Produced by | Frontier of Entrepreneurship

Art Editor | Xing Jing

Reviewed by | Song Wen

On June 22, Zhuhai Fuji Intelligence Co., Ltd. (hereinafter referred to as "Fuji Intelligence") is set to undergo a pivotal IPO examination—the review meeting.

Fuji Intelligence specializes in precision structural components for consumer electronics and automotive applications, boasting a client roster that includes industry giants such as Sony, TCL, Hisense, BOE, and iFLYTEK.

During its IPO bid, the company's ability to sustain performance growth has come under scrutiny from the Beijing Stock Exchange. Additionally, the company's R&D expenditure ratio falls below the industry average. Despite its name, Fuji Intelligence lacks a corresponding Chinese registered trademark, an issue that has garnered significant market attention.

Furthermore, the company's monetary funds are insufficient to cover its short-term borrowings, placing it under considerable pressure due to a tight capital chain.

It remains uncertain whether Fuji Intelligence can provide satisfactory answers to regulatory bodies and the capital market regarding these issues.

Fuji Intelligence was founded by Lu Shaozhou and Dong Chuntao, both graduates of Guangdong University of Technology in 1996, who later collaborated at Qingmu Electromechanical (Zhuhai) Co., Ltd.

In 2004, Lu Shaozhou and Dong Chuntao jointly established the forerunner of Fuji Intelligence, Fuji Co., Ltd. In November 2020, Fuji Co., Ltd. was restructured into a joint-stock company.

Fuji Intelligence has long aspired to enter the capital market.

As early as June 2022, the company applied for an IPO on the ChiNext board at the Shenzhen Stock Exchange. However, it voluntarily withdrew its application after completing just one round of inquiries, marking its first failed IPO attempt. In 2025, the company made another bid for the capital market, this time targeting the Beijing Stock Exchange.

(Image/Shutterstock, based on the VRF protocol)

As of the date of signing the prospectus, the company's actual controllers remain Lu Shaozhou and Dong Chuntao, who hold 32.08% and 31.39% of the equity, respectively. Lu Shaozhou serves as the company's chairman, while Dong Chuntao is a director and general manager, both wielding significant influence over the company's development.

Notably, in February 2017, Lu Shaozhou and Dong Chuntao jointly signed a "Concerted Action Agreement," stipulating that the agreement's validity period extends to 36 months after Fuji Intelligence's listing and can be extended by mutual consent thereafter.

Furthermore, the agreement states that in the event of disagreements, if consensus cannot be reached during the proposal stage, the submission of the proposal shall be terminated. If a unified opinion cannot be formed during the voting stage, the proposal shall be jointly rejected.

In response, the Beijing Stock Exchange has raised doubts, requesting Fuji Intelligence to explain the specific implementation of the relevant clauses of the "Concerted Action Agreement" during the reporting period, the agreement between Lu Shaozhou and Dong Chuntao on resolving disagreements in internal corporate governance resolutions, whether instances of disagreement have occurred, whether disagreements can be effectively resolved, and whether the company may face governance failure or decision-making stagnation due to the inability to form effective proposals or make timely votes.

Under centralized control, Lu Shaozhou and Dong Chuntao have also appointed their respective relatives to positions within Fuji Intelligence.

Lu Shaozhou's elder brother, Lu Shaoxing, serves as the head of the company's administrative logistics department and holds a 1.96% stake in the company. Dong Chuntao's younger brother is the production department supervisor at Taishan Fuguang and also holds a 1.96% stake in the company.

While Fuji Intelligence has appointed relatives of its actual controllers to company positions, it has also faced the issue of an excessively high proportion of dispatched labor employees. During the reporting period, the proportion of dispatched labor employees in Fuji Intelligence's total workforce once exceeded 10%, violating relevant regulations and indicating flaws in the company's operation and management.

Currently, Fuji Intelligence is primarily engaged in the R&D, production, and sales of precision structural components for consumer electronics and automotive applications, having entered the supplier systems of renowned clients such as Hisense, TCL, BOE, Changhong, and iFLYTEK.

Its core products fall into two main categories. The first category is precision structural components for consumer electronics, including those for display terminals, digital cameras, and other consumer electronics, primarily used in smart TVs, digital camera bezels, and buttons.

(Image/Fuji Intelligence Prospectus)

The second category is automotive precision structural components, including battery cell structural parts and battery tray profiles, primarily used in new energy vehicle power battery cell top covers, battery pack enclosures, and for connecting the positive and negative electrodes of battery cells.

(Image/Fuji Intelligence Prospectus)

From 2023 to 2025 (hereinafter referred to as the "reporting period"), Fuji Intelligence's operating revenues were RMB 862 million, RMB 975 million, and RMB 1.189 billion, respectively, with net profits attributable to parents of RMB 30.932 million, RMB 81.8396 million, and RMB 87.5411 million, respectively, both maintaining growth.

(Image/Wind (Unit: RMB 10,000))

Among them, precision structural components for consumer electronics contributed more than 60% of the main business revenue, while automotive precision structural components accounted for around 30%.

(Image/Fuji Intelligence Prospectus)

Within the precision structural components for consumer electronics, which contribute the majority of the revenue, revenue from other consumer electronics categories has continuously declined during the reporting period.

It is reported that the customers for this product category are primarily iFLYTEK Holdings and its affiliated companies (hereinafter referred to as "iFLYTEK"), Shenzhen Kutiefeng Technology Co., Ltd. (hereinafter referred to as "Kutiefeng"), and Miqi Intelligence, with products mainly used in learning machines, translators, dictionary pens, and other products under iFLYTEK's own brand and its subsidiary brand Alpha Egg.

During the reporting period, Fuji Intelligence's sales revenue from iFLYTEK was RMB 40.7297 million, RMB 16.7648 million, and RMB 16.2863 million, respectively, showing a cumulative decline of 60% over the three years.

Meanwhile, sales revenue from Kutiefeng in 2025 was only RMB 5.8988 million, a year-on-year decline of 60%.

(Image/Fuji Intelligence Inquiry Response)

Expanding the customer base, the company's major clients include renowned enterprises such as Sony, Hisense, and TCL Group.

Among them, Sony has been a major client of Fuji Intelligence in 2023 and 2024, with the company primarily selling precision structural components for consumer electronics to Sony. During the reporting period, sales revenue from Sony was RMB 142 million, RMB 156 million, and RMB 94.7221 million, respectively, with a year-on-year decline of 39% in 2025, when Sony became the second-largest client.

(Image/Fuji Intelligence Prospectus)

It is reported that Fuji Intelligence's products sold to Sony are mainly used in smart TV bezels. In 2025, Fuji Intelligence sold 1.2596 million sets of smart TV bezels to Sony, a year-on-year decline of 29.24%.

This is mainly related to the decline in Sony's TV shipments. During the reporting period, Sony's global TV shipments were 5.6471 million units, 4.8377 million units, and 3.8389 million units, respectively, showing a rapid decline.

(Image/Fuji Intelligence Inquiry Response)

According to TrendForce's calculations, global TV shipments will reach 196 million units in 2025. Affected by the increase in memory chip prices raising complete machine costs and weakening terminal consumer demand, global shipments are expected to decline to 194 million units in 2026, a year-on-year decline of 1%, falling below the 200 million unit mark and hitting a near-decade low.

The current sluggish global TV sales are inevitably affecting the performance of suppliers like Fuji Intelligence. The Beijing Stock Exchange has also inquired about the company's sustainable performance growth, to which Fuji Intelligence responded that its core operational capabilities and market competitiveness have not undergone substantial changes, and short-term performance fluctuations do not affect the overall sustainability of the company's profitability.

However, the authenticity of the company's revenue remains a focus of external attention. The inquiry response shows that Fuji Intelligence confirms revenue through account reconciliation under different sales models for domestic and foreign sales. Under the general mode of foreign sales, comparable companies primarily confirm revenue upon obtaining customs declaration forms or bills of lading. For goods in transit, Fuji Intelligence and its intermediaries have not conducted inventories or supervision, with intermediaries confirming with clients through letter inquiries, with response confirmation ratios of 53.79%, 57.61%, and 50.49% in each period.

The response confirmation ratio of less than 60% has also raised doubts from the Beijing Stock Exchange about the accuracy of revenue recognition. How Fuji Intelligence will ensure the rigor and authenticity of revenue accounting in the future remains an important issue.

Against the backdrop of increasing competition in the industry, innovation has also become key to maintaining corporate competitiveness. However, Fuji Intelligence does not have an advantage in R&D investment intensity compared to its peers.

During the reporting period, the company's R&D expenses were RMB 27.7894 million, RMB 34.5846 million, and RMB 33.1442 million, respectively, accounting for 3.23%, 3.55%, and 2.79% of the operating revenue in the respective periods.

In 2025, while the company's operating revenue maintained growth, R&D expenses declined, leading to a decrease in the R&D expenditure ratio for the period.

During the same period, the average R&D expenditure ratio of Fuji Intelligence's comparable peers was 5.85%, 5.38%, and 5.26%, respectively, significantly higher than that of Fuji Intelligence.

(Image/Fuji Intelligence Prospectus)

In response, Fuji Intelligence stated in its prospectus that the relatively low R&D expenditure ratio is mainly due to the company's operating revenue growth rate exceeding the R&D expense growth rate during the period, with the dilution effect brought by revenue scale expansion leading to a decrease in the R&D expenditure ratio.

Furthermore, although Fuji Intelligence's products are sold in both domestic and foreign markets, the company does not own a registered trademark for the Chinese name "Fuji Intelligence." The prospectus shows that as of December 31, 2025, the company has obtained 11 trademark rights, all related to the English trademark "fujichinon."

(Image/Fuji Intelligence Inquiry Response)

As a domestic enterprise, Fuji Intelligence only holds an English-language trademark, which can easily confuse the market and downstream clients about brand ownership, while also posing potential operational risks in terms of brand rights protection and domestic market promotion.

Under these circumstances, Fuji Intelligence's decision to make a second attempt at an IPO may be related to its tight capital chain.

During the reporting period, the company's accounts receivable were RMB 304 million, RMB 267 million, and RMB 360 million, respectively, accounting for 30.95%, 27.36%, and 30.24% of the operating revenue in the respective periods, with around 30% of the revenue being "paper wealth," also placing certain pressure on the company's liquidity.

(Image/Fuji Intelligence Inquiry Response)

As of December 31, 2025, Fuji Intelligence's monetary funds were RMB 115 million, while short-term borrowings were RMB 138 million, with monetary funds insufficient to cover short-term borrowings.

(Image/Fuji Intelligence Prospectus)

Fuji Intelligence stated in its inquiry response that although the company has a certain amount of monetary funds, facing high-frequency, large-amount operational cash payment demands, the coverage period is short, and turnover pressure is significant.

(Figure/Fuji Intelligence Prospectus (Draft Registration), Fuji Intelligence Prospectus (Final Draft))

On the one hand, the company's revenue scale has demonstrated a consistent year-over-year growth trajectory, and it boasts a roster of renowned end customers. On the other hand, it is grappling with a decline in downstream market demand, a relatively "sluggish" ratio of R&D expenditure, and mounting pressure on its capital chain. Whether Fuji Intelligence can successfully navigate the upcoming review process remains uncertain, and "New Frontiers of Entrepreneurship" will persist in tracking this unfolding narrative.

*The featured image in this article is sourced from the official website of Fuji Intelligence.