Shanghai Zhida Technology Development, an electric vehicle charging pile developer backed by BYD (1211), has passed its listing hearing in Hong Kong, facing a backdrop of continuously falling prices in the sector.
For the first three months of this year, Zhida reported revenue of 217 million yuan (HK$236.6 million), a 39 percent increase year-on-year. However, the company remained unprofitable, with a net loss of 17.078 million yuan, although this loss narrowed by 46 percent compared to the same period last year.
Having commenced operations in 2010, Zhida holds a 13.6 percent market share in China and a 9 percent share globally by sales volume, with cumulative shipments of 1.3 million charging piles worldwide. Despite this scale, the company has consistently operated at a loss.
Zhida attributed the challenging environment to strong pricing pressure from automakers in recent years, leading to a continuous decline in the average selling price of its charging piles and related services.
Regarding its path to profitability, Zhida stated it is implementing strategic measures aimed at expanding revenue, launching new products, optimizing its customer base, and pursuing global expansion, alongside strengthening cost and operating expense management.
Notably, data shows the decrease in the company's customer concentration is primarily due to a significant drop in revenue from its largest client. Income from this major client fell from 260 million yuan in 2022 to less than 150 million yuan in 2024, and further dropped to 37 million yuan in the first quarter of 2025. It is suspected that this major client is BYD, which also holds a 3.52 percent stake in Zhida.
