Guangzhou GDT Technology Co., Ltd. (01989.HK) officially launched its H-share IPO on March 12, 2026. The offer price was HK$71.88 per share, with 100 shares per lot and an admission fee of HK$7,260.49. The Company is expected to be listed on the Main Board of the Hong Kong Stock Exchange on March 20, 2026.

As a leading enterprise in the global computing server PCB industry, the Company focuses on the R&D, manufacturing and sales of customized printed circuit boards for computing servers and other computing scenarios, occupying a core track in the AI computing wave. This offering successfully introduced 12 cornerstone investors who subscribed for a total of approximately US$190 million, accounting for 44.95% of the global offering shares.

The core narrative of GDT Technology lies in its leading position in the high-growth computing server PCB sector. According to Frost & Sullivan, the Company ranked third globally in terms of cumulative revenue from computing server PCB from 2022 to 2024, and ranked first among all manufacturers headquartered in Chinese mainland. This leading position reflects the Company’s core competitiveness in the AI computing infrastructure wave.

The Company’s products focus on PCBs for computing scenarios (used in AI servers and general-purpose servers). Revenue from this business increased from RMB1.635 billion in 2022 to RMB2.706 billion in 2024, with its share of total revenue rising from 67.8% to 72.5%. In the first nine months of 2025, revenue from computing scenario PCB reached RMB2.833 billion, a year-on-year increase of 44.4%, and its share further rose to 73.9%. Driven by the sustained growth in global computing demand, the Company’s core business is in a high-growth track.

Computing server PCBs require high technical complexity and manufacturing standards. With strong technological accumulation, the Company maintains leading gross profit margins in this field. From 2022 to the first nine months of 2025, gross margins for computing scenario PCB were 28.8%, 38.0%, 37.0% and 36.2% respectively, significantly higher than those for industrial and consumer PCBs, becoming the core support for the Company’s profitability. The sales proportion of high-layer PCBs (8–16 layers and above 18 layers) continued to rise, reflecting the Company’s continuous upgrading of product structure toward high value-added products.

The Company mainly serves terminal brands and EMS providers through direct sales, and has established long-term stable partnerships with leading global server manufacturers. Its capabilities in customized design and joint development allow it to closely align with customer needs, maintain technological alignment during computing platform iterations, and form deep customer stickiness.

GDT Technology has achieved strong revenue growth, rapid profit expansion and improved profitability.

Revenue grew rapidly: revenue increased from RMB2.412 billion in 2022 to RMB2.678 billion in 2023 (a year-on-year increase of 11.0%), and accelerated to RMB3.734 billion in 2024, representing a year-on-year growth of 39.4%. Revenue reached RMB3.835 billion in the first nine months of 2025, a year-on-year increase of 43.1% compared with the same period in 2024. According to unaudited financial data for the year ended December 31, 2025, annual revenue further increased to RMB5.485 billion, a year-on-year increase of 46.9%.

Profit growth outpaced revenue growth: net profit rose from RMB280 million in 2022 to RMB415 million in 2023 (a year-on-year increase of 48.3%), and reached RMB676 million in 2024, a year-on-year increase of 63%. Net profit for the first nine months of 2025 reached RMB724 million, a year-on-year increase of 47.0%. For the full year 2025, net profit is expected to reach RMB1.016 billion, a year-on-year increase of 50.2%. Gross margin rose from 26.1% in 2022 to 34.8% in the first nine months of 2025, and further increased to 34.4% for the full year 2025. Net profit margin increased from 11.6% to 18.9%, reflecting significantly improved profitability.

The product structure continued to be optimized, with a rising share of high value-added products. High-multilayer PCBs (18 layers and above) have an average selling price of HK$8,108 to HK$10,519 per square meter, significantly higher than that of 8–16 layer PCBs (HK$3,495–3,593) and 6-layer and below PCBs (HK$820–1,000). The share of high-multilayer PCBs increased from 2.7% in 2022 to 15.6% in the first nine months of 2025, while 8–16 layer PCBs accounted for 56%–60% of revenue. The continuous improvement in high value-added products directly drove the increase in overall gross profit margin.

High R&D investment built long-term barriers: R&D expenses were RMB115 million, RMB121 million, RMB179 million and RMB194 million from 2022 to the first nine months of 2025, accounting for 4.5%–5.1% of revenue. As of September 30, 2025, the Company had more than 400 R&D personnel and 266 granted patents in China, providing a solid foundation for technological leadership.

The offer price was HK$71.88 per share, with 100 shares per lot and an admission fee of HK$7,260.49. The IPO offering commenced on March 12, 2026, closed on March 17, 2026, and is expected to list on the Main Board of the Hong Kong Stock Exchange on March 20, 2026. The Company plans to offer 46 million shares globally, with estimated net proceeds of approximately HK$3.306 billion.

The Company has secured 12 cornerstone investors who subscribed for approximately US$190 million in total, accounting for 44.95% of the global offering. The cornerstone investors include CPE, Yuanta Asset Management, Guotai Junan Investments, Shanghai Kinland, CITIC Securities International, UBS AM Singapore, Value Partners, Eastspring, Baring, Pacific Life, ICBC Wealth Management, and others, reflecting global recognition of the Company’s technical strength and long-term prospects.

Net proceeds will be used for capacity expansion and upgrading of the Guangzhou base (approximately 52.1%), Phase 2 construction of the Thailand facility (approximately 19.7%), R&D capabilities enhancement (approximately 10.0%), strategic investments, and working capital. This allocation reflects the Company’s dual strategy of capacity expansion and technology upgrading to capture opportunities from the AI computing wave.

Customer concentration risk: revenue from the top five customers accounted for 63.6%, 65.6%, 61.4% and 59.3% from 2022 to the first nine months of 2025, with the largest customer accounting for 26.5%, 26.6%, 24.6% and 18.0% respectively. Although customer concentration has declined, it remains at a high level. Fluctuations in orders or relationships with major customers may significantly impact performance.

Raw material risk: raw materials account for 62%–67% of cost of sales, including CCL, prepregs, copper foil, copper balls, gold salts, and dry film. Volatility in commodity prices and supply chain disruptions may increase costs and compress margins. The proportion of raw material costs rose from 62.2% to 67.3% from 2023 to the first nine months of 2025.

Trade and geopolitical risks: US export controls may affect access to key technologies and equipment. Foreign exchange derivatives are used to manage currency risks, but gains/losses from such instruments may impact results.

Inventory risk: inventory reached RMB621 million as of September 30, 2025, an increase of 35.5% from the end of 2024. Although inventory days improved from 93 days in 2022 to 66 days, there is a risk of inventory impairment if market demand or technology changes rapidly.

As a leading global computing server PCB manufacturer, GDT Technology has attracted strong market attention. Its core value lies in its leading track position, high growth driven by AI, high margins from technological barriers, close cooperation with top global customers, and continuous R&D investment.

However, the Company faces risks including high customer concentration, raw material price fluctuations, trade policy changes, and inventory management pressure. Post-listing, the market will focus on how the Company can consolidate its advantages, seize opportunities from AI infrastructure expansion, manage supply chain and customer risks, and continue to expand capacity and upgrade technology.