New Stock News | Fengyi Technology has submitted its application to the Hong Kong Stock Exchange to sprint for an IPO, making it the largest smart retail cabinet operator in China.

On June 10, China's largest AI-powered intelligent retail cabinet operator, Shenzhen Fengyi Technology Group Co., Ltd. (referred to as "Fengyi Technology"), submitted an application for listing on the main board of the Hong Kong Stock Exchange. Leading in intelligent retail cabinets in China, with an install base of 184,000 units by 2025 Fengyi Technology is an AI-driven retail enterprise operating the "Fengezushi" brand, covering a wide range of intelligent retail cabinet networks that provide consumers with mainly food and beverage products. According to Frost & Sullivan data, the intelligent retail cabinets developed by Fengyi Technology in collaboration with hardware manufacturers in 2019 cost only about 30% of traditional vending machines, solving inherent drawbacks such as mechanical jamming, slow transactions, lack of real-time inventory tracking, and high maintenance costs. Fengyi Technology was the first to apply multimodal recognition technology to offline retail. Its intelligent retail cabinets use built-in computer vision to capture partial video clips of customers picking up products in real-time and automatically identify the selected products using cloud-based recognition technology. This creates a seamless "scan, open the door, and close the door for automatic settlement" experience for consumers, a model that has since been widely adopted in the industry. According to the Frost & Sullivan report, based on the number of installed intelligent retail cabinets and gross merchandise volume (GMV) by 2025, Fengyi Technology has become the largest intelligent retail cabinet operator in China. As of December 31, 2025, the company operated over 180,000 intelligent retail cabinets in 72 cities nationwide, serving over 80 million end consumers. The number of locations increased from 106,197 as of December 31, 2023, to 183,989 as of December 31, 2025, with a compound annual growth rate exceeding 30%. The prospectus shows that according to Frost & Sullivan, Fengyi Technology ranks first in the industry with 184,000 intelligent retail cabinets by the end of 2025, with a market share of 21.5%; by GMV, the company ranks first in the industry with a total merchandise transaction volume of 23.4 billion yuan in 2025, with a market share of 11.5%; the adjusted net profit in 2025 (non-IFRS) was 118.6 million yuan, achieving a GMV of over 23.4 billion yuan and revenue exceeding 20 billion yuan, becoming the first company in the domestic intelligent retail cabinet industry to achieve sustained profitable growth. Focus on "light scene" capillary-level retail, with 99% of revenue coming from product sales Fengyi Technology focuses on "capillary-level" light scenarios that traditional retail cannot economically cover, such as office spaces, commercial locations, logistics and storage facilities, and other small, dispersed consumer touchpoints. By the end of 2025, the company had covered over 100 retail scenes, with approximately 99% of revenue coming from product sales through intelligent retail cabinets (mainly beverages and packaged foods), supplemented by advertising and other service revenues. In 2025, the average monthly GMV per cabinet was about 1,200 yuan, with the ability to achieve point-level breakeven at a monthly sales of about 300 yuan (approximately one transaction per day), significantly lower than the industry average, demonstrating a strong profitability in light scenarios. Self-developed FLOW Pilot intelligent system for algorithm-driven autonomous operation According to the Frost & Sullivan report, Fengyi Technology is the first and only intelligent retail cabinet operator in China to achieve autonomous operation driven by proprietary algorithms. The company's self-developed FLOW Pilot intelligent system consists of four intelligent agents: Field Pilot, Link Pilot, Opti Pilot, and Work Pilot, covering the entire chain of site expansion, product mix, inventory planning, and task scheduling. As disclosed in the prospectus, in the fourth quarter of 2025, FLOW Pilot made nearly 120 million decisions per day, with only about 20,000 requiring manual intervention. The scale and accuracy of its decisions far exceed human judgment. The company has a research and development team of over 100 professionals, with artificial intelligence, algorithm, and data research experts accounting for over 25%. According to Frost & Sullivan data, during the past period, the company's average annual R&D expenditure exceeded 60 million yuan, significantly higher than all industry peers. Fengyi Technology aggregates the operation of individual intelligent devices into an intelligent retail network, achieving scale profitability through proprietary algorithms for autonomous operation, high-density distributed networks, and a fully direct-operated model. Thanks to algorithm-driven autonomous operation, the number of intelligent retail cabinets grew by 73.3% from 2023 to 2025, while the number of operating managers remained relatively stable. The average number of retail cabinets managed per person increased from 303 to 504, representing a 66% growth in two years. Direct-operated + Distributed network + AI, building a unique moat To effectively capture the value of light scenarios, Fengyi Technology has established an operating model based on algorithm-driven autonomous decision-making, distributed networks, and direct operation as its three core pillars. To manage the vast network of tens of thousands of locations through high-quality management, the company relies heavily on automated systems rather than manual planning to reliably execute a wide range of complex decisions covering product mix, pricing, inventory replenishment, and logistics. According to Frost & Sullivan data, the company is the first and only intelligent retail cabinet operator in China to achieve autonomous operation through proprietary algorithms. Fengyi Technology adheres to a fully direct-operated model, without relying on franchisees or partners, ensuring efficient execution of algorithm instructions and high-quality data feedback loop. Its distributed network allows each intelligent retail cabinet to not only be a sales point but also a data collection, temporary storage, and product distribution node, achieving full network inventory sharing and redistribution. High-speed growth in performance, gross margin increased to 55.8% During the historical period, Fengyi Technology achieved revenue growth, improved cost efficiency, and profitability. Revenue increased from 124.37 million yuan in 2023 to 200.89 million yuan in 2025, with a compound annual growth rate of 27.1%. The gross margin increased from 52.4% in 2023 to 55.8% in 2025. In 2023, 2024, and 2025, the adjusted EBITDA (non-IFRS) was 56.5 million yuan, 140.7 million yuan, and 191.4 million yuan, respectively, with positive operating cash flow in each year. Industry space: Light scene intelligent retail cabinets expected to reach 2.297 million units by 2030 With the increasing density of intelligent retail cabinets and their large-scale penetration into consumers' daily lives, they are gradually transitioning from a supplementary retail channel to an indispensable part of offline retail infrastructure. According to Frost & Sullivan data, the number of intelligent retail cabinets in China is expected to increase from 855,000 in 2025 to 3.5066 million in 2030, with light scenes (monthly GMV 2,000 yuan) expected to increase from 424,000 in 2025 to 2.2967 million in 2030, with a compound annual growth rate of 40.2%, higher than that of heavy scenes. By merchandise transaction volume, the market size of intelligent retail cabinet operation in China is expected to increase from 20.3 billion yuan in 2025 to 68.9 billion yuan in 2030, with a compound annual growth rate of 27.7%. As competition intensifies in the industry, Fengyi Technology's main competitors include traditional vending machine operators, emerging intelligent retail cabinet operators, and beverage and packaged food brands deploying their own proprietary intelligent retail cabinets. With its scale and density, strategic focus on light scenarios, algorithm-driven automated decision-making, direct operating mode, leading site development capabilities, and efficient distributed network advantages, Fengyi Technology is poised to continue leading in the long-tail incremental market. Conclusion: Looking to the future, with the rapid expansion of the install base of intelligent retail cabinets in light scenarios, the contribution of merchandise transaction volume is expected to increase significantly. As the leader in the Chinese intelligent retail cabinet industry, Fengyi Technology has achieved scale profitability. Its listing on the Hong Kong Stock Exchange will help the company further expand its footprint, and its future development dynamics are worth watching.