Sullivan (Beijing) Consulting Co., Ltd., Shanghai Branch Compliance Consultant: Hondao Capital Limited