Hai Rou Innovation's global market share remains at 30%, yet it still accumulates a loss of 2.9 billion yuan; cash flow is draining, with a redemption debt of 5.07 billion yuan looming overhead.

Yangtze Business News ● Yangtze Business Reporter Zhang Lu

ACR robot leader Haieru Innovation officially pushes for Hong Kong IPO.

Recently, Shenzhen Haieru Innovation Intelligent Technology Group Co., Ltd. (hereinafter “Haieru Innovation”) submitted a listing application to the Main Board of the Hong Kong Stock Exchange, with Goldman Sachs and CITIC Securities serving as joint sponsors.

Founded by three university students, this unicorn company has secured its position as the world’s largest ACR solution provider through a decade of technological development and market expansion. By 2024, the company’s global market share exceeds 30%, with accumulated financing surpassing 4.1 billion yuan.

However, Haieru Innovation, aiming for global leadership, faces both operational and financial pressures. The prospectus shows that from 2023 to the first three quarters of 2025 (hereinafter “the reporting period”), the company incurred a total loss of 2.854 billion yuan, and has yet to turn a profit after nearly ten years. Its total liabilities far exceed its assets, with multiple rounds of financing including redemption obligations, which are the core factors weighing on its balance sheet. After completing a Pre-IPO round of financing in January 2026, its redemption liabilities increased to 5.074 billion yuan.

Yangtze Business News notes that under the heavy redemption obligations, the interest on Haieru Innovation’s redemption debt exceeds 200 million yuan annually, eroding profits. If the IPO fails, the company will face a liquidity crisis once these redemption obligations are triggered.

Multiple investors bet on a company that has yet to turn a profit

Data shows that Haieru Innovation was co-founded in 2016 by Chen Yuqi, Xu Shengdong, and Fang Bing, three university students. Focusing on the emerging field of box-type warehouse robots, in 2017, it launched its first ACR solution, HaiPick System 1, which revolutionized traditional warehousing logistics with a “cargo box to person” model.

Leveraging technological innovation and first-mover advantages, the company rapidly captured global markets. According to the prospectus citing Zhuoshi Consulting, by 2024, Haieru Innovation is the world’s largest ACR solution provider, with a market share exceeding 30% based on revenue and shipment volume. As of September 30, 2025, it had signed contracts with over 800 customers (including direct clients and channel partners), covering more than 40 countries and regions.

Hurun Research Institute’s “2025 Global Unicorn List” shows that as of January 1, 2025, there are six unicorn companies in the mobile robot sector (industrial and warehouse logistics): Geek+ (GeekPlus), Locus Robotics, Exotec, Dexterity, Haieru Innovation, and KuaiCang Intelligent. Among them, Haieru Innovation is valued at 9 billion yuan, slightly higher than KuaiCang’s 7.3 billion yuan.

In January 2026, Haieru Innovation completed a Pre-IPO+ financing round, attracting private equity firms such as Atlantic Capital Group, Fong Yuan Capital, and IDG Capital. To date, the company has raised approximately “1.248 billion yuan + 418 million USD,” totaling about 4.133 billion yuan.

Contrasting its high valuation, Haieru Innovation has not yet achieved profitability after nearly ten years since its founding. The prospectus shows that from 2023 to the first three quarters of 2025, the company’s revenue was 805 million yuan, 1.36 billion yuan, and 1.263 billion yuan, respectively; net losses for the same periods were 1.009 billion yuan, 1.256 billion yuan, and 589 million yuan, totaling a loss of 2.854 billion yuan over two years and nine months.

Yangtze Business News observes that high R&D investment and expenses are the main factors consuming profits. As a technology-intensive enterprise, R&D expenses during the reporting period were 309 million yuan, 334 million yuan, and 258 million yuan, totaling 901 million yuan; R&D expense ratios were 38.3%, 24.5%, and 20.4%, respectively—though declining year by year, they remain high within the industry.

Compared to R&D, sales expenses are even more staggering. The prospectus shows that during the reporting period, sales and marketing expenses were 424 million yuan, 489 million yuan, and 386 million yuan, with sales expense ratios of 52.7%, 35.9%, and 30.5%. In 2023, sales expenses accounted for over half of revenue.

As of the end of September 2025, Haieru Innovation employed 604 sales and marketing personnel, accounting for 41.7% of total staff, surpassing R&D staff.

Annual redemption debt interest erodes profits by over 200 million yuan

Beyond ongoing losses, Haieru Innovation’s debt risks also pose significant obstacles to its IPO process.

Yangtze Business News notes that the primary risk stems from increasing reliance on major clients, weakening revenue stability. The prospectus shows that from 2023 to the first three quarters of 2025, the top five customers contributed revenues of 259 million yuan, 498 million yuan, and 608 million yuan, accounting for 32.1%, 36.7%, and 48.2% of total revenue, respectively.

Dependence on the largest customer has surged dramatically. During the reporting period, the largest customer’s revenue share rose from 15.6% in 2023 to 12.7% in 2024, then spiked to 30.4% in the first three quarters of 2025, with a contribution of 384 million yuan—an increase of 169.21% over the full year 2024.

More critically, Haieru Innovation is already in a state of insolvency, with a severely unbalanced asset-liability structure. As of September 30, 2025, total assets were 2.716 billion yuan, but total liabilities reached 6.595 billion yuan, with negative net assets of -3.879 billion yuan, and a debt-to-asset ratio soaring to 242.8%.

Looking at the debt structure, current liabilities are the main pressure. At each reporting period’s end, current liabilities were 4.259 billion yuan, 5.576 billion yuan, and 6.388 billion yuan, rising rapidly. The multi-round financing with associated redemption obligations is the core reason for the balance sheet pressure.

The prospectus shows that at each period’s end, redemption liabilities were 2.886 billion yuan, 3.512 billion yuan, and 3.961 billion yuan, accounting for over 62% of current liabilities. After the January 2026 Pre-IPO financing, redemption liabilities further increased to 5.074 billion yuan, nearly 5.1 billion, like a “Damocles sword” hanging over the company.

Yangtze Business News notes that in past financings, Haieru Innovation granted investors redemption rights and other special rights. Although these rights were terminated when the company filed for listing, the terms include a “restoration mechanism.” If the company withdraws its IPO application, is rejected, or fails to go public within 18 months after submitting the prospectus, these special rights will automatically revive, potentially forcing the company into large-scale share buybacks and cash repayment risks.

Financially, this also impacts profitability and cash flow. During the reporting period, interest on redemption liabilities was 211 million yuan, 240 million yuan, and 212 million yuan, continuously eroding profits; meanwhile, net cash flows from operating activities were -482 million yuan, -196 million yuan, and -286 million yuan, with a total net outflow of 964 million yuan, putting ongoing pressure on liquidity.

Industry insiders say that if Haieru Innovation successfully lists, the raised funds could be used to repay debts, boost working capital, and optimize R&D and sales investments to ease current financial pressures; if the IPO fails, triggering large redemption obligations could lead to insolvency and a collapse of the capital chain.