Qiyun Mountain Food Makes Another Push for Hong Kong Listing: Sour Jujube Cake Single-Handedly Accounts for Over 80% of Revenue, Business Fortunes Hinge on "Mingming is Busy"

(Source: Caixin)

In 2024, Qiyunshan Food received orders from Mingming Busy (01768.HK), leading to a significant increase in performance. However, after Mingming Busy reduced orders in 2025, the company’s performance declined again.

Qiyunshan Nan Suan Zao Cake, a childhood memory for many, has filed again with the Hong Kong Stock Exchange. Recently, the well-known snack company Jiangxi Qiyunshan Food Co., Ltd. (hereinafter referred to as “Qiyunshan Food”) updated its Hong Kong IPO prospectus. The company last filed in June 2025. In this filing, Qiyunshan Food updated its 2025 performance.

Caixin notes that although the company has launched many nan suan zao products, its 1992 launch of nan suan zao cake remains the main source of revenue, contributing over 80% annually. Additionally, Qiyunshan Food heavily relies on large distributors for orders. In 2024, the company received orders from Mingming Busy (01768.HK), which boosted its performance. But in 2025, after Mingming Busy reduced orders, performance declined again.

Nan Suan Zao Cake Contributes Over 80% of Revenue

Qiyunshan Food is a fruit snack company focused on nan suan zao products. Its nan suan zao cake is a childhood memory for many. According to the prospectus, the nan suan zao cake was launched as early as 1992. Since then, Qiyunshan has also introduced products like nan suan zao granules and soft candies. According to data from Zhuoshi Consulting, as of 2024, Qiyunshan Food holds a 32.4% share of the nan suan zao food market in China, ranking first in the industry.

Although the nan suan zao cake is “ancient,” it has a long life cycle and remains the company’s main pillar today. Financial data shows that from 2023 to 2025, the nan suan zao cake products generated revenues of 209 million yuan, 290 million yuan, and 270 million yuan, accounting for 84.7%, 86.7%, and 84.8% of total revenue, respectively.

Nan Suan Zao Granules are the company’s second-largest revenue source. Launched in 2021, this product contributed 9.1%, 9.2%, and 12% of revenue in 2023-2025. Other auxiliary products include nan suan zao jelly, soft candies, and jelly desserts, which together generated less than 50 million yuan over the three years.

Screenshot from Qiyunshan Food IPO prospectus

Regarding the high dependence on a single product, Qiyunshan Food states that after fundraising, it plans to increase R&D of new products, focusing on functional and health-oriented nan suan zao products, as well as new categories with sleep aid and antioxidant effects. The company also mentioned diversifying its product portfolio to include nan suan zao freeze-dried tablets, jams, and beverages to mitigate risks associated with product concentration.

Heavy Reliance on Offline Distributors

Financial data shows that from 2023 to 2025, Qiyunshan Food’s revenue was 247 million yuan, 339 million yuan, and 314 million yuan, with net profits of 23.7 million yuan, 53.2 million yuan, and 48.9 million yuan, respectively. The financial reports reveal significant performance fluctuations: in 2024, revenue and profit increased by 37.2% and 124.4%, respectively, but in 2025, they decreased by 7.4% and 8%.

The company attributes the sharp growth in 2024 mainly to expanded market demand, distributor expansion, and deeper cooperation. When discussing distributor expansion, Qiyunshan Food highlighted client F, which began cooperation in the second half of 2023. In 2024, revenue from client F surged, accounting for 22.9% of total revenue.

However, the narrowing of revenue and profit in 2025 was also due to client F. Qiyunshan Food states that changes in product mix and supply led to a reduction in orders from client F, causing a decline in nan suan zao cake sales. According to the prospectus, as of December 2025, client F remained the company’s largest customer, contributing 12.8% of revenue for the fiscal year 2025.

Regarding the identity of client F, Qiyunshan Food only states that the company is an offline distributor engaged in snack distribution, headquartered in Changsha, China. Industry insiders widely speculate that this client is Mingming Busy, a Hong Kong-listed company. The last time Qiyunshan Food filed, it disclosed that the company had over 10,000 offline stores. As of 2025, only two snack chains with over 10,000 offline stores are known: Wancheng Group in Fujian (300972.SZ) and Mingming Busy in Changsha (01768.HK).

In fact, Qiyunshan Food relies heavily on offline distributors. From 2023 to 2025, more than 85% of its revenue came from offline distributors. The top five customers accounted for 26.5%, 38.8%, and 33.7% of total sales over these years.

To address over-reliance on offline distributors, Qiyunshan Food plans to strengthen online sales platforms after fundraising, investing more in live streaming, community group buying, and other channels. The company also intends to expand its distribution network in East and Central China and enter chain snack stores and warehouse-style membership stores.