Tariff Pressure and Rivals Circling, Creality3D Restarts IPO Sprint for "HK Stock Consumer-Grade 3D Printing First Stock"

(Image source: Visual China)

Blue Whale News, March 11 Recently, the Hong Kong Stock Exchange website shows that Shenzhen Chuangxiang 3D Technology Co., Ltd. (hereinafter referred to as “Chuangxiang 3D”) has submitted its prospectus, planning to list on the Hong Kong Main Board.

This marks the company’s second attempt since its initial submission in August 2025. China International Capital Corporation (CICC) is the sole sponsor. Previously, the China Securities Regulatory Commission’s International Cooperation Department issued a filing notice for overseas issuance and listing and domestic unlisted shares “full circulation,” clearing key policy hurdles and taking an important step toward the goal of becoming the “first consumer-grade 3D printing stock in Hong Kong.”

Steady revenue growth, profit shifting from profit to loss

As a leading global provider of consumer-grade 3D printing products and services, Chuangxiang 3D’s main business includes 3D printers, 3D printing consumables, 3D scanners, laser engravers, accessories, and others. It also offers various services through its global online community “Chuangxiang Cloud,” focused on 3D printing content. The Nexbie overseas e-commerce platform launched in August 2025 further completes the transaction loop, forming a “hardware + software + community” business model.

According to data from Zhuoshi Consulting, in 2024, based on GMV, the company is the second-largest consumer-grade 3D printing company globally, with a market share of 11.2%. It also ranks first among global consumer-grade 3D scanner companies, with a market share of 37.6%, and third among global consumer-grade laser engraver companies, with a market share of 3.5%.

During the reporting period, Chuangxiang 3D maintained steady revenue growth. From 2023 to 2025, the company’s operating income was 1.883 billion yuan, 2.288 billion yuan, and 3.127 billion yuan, respectively. The main growth drivers were the explosive growth of the 3D scanner business, sustained high growth of consumables, and expansion of direct sales channels.

However, the company’s profitability has fluctuated significantly. From 2023 to 2024, net profits were 129 million yuan and 88.66 million yuan, respectively. In 2025, the company turned from profit to loss, with a net loss of 182 million yuan.

The prospectus shows that the losses mainly resulted from a net amount of 240 million yuan recorded in other losses/gains due to issuing shares to investors and paying dividends that year. Excluding this non-recurring gain/loss, the company’s core business remained profitable but with a slowdown in growth. Gross profit margins remained stable at around 31%, but there was a clear divergence among business lines: gross margins for 3D printers continued to decline, while margins for 3D printing consumables and scanners steadily increased, reflecting the impact of strategic product adjustments.

Intense market competition and risks in overseas operations

From an industry competition perspective, the increasingly fierce market competition continues to squeeze the company’s survival space. Companies like Zhuozhu Technology maintain strong competitiveness, with Smart Dispatch Technology and Zongwei Cube continuously increasing shipments, narrowing the gap with Chuangxiang 3D. Meanwhile, cross-industry entries by giants like Anker Innovation further intensify industry competition, forcing the company to increase marketing investments and squeeze profit margins.

Operational efficiency decline and cash flow pressure are also noteworthy. In 2025, net cash flow from operating activities turned negative for the first time. The main reasons are a significant increase in inventory and accounts receivable, with inventory reaching 634 million yuan, a 44.73% year-over-year increase. Inventory turnover days increased from 81.4 days in 2023 to 98.3 days.

The company explained that this mainly results from shifting from a domestic distribution model in China to overseas warehouse distribution or direct delivery to overseas customers, leading to longer transportation cycles. Additionally, net profit margins fluctuated greatly, dropping from 6.8% in 2023 to -5.8% in 2025.

Furthermore, changes in U.S. tariff policies also introduce business uncertainties. From 2023 to 2025, sales revenue from the U.S. was 493 million yuan, 525 million yuan, and 888 million yuan, accounting for 26.2%, 22.9%, and 28.4% of total revenue during those years. The U.S. government increased tariffs on 3D printers, consumables, and related products by about 20% in 2025, which will weaken the company’s product price competitiveness in the U.S. market, requiring further countermeasures.

According to the prospectus, the company plans to use the raised funds mainly for four areas: first, increasing R&D investment; second, expanding overseas customer operations; third, promoting global brand development and sales channels, consolidating existing market share, and exploring emerging markets; and fourth, seeking cooperation, investments, or acquisitions that complement the company’s business and align with strategic directions. The remaining funds will be used for operational expenses and general corporate purposes.