IPO News | Hunan Yuneng (301358.SZ) reports that the Hong Kong Stock Exchange has ranked first among global suppliers of phosphate cathode materials for six consecutive years

The Zhitong Finance App learned that according to the Hong Kong Stock Exchange's disclosure on August 17, Hunan Yuneng New Energy Battery Materials Co., Ltd. (301358.SZ) (hereinafter referred to as “Hunan Yuneng”) submitted the Hong Kong Stock Exchange main board, with CITIC Construction Investment International and HSBC as co-sponsors.

Company profile

According to the prospectus, Hunan Yuneng is a world-leading new energy materials company with both technological innovation and advanced manufacturing capabilities. It focuses on R&D, production and sales of phosphate cathode materials (mainly lithium iron phosphate), and is committed to providing high-performance, highly consistent, and cost-effective cathode materials for global new energy customers. According to Frost & Sullivan, in terms of shipment volume, the company ranked first among the world's suppliers of phosphate cathode materials for six consecutive years from 2020 to 2025, with a global market share of 28.2% in 2025.

The company uses lithium iron phosphate cathode materials as its main products, and is also forward-looking at cutting-edge products such as lithium manganese iron phosphate, cathode materials for sodium-ion batteries, and cathode materials for solid-state batteries. The company's products are mainly used in power batteries, energy storage batteries, etc., and the core performance indicators are at the leading level in the industry.

The company has established a full-process R&D and process management system covering raw material screening, particle grade control, high-temperature solid phase sintering, carbon coating and doping. The company has formed a complete R&D system and industrialization capabilities in terms of high energy density, high consistency, long cycle life, high fast charging performance/energy efficiency, etc., and provides a solid technical guarantee for continuous product iteration through a forward-looking technical layout.

The company's fourth-generation lithium iron phosphate products have been mass-produced and supplied on a large scale. The fifth-generation lithium iron phosphate products will further increase the compaction density while maintaining excellent electrochemical performance. The company has also developed a novel lithium manganese-iron phosphate material to match the differentiated product needs of tourists. Furthermore, research on R&D projects such as sodium electric cathode materials, lithium-rich manganese-based cathode materials for solid-state batteries, high-nickel ternary materials, and high-voltage lithium nickel-manganate cathode materials is progressing smoothly.

According to Frost & Sullivan, the company has gained a broad and high-quality customer base with industry-leading technical strength, a complete product matrix, and the world's largest lithium iron phosphate production capacity. In 2025, the company achieved full coverage of the top ten power battery and energy storage battery manufacturers in China, and achieved full coverage of nine of the top ten power battery manufacturers in the world and the top ten energy storage battery manufacturers in the world. Based on leading technical strength and production capacity advantages, the company actively expands overseas markets, carries out product sample delivery and verification work with many large overseas battery companies, and actively expands overseas production capacity, including the Spanish production base.

Financial data

Earnings

In the three months ended March 31 in 2023, 2024, 2025, and 2026, the company achieved revenue of approximately RMB 41,358 billion, RMB 22.599 billion, RMB 34.625 billion, and RMB 14.965 billion, respectively.

Mouri

For the three months ended March 31 in 2023, 2024, 2025, and 2026, the company recorded gross profit of approximately RMB 2,829 billion, RMB 1,741 billion, RMB 3.152 billion, and RMB 2,418 billion, respectively.

Annual/period profit

For the three months ended March 31 in 2023, 2024, 2025, and 2026, the company recorded annual/period profit of approximately RMB 1,581 billion, RMB 590 million, RMB 1,267 million, and RMB 1,359 billion, respectively.

Industry Overview

As the core cornerstone of the global green energy transition, the lithium-ion battery industry is comprehensively leading the low-carbon transformation of transportation and electricity. Its core application scenarios focus on power batteries, energy storage batteries and other emerging application fields. As lithium-ion battery shipments enter the TwH era, the industry is ushering in a new phase of surging demand for high-end production capacity and a transition to high quality.

The downstream NEV and energy storage industry continues to inject strong growth momentum into the lithium-ion battery market. As a result, global lithium-ion battery shipments increased from 323.2 GWh in 2020 to 2,243.1 GWh in 2025, with a compound annual growth rate of 47.3% during the period, and are expected to grow further to 7,472.3 GWh in 2030, with a compound annual growth rate of 27.2% from 2025 to 2030.

According to the technical route, lithium iron phosphate batteries have become the most important technical route for lithium-ion batteries in the world, mainly due to their continued prominence in safety, cycle life and cost advantages. Shipments have surged from 82.3 GWh in 2020 to 1,520.2 GWh in 2025, and are expected to further grow to 5,795.2 GWh in 2030, with a compound annual growth rate of 30.7% from 2025; their share of global lithium-ion battery shipments is rapidly rising from 25.5% in 2020 to 67.8% in 2025, and it is estimated that It further increased to 77.6% in 2030.

Driven by growing demand in the passive and energy storage lithium-ion battery market, global shipments of lithium-ion battery cathode materials increased from 80,000 tons in 2020 to 5.493 million tons in 2025, with a CAGR of 47.0%. It is expected to further increase to 16.546 million tons in 2030, with a CAGR of 24.7% from 2025 to 2030. Among them, phosphate cathode materials have achieved the most significant growth due to the balance advantages of multiple application scenarios. Global shipments of phosphate cathode materials are expected to increase from 4,037 million tons in 2025 to 13.48 million tons in 2030, with a compound annual growth rate of 27.3% during the period.

As the core market, China is leading the development path of the global lithium-ion battery cathode materials industry. Shipments of lithium ion battery cathode materials in China increased from 508,000 tons in 2020 to 5.017 million tons in 2025, with a compound annual growth rate of 58.1%. It is expected to reach 14.926 million tons in 2030, with a CAGR of 24.4% from 2025 to 2030. Among them, shipments of phosphate cathode materials in China are expected to increase from 3.892 million tons in 2025 to 12.757 million tons in 2030, with a CAGR of 26.8%.

As the main category of phosphate cathode materials, global shipments of lithium iron phosphate cathode materials grew rapidly from 127,000 tons in 2020 to 4.06 million tons in 2025, with a compound annual growth rate of 99.4% during this period. In the future, downstream new energy vehicles, energy storage systems and emerging fields will continue to drive demand for lithium iron phosphate batteries, and the lithium iron phosphate cathode material industry is in strong demand. Global shipments of lithium iron phosphate cathode materials are expected to further increase to 12.453 million tons in 2030, with a compound annual growth rate of 25.5% from 2025 to 2030.

Board Information

The board of directors of the company consists of ten directors, including three executive directors, three non-executive directors and four independent non-executive directors. The term of office of the company's directors shall not exceed three years, and they can be re-elected after the term expires.

Shareholding structure

As of the last practical date (August 7, 2026), the company held about 9.03%, 5.67%, and 0.71% of the shares of Electrochemical Group, Xiangtan Electrochemical and Zhenxiang SDIC respectively. Together, the three held about 15.41% of the voting rights, forming the company's single largest shareholder group; in addition, Ningde Times held about 6.03% of the shares, Jin Sheng New Materials held about 6.94% of the shares, and other institutional investors and public shareholders.

Intermediary team

Co-sponsors: CITIC Construction Investment (International) Finance Limited, HSBC Corporate Finance (Hong Kong) Limited

Company Legal Adviser: Related to Hong Kong and US Law: Pu Heng Law Firm (Hong Kong) Limited Liability Partnership; Related to Chinese Law: Beijing Guofeng Law Firm

Co-sponsor Legal Adviser: On Hong Kong and US Law: Smith & Phil Chemay; On Chinese Law: Beijing Commerce & Commerce Law Firm

Auditor and reporting accountant: Furimazer Certified Public Accountants Limited

Industry Advisor: Frost & Sullivan (Beijing) Consulting Co., Ltd. Shanghai Branch

Compliance Advisor: CITIC Construction Investment (International) Finance Co., Ltd.