Company Overview

Longsys is a leading global independent semiconductor memory company and the leading independent memory module provider in China. Its core business model is built around a “multi-brand portfolio + global distribution network + full-scenario storage products.”

The company owns three major brands: FORESEE, Lexar, and Zilia, covering four key product lines: embedded storage, SSDs, portable storage, and memory modules. Its applications extend to AI servers, automotive-grade industrial solutions, and consumer electronics.

Longsys is listed on the ChiNext board of the A-share market (301308.SZ). On May 29, 2026, the company resubmitted its H-share listing application to the Hong Kong Stock Exchange, with CITIC Securities and Citi as joint sponsors. The application is currently under HKEX review, with a potential listing around December 2026 if successfully completed.

Industry Position

Longsys operates in the storage module and AI enterprise storage sector, a key upstream segment of the AI computing supply chain.

The global memory chip market recovered to approximately US$221.57 billion in 2025. Driven by AI demand, the market is expected to grow more than 12% year-on-year in 2026, with enterprise SSDs and HBM-related storage among the fastest-growing segments.

In 2025, Longsys ranked second globally and first in China among independent semiconductor memory companies, with approximately 1.2% global market share. The company has strong global competitiveness in consumer storage and high-end NVMe SSD markets, making it one of the few Chinese storage companies with global branding and distribution capabilities.

Business & Financial Performance

• Revenue: Revenue from 2023 to 2025 was RMB 10.125 billion, RMB 17.464 billion, and RMB 22.766 billion respectively, representing a three-year CAGR close to 50%. First-half 2026 revenue is expected to reach RMB 22-25 billion, representing 115%-145% YoY growth.
• Profitability: The company recorded a loss of RMB 837 million in 2023, while net profit attributable to shareholders reached RMB 1.423 billion in 2025, up 185.41% YoY. First-half 2026 net profit is expected at RMB 9.2-11 billion, representing more than 620x YoY growth amid the memory price recovery cycle.
• Quality: Gross margin is expected to exceed 55% in 2026, driven by rising AI storage product contribution. Overseas revenue accounts for more than 60%, reducing regional concentration risks through global operations.

IPO Investment Highlights

• Strong Industry Cycle: Large-scale AI infrastructure deployment is accelerating enterprise storage demand, creating a strong growth cycle with high earnings visibility.
• Leadership Advantage: As China’s leading independent storage module company, Longsys benefits from a strong brand portfolio, global channels, domestic substitution trends, and international expansion.
• Growth Potential: Rapid growth in AI storage and automotive-grade storage businesses, combined with proprietary controller development and packaging/testing capacity expansion, provides long-term earnings upside.

Key Risks

• Memory Cycle Risk: Memory prices are highly cyclical. If the current pricing upcycle peaks earlier than expected, earnings growth could slow significantly.
• Listing Progress Risk: The previous H-share filing in 2025 became invalid after expiration. The current review process remains uncertain, and the expected year-end listing timeline may change.
• Technology Dependency Risk: Key memory wafers and advanced controllers still rely on external suppliers. Compared with global leading manufacturers, technological independence remains relatively limited.