Leveraging the momentum of intelligent storage business, Lianlian Technology's revenue soared by 53.83%, but it was followed by shareholders and executives continuously reducing holdings worth nearly one billion yuan.

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On the evening of March 30, Lianlianscience (301606.SZ) released its 2025 financial report, with both revenue and net profit hitting new highs. However, just as the company’s performance surge was about to come, Lianlianscience was hit by successive reductions in holdings by company executives and shareholders.

Lianlianscience’s financial report shows that in 2025, the company achieved revenue of 9.491 billion yuan, up 53.83% year on year; net profit attributable to the parent was 705 million yuan, up 52.42% year on year.

On March 23, 2026, Lianlianscience announced that its major shareholder, Zhuhai Xiheng Investment Partnership (Limited Partnership) (hereinafter referred to as “Zhuhai Xiheng”), reduced its holdings of the company’s shares by a total of 8.0343 million shares during the period from December 24, 2025 to March 20, 2026 through centralized bidding and block trades. Based on the average reduction price stated in the announcement, Zhuhai Xiheng cashed out 509 million yuan. Behind Zhuhai Xiheng is Hillhouse Capital, the largest external shareholder of Lianlianscience.

Earlier, in January 2026, Lianlianscience also announced that its major shareholder, Shenzhen Lianlianscience Management Consulting Partnership (Limited Partnership) (hereinafter referred to as “Lianlianscience Management”), and its parties acting in concert, Shenzhen Hesun No.4 Management Consulting Partnership (Limited Partnership) (hereinafter referred to as “Hesun No.4”), reduced their holdings of the company’s shares in total by 6.2237 million shares during the period from November 6, 2025 to January 27, 2026. Based on the average reduction price stated in the announcement, Lianlianscience Management and Hesun No.4 cashed out a total of 472 million yuan.

Lianlianscience Management was established in 2018, and Chen Yan, Lianlianscience’s executive director and deputy general manager, serves as the executive partner, in charge of technology R&D and product innovation. The partner list also includes core executives of the company such as Tang Jian, Li Leijie, and Nie Xinxing. Hesun No.4 was established in 2021, with Chen Yan also serving as the executive partner; the other 38 employees indirectly hold shares in the company through this entity.

By this point, Lianlianscience has seen successive reductions in holdings by shareholders and executives, totaling nearly 1 billion yuan in cashing out.

The successive reductions by company executives and major shareholders have become a key variable affecting market expectations for Lianlianscience’s outlook. The day after the impressive financial report was released, Lianlianscience’s stock price did not rise but fell. By the close, it was 67.69 yuan per share, down 2.65% on the day. However, a reporter from the Times Finance noted that as of March 31, although Lianlianscience had fallen 27.22% from its intraday high, compared with the 44.51 yuan per share closing price on the company’s first trading day on July 26, 2024, it still had an increase of more than 50%.

Regarding the reasons for the reductions in holdings by company executives and major shareholders, whether there will be any further reduction plans in the future, and the company’s future development strategy, a Times Finance reporter called Wang Lizhen, the secretary of the board of Lianlianscience; the call went unanswered. The reporter then sent an interview outline via text message. As of the time of publication, no reply had been received.

Smart Storage Business Supports High-Growth Expectations

Lianlianscience originally started out by contract manufacturing data cables for overseas clients. Later, it seized the rapid growth opportunities of e-commerce platforms around 2010, built its own brand, and gradually expanded its business from charging products into the fields of smart office, smart audio-visual, and smart storage.

At present, Lianlianscience’s mainstay business—creative charging products—still contributes nearly half of revenue. This business includes charging-related products such as chargers and power banks, as well as creative products such as protective cases and screen protectors for mobile phones and tablets, and desktop and car mounts. According to the financial report, in 2025, this business achieved sales revenue of 4.356 billion yuan, up 47.28% year on year, and accounted for 45.90% of total revenue.

Lianlianscience’s smart office and smart audio-visual businesses also delivered steady growth. Smart office products, covering docking stations, multi-screen displays, and professional keyboard-and-mouse peripherals, achieved sales revenue of 2.432 billion yuan in 2025, up 38.41% year on year, accounting for 25.62% of total revenue; smart audio-visual products achieved sales revenue of 1.472 billion yuan, up 38.83% year on year, accounting for 15.51% of total revenue.

But what truly underpins the company’s high-growth expectations is actually the smart storage business, which currently has the smallest revenue base. Lianlianscience positions it as a new growth engine. According to the financial report, in 2025, Lianlianscience’s smart storage products achieved sales revenue of 1.226 billion yuan, up 213.18% year on year, accounting for 12.92% of total revenue.

Specifically, the core products of Lianlianscience’s smart storage business are NAS (Network Attached Storage), or network-attached storage. This is a dedicated data storage server connected via a network that enables centralized management and backup of data. It allows multiple users to share and access data over the network, supports cross-platform operation, and is easy to install, maintain, and expand.

In recent years, the rapid development of artificial intelligence has further increased demand for data storage, driving industry market expansion and causing the penetration rate of consumer-grade NAS to keep rising. According to Frost & Sullivan, it is expected that from 2024 to 2029, the global consumer-grade NAS market’s compound annual growth rate will reach 38.0%.

More importantly, the explosive popularity of OpenClaw earlier this year has drawn capital market attention to personal data storage. According to IDC’s forecast, the number of active Agents worldwide will grow from 28.60 million in 2025 to 2.216 billion in 2030, with an annualized compound growth rate exceeding 130%.

Based on this, a research report from Guojin Securities analyzed that in the future, NAS platforms capable of executing model inference on the edge, real-time analysis, and autonomous decision-making may become the core platform for carrying multi-modal large models and complex AI applications, and further develop into a home intelligent data hub with autonomous interaction capabilities.

As the NAS concept heats up, Lianlianscience’s share price also surged. On March 10, Lianlianscience’s share price once climbed to 93.00 yuan per share, setting a historical high. Compared with the opening price of 58.54 yuan per share at the beginning of the year, the increase was more than 59.07%.

Unfortunately, this capital boom had not yet translated into concrete incremental performance. Not long after OpenClaw went viral, it quickly “went wrong” due to high costs and security issues. Market enthusiasm cooled rapidly, and Lianlianscience’s share price then fell sharply. As of March 31, the company’s stock closed at 67.69 yuan per share, down 27.22% from the peak.

Underlying concerns behind stock price fluctuations are starting to emerge

Behind the volatility in Lianlianscience’s share price, the company is facing significant challenges, which may be precisely why shareholders and executives are reducing holdings at high levels.

For example, behind the seemingly impressive NAS business, Lianlianscience’s growth logic is not flawless. As early as 2018, Lianlianscience had already laid out its NAS business, and it released its first NAS product in 2020.

With its first-mover advantage, Lianlianscience made certain breakthroughs in the consumer-grade NAS market. According to Frost & Sullivan data, based on 2025 shipment volume and retail sales, Lianlianscience is the world’s largest consumer-grade NAS brand, with market shares of 20.6% and 17.5%, respectively.

But as NAS has evolved from a niche product into a mainstream consumer product, more and more competitors have moved in, and Lianlianscience faces mounting competitive pressure.

Since 2025, industry giants such as Huawei and Xiaomi have accelerated their NAS deployments. These companies generally view NAS as an important supplement to their intelligent ecosystems, emphasizing seamless coordination with their own end devices such as smartphones, computers, and tablets. In the face of these industry giants that can “swap ecosystem for hardware” and “swap traffic for market,” it remains uncertain whether Lianlianscience can preserve its market advantage under the dual pressure of price competition and ecosystem barriers.

In addition, Lianlianscience’s R&D investment is still relatively low. According to the financial report, in 2025, Lianlianscience’s R&D expenditure was 438 million yuan. Although it increased 43.96% year on year, R&D expenses accounted for only 4.61% of total revenue.

By contrast, in the same period, Lianlianscience’s selling expenses were as high as 1.895 billion yuan, up 57.28% year on year, accounting for nearly 20% of total revenue.

Behind the high selling expenses is Lianlianscience’s high reliance on e-commerce platforms. The financial report shows that the company’s online sales are highly concentrated on platforms such as Amazon, Tmall, and JD.com. In 2025, the platform service fees the company paid totaled 756 million yuan, accounting for 39.89% of the period’s selling expenses and 7.97% of total revenue.

This situation will undoubtedly constrain Lianlianscience’s development. The consumer electronics accessory industry is highly fragmented, with extremely low market concentration, and consumers have highly diverse choices. These products often have low customer stickiness and limited brand-added value. If product quality issues arise, or more cost-effective similar products appear on the market, companies can easily be replaced.

At the same time, Lianlianscience’s inventory problems are becoming increasingly prominent. By the end of 2025, Lianlianscience’s inventory balance grew sharply by 61.94% to 2.001 billion yuan. Against the backdrop of rapid technological iteration and significant changes in market demand in the consumer electronics industry, such a large inventory scale not only ties up substantial liquidity, but also faces potential risks of inventory write-downs.

To seek a way forward, Lianlianscience plans to undertake a secondary listing in Hong Kong. On February 2, 2026, Lianlianscience submitted its prospectus to the Hong Kong Stock Exchange. The sole sponsor is Huatai International. The prospectus shows that the company’s fund-raising this time will focus primarily on R&D innovation, product upgrades, and the intelligentization of business processes. The aim is to offset pressures on the cost side through technological upgrading and scale effects.

The NAS sector’s dividends have not yet been fully digested, and concerns such as intensifying industry competition, insufficient R&D investment, high dependence on platforms, and an elevated inventory scale have been arriving one after another. Against this backdrop, whether a secondary listing in Hong Kong can inject technological and capital momentum to help Lianlianscience offset internal and external development pressures remains to be tested over time. Meanwhile, the continuous reductions in holdings by core shareholders and executives also leave the market with a question mark over the company’s long-term growth certainty.

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