On June 5, 2026, FJ Dynamics Technology Co., Ltd. (hereinafter referred to as "FJ Dynamics") filed its application to list on the Main Board of the Hong Kong Stock Exchange (HKEX), marking its second attempt to go public on the HKEX.

FJ Dynamics initially applied for listing on the Main Board of the HKEX on September 26, 2025. However, this application automatically lapsed on March 26, 2026, due to the expiration of its six-month validity period.

Financially, the company's revenue surged from 530 million RMB in 2023 to 740 million RMB in 2025. Its net loss narrowed progressively each year to 281 million RMB, and it managed to achieve an adjusted net profit in 2025.

While agriculture remains FJ Dynamics' primary revenue stream, its share has diminished. The construction, real estate, and software sectors have emerged as new growth drivers. Europe has overtaken Asia as the company's largest revenue market, while revenue from mainland China has plummeted. The overall gross margin climbed to 65.8%, with notable profitability in the software and real estate segments.

The company heavily relies on distributors, with revenue from this channel accounting for over 94%, posing significant channel risks. Despite achieving adjusted profitability, its history of sustained losses casts doubt on the sustainability of future profitability.

FJ Dynamics is a global provider of robotic solutions and related enabling technologies, specializing in the design, development, and production of robotic solutions and core technologies. By promoting the digitization and automation of workflows in traditional labor-intensive sectors such as agriculture, livestock farming, construction, and property management, the company enhances human efficiency.

In the global market for agricultural robotic solutions, FJ Dynamics ranks as the third-largest supplier of agricultural autonomous driving system kits and the second-largest supplier of retrofitted agricultural autonomous driving system kits by shipment volume, with market shares of approximately 85% and 169%, respectively, in 2024.

Since its inception, FJ Dynamics has experienced rapid growth through continuous innovation and is the youngest among the top five companies in the industry.

In terms of revenue, FJ Dynamics ranks as the sixth-largest global supplier of agricultural autonomous driving system kits and the fourth-largest supplier of retrofitted agricultural autonomous driving system kits, with market shares of approximately 34% and 66%, respectively, in 2025.

During the reporting period from 2023 to 2025, FJ Dynamics' revenue reached 530 million RMB, 570 million RMB, and 740 million RMB, respectively, with annual losses of 471 million RMB, 334 million RMB, and 281 million RMB for the same periods.

By business segment, agriculture and livestock farming have consistently been FJ Dynamics' largest revenue sources. From 2023 to 2025, revenue from this segment was 470 million RMB, 443 million RMB, and 498 million RMB, respectively, with its proportion declining from 88.8% to 67.2%.

Revenue and proportion have increased in the construction, property management, and software businesses. Construction revenue rose from 41 million RMB to 119 million RMB, with its proportion increasing from 7.7% to 16.1%. Property management revenue increased from 13 million RMB to 90 million RMB, with its proportion rising from 2.4% to 12.1%. Software revenue grew from 6 million RMB to 34 million RMB, with its proportion increasing from 1.1% to 4.6%, becoming new growth engines for FJ Dynamics.

Revenue across all segments of FJ Dynamics is primarily driven by product sales, with component sales generally accounting for a low proportion. The proportion of component sales in agriculture and livestock farming has consistently remained below 10%, while in construction and property management, it is less than 2%. Product businesses are the core revenue drivers for each segment.

Significant changes have occurred in the regional revenue structure of FJ Dynamics.

Revenue from the European market increased from 221 million RMB in 2023 to 397 million RMB in 2025, with its proportion continuously increasing from 41.7% to 53.7%, surpassing Asia as FJ Dynamics' largest revenue source.

The proportion of revenue from the Asian market declined from 46.4% in 2023 to 30.2%, primarily due to a decrease in revenue from mainland China from 165 million RMB to 120 million RMB, with its proportion sharply declining from 31.2% to 16.2%. Only Japan and other Asian markets achieved slight growth.

Revenue from the American market steadily increased from 51 million RMB to 88 million RMB, with its proportion initially rising to 11.8% and then stabilizing. Growth was observed in the United States and other American markets, while revenue from the Mexican market initially increased and then decreased.

Revenue from other regions worldwide also experienced significant growth, rising from 12 million RMB to 32 million RMB, with its proportion increasing from 2.3% to 4.3%, becoming a new supplementary growth point for FJ Dynamics' revenue. In terms of gross margin, FJ Dynamics' total gross profit increased from 284 million RMB in 2023 to 367 million RMB in 2025, further rising to 487 million RMB in 2025. The overall gross margin increased from 53.6% to 64.5%, slightly rising to 65.8% the following year, indicating improvements in both profit scale and level.

By business segment, agriculture and livestock farming have consistently been FJ Dynamics' largest source of gross profit. Gross profit in this segment was 245 million RMB, 281 million RMB, and 314 million RMB over the three years, with the gross margin increasing from 52.0% to 63.3% and then stabilizing, providing core support for FJ Dynamics' profitability. The construction business was the second-largest source of gross profit, with gross profit increasing from 29 million RMB to 83 million RMB. The gross margin initially rose to 73.1% before declining to 69.5%, still maintaining a high level of profitability.

Gross profit and gross margin in the property management business experienced significant simultaneous growth, with gross profit increasing from 4 million RMB to 56 million RMB and the gross margin rising from 35.0% to 62.5%, becoming a core highlight of FJ Dynamics' profitability growth. The software business consistently maintained a gross margin of 100%, with gross profit increasing from 6 million RMB to 34 million RMB, making it an important component of FJ Dynamics' high-margin business.

From 2023 to 2025, the proportion of FJ Dynamics' revenue from sales to its top five customers declined year by year, accounting for 25.4%, 22.3%, and 12.3% of total annual revenue, respectively.

From 2023 to 2025, the total procurement amounts from FJ Dynamics' top five suppliers accounted for 16.4%, 20.4%, and 14.9% of total annual procurement, respectively. As of the last practical date, FJ Dynamics' single largest shareholder includes Wu Di and Simple Mindset, wholly owned by Wu Di, with the right to exercise approximately 23.59% of FJ Dynamics' voting rights, including shares held by Simple Mindset and voting rights exercisable under voting proxy agreements.

FJ Dynamics completed three rounds of financing before its listing.

On October 22, 2020, it completed Series A financing, raising approximately 396 million RMB, with a post-investment valuation of approximately 2 billion RMB. The cost per share was approximately 1.8688 RMB, corresponding to approximately 212 million issued shares.

On November 23, 2021, it completed Series B financing, raising approximately 70 million USD, with a post-investment valuation of approximately 624 million USD. The cost per share was approximately 0.4913 USD. On November 3, 2023, it completed Series B-1 financing, raising approximately 39 million USD, with a post-investment valuation of approximately 663 million USD. The cost per share remained approximately 0.4913 USD, corresponding to approximately 79.38 million issued shares.

Notably, during the financing periods, FJ Dynamics introduced investors such as Tencent, Greater Bay Area Homeland, and Xinzhifeng.

As of the end of May 2026, Simple Mindset, Million Kirin, and Future Sharing collectively held 23.59% of the shares. Tencent's Tencent Mobility Limited held approximately 16.47% of the shares. Entities related to Greater Bay Area Homeland held a relatively high proportion of shares, with GBA Equity Fund II LPF alone holding approximately 8.11%.

The vast majority of FJ Dynamics' revenue comes from distributors, and distribution will remain a crucial component of FJ Dynamics' sales network for the long term. If distributors are unable to operate normally, FJ Dynamics' business, financial condition, and operating results will be significantly and adversely affected.

From 2023 to 2025, revenue from distributors accounted for 95.9%, 94.6%, and 96.1% of total revenue, respectively, highlighting the critical importance of the distributor channel. FJ Dynamics has incurred sustained losses in the past and may continue to incur losses in the future.

In 2023, 2024, and 2025, FJ Dynamics recorded net losses of 471 million RMB, 334 million RMB, and 281 million RMB, respectively.

Calculated under non-IFRS standards, FJ Dynamics recorded adjusted net losses of 268.6 million RMB and 57.2 million RMB in 2023 and 2024, respectively, achieving an adjusted net profit of 10.1 million RMB in 2025.

In the future, FJ Dynamics will need to maintain high revenue and strictly control costs to achieve stable profitability. Even if it achieves short-term profitability, there is no guarantee that this profitable state will continue long-term.

Source/Dawan Technology

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