Transsion Holdings Restarts Hong Kong IPO With Heavy Dividends; 3-Year Payout of 10.2B Yuan Exceeds R&D Investment

According to Newtalk, Transsion Holdings, known as the "King of Africa," updated its prospectus on June 18 and formally initiated its Hong Kong IPO to achieve dual-platform listing. While the company claimed IPO proceeds would prioritize AI research and IoT ecosystem development, financial data revealed a contrasting strategy: cumulative cash dividends from 2023 to 2025 reached 10.208 billion yuan, 1.32 times higher than R&D investment of 7.723 billion yuan over the same period, with R&D expense ratio hovering at only 4%.

Transsion's 2025 performance deteriorated sharply, with revenue declining 4.55% to 65.591 billion yuan and net profit plummeting 53.49% to 2.581 billion yuan. The company aggressively stockpiled memory inventory to counter rising chip costs, with inventory ballooning to 14.22 billion yuan by March 31, 2026, triggering a negative operating cash flow of 4.094 billion yuan in Q1. Market research firm Omdia reported Transsion's African smartphone market share fell to 48% in 2025 from 61.5% in 2024 amid competition from Xiaomi and Honor.