IPO News | Impression Dahongpao passed the Hong Kong Stock Exchange hearing. “The first live performance share” will soon land on the Hong Kong Stock Exchange

The Zhitong Finance App learned that according to information disclosed by the Hong Kong Stock Exchange, Impression Dahongpao Co., Ltd. (“Impression Dahongpao” or “Company”) successfully passed the Hong Kong Stock Exchange hearing. This state-owned cultural tourism enterprise, which has been rooted in Wuyi Mountain for 15 years, is only one step away from the Hong Kong stock listing. The joint sponsors are Xingzheng International and Kaisheng Capital.

Core business: with live performances as the core, outstanding profitability and IP monetization capabilities

In 2010, “Impression: Dahongpao”, co-created by the three general directors of “Impression Iron Triangle” Zhang Yimou, Wang Chaoge, and Fan Yue, was an absolute revenue pillar and core IP. The performance uses Mount Wuyi as the stage, and uses a 360-degree rotating audience seat design to incorporate the history of tea culture. It has performed over 6,700 shows, received more than 9 million visitors, and is deeply tied to Wuyi Mountain tea culture, and has become a famous local tourism project.

Due to its unique appeal, the show ranked 3rd in the 2024 China Tourism Landscape Live Show box office, and drove the company to rank 8th in the Chinese cultural tourism performance market during the same period. Financial data shows that over the past few years, this single performance has contributed about 90% of the company's total revenue and is the core source of its profits.

In addition to core performances, the company also operates two major business segments, including Impression Cultural Tourism Town and ChaTang Hotel, to create a “show+tour+lodging” consumption scenario. Meanwhile, in 2025, the company launched a new performance “Yueying Wuyi” with the theme of Zhu Zi culture, with the aim of creating a second growth curve.

Financial perspective: Profitability is solid and resilient, and investment value is prominent

I am impressed that Dahongpao's financial performance shows strong reliability and investment potential. The core strengths are reflected in the three dimensions of profit resilience, profit quality, and healthy cash flow.

At the profit level, from 2022 to 2024, the company's revenue was 63,039 million yuan, 144 million yuan, and 137 million yuan respectively. Since 2023, the company achieved a year-on-year surge of 128.57% in revenue due to the liberalization of the epidemic, successfully reversed losses into profit and achieved a net profit of 47.504 million yuan, and a steady profit scale of 137 million yuan and net profit of 42.809 million yuan in 2024. The profit support role of core IP was stable in the first half of 2025.

In terms of profit quality, the company's gross margin performance was impressive, reaching 57.8% and 54.6% in 2023 and 2024 respectively, demonstrating the high profitability characteristics of the core performance business with light assets. At the same time, the company's debt structure is healthy and there is no pressure from large interest-bearing debt, and the combined cash flow return model for tickets provides sufficient guarantees for daily operations.

With core business upgrades and diversified layout, it will further consolidate core IP competitiveness and accelerate the cultivation of new growth curves. Combined with Wuyi Mountain's annual growth dividend of 25% in the number of visitors and revenue in Wuyi Mountain in 2024, future profit growth is clearly supported, and it is a cultural tourism target with reliable financial resources and worthy of long-term layout.

The purpose of fund-raising is clear, focusing on core upgrades and diversified expansion

This time, I was impressed that Dahongpao's IPO was clearly used for fund-raising, focusing on upgrading existing businesses and expanding new businesses. Specifically, the funds will be mainly used in three areas: first, to upgrade the performance quality of “Impression · Dahongpao”, including hardware updates, content iteration and theater maintenance to further consolidate core IP competitiveness; second, to promote diversified layout, focus on developing Impression Cultural Tourism Town, upgrade Impression Jianzhou Food Theme District, and plan to acquire new high-quality cultural tourism performance projects to replicate existing operating models to achieve management output; and third, to strengthen operational support, including brand promotion, ticket management system upgrades, and additional working capital for general corporate use.

From the “bold experiment” of the Wuyi Mountain local government's key investment back then to the tourist “Golden Business Card”, which has now performed more than 6,700 shows, “Impression: Dahongpao” has been deeply integrated into the cultural tourism blood of Mount Wuyi. After successfully breaking through Hong Kong stocks this time, it will fill the gap in the Hong Kong stock live performance sector. The company is expected to use capital market power to improve the “performance+cultural tourism+hotel” closed-loop consumer ecosystem, expand brand influence, and inject new momentum into the development of the regional cultural tourism industry.