The first IPO of the "Hangzhou Six Little Dragons" is coming

Ask AI · How Will the Listing of Quarkn Technology Affect the Pattern of Hangzhou’s Tech Scene?

“The mysterious eastern power” has already taken half a step on the path to going public.

Text | Direct to IPO ID: zhitongIPO

Author | Sun Yuan

Quarkn Technology moves closer to IPO.

On March 29, according to the Hong Kong Stock Exchange disclosure, Quarkn Technology has passed the Hong Kong listing hearing, which not only means that among the six major small giants in Hangzhou, the “world’s first space intelligence stock” is about to emerge, but also indicates that Quarkn Technology may become the first “Hangzhou small dragon” to land on the secondary market.

As a leading global provider of space intelligence services, Quarkn Technology is committed to accelerating artificial intelligence into the physical world.

The company owns the world’s largest space design platform, Coohom and its overseas version, as well as the next-generation space intelligence solution “SpatialVerse” for indoor environment AI development.

According to Frost & Sullivan, based on 2024 revenue, the company is China’s largest space design software provider, accounting for approximately 23.2% of the market share.

It is worth noting that Quarkn Technology’s prospectus shows that this industry leader has already reached an inflection point in performance.

In 2025, Quarkn Technology achieved revenue of 820 million yuan, with a gross profit margin rising to 82.2%. Due to changes in the fair value of redeemed liabilities, the company still reported a net loss.

However, on an operational level, excluding non-recurring items such as redemption liabilities and equity incentives, Quarkn Technology has successfully turned losses into profits, recording an adjusted net profit of ( non-IFRS measure ) 57.1 million yuan.

And being able to achieve self-sustaining growth is rare among tech companies currently listing in Hong Kong.

On a comprehensive financial level, in 2025, Quarkn Technology’s net current liabilities will be 57.1M yuan, but 4.18B yuan of that is mainly affected by accounting standards, arising from the aforementioned convertible redeemable preferred shares. This part is not a traditional “liability” that needs repayment; after listing, it will be reclassified from “liabilities” to “shareholders’ equity.”

On the cost side, Quarkn Technology still invests heavily in R&D. Over the past three years, the company’s R&D expenditure exceeded 1 billion yuan, accounting for 45.6% of total revenue, mainly used to build GPU infrastructure and develop advanced algorithms and technologies, such as cloud-native 3D graphics and AI-driven applications.

Beyond initial profitability in core business, Quarkn Technology’s new growth curve is also accelerating. Co-founder and co-CEO Chen Hang once pointed out that as AI accelerates toward a 3D world, the industry most needs is the “water seller” of underlying technology.

He stated that Quarkn Technology is committed to providing “practical” space intelligence capabilities — not only achieving realism in visualization but also outputting structured spatial data. Meanwhile, under the realistic constraints of limited computing power, the company can also connect the physical and digital worlds more efficiently through a combination of generation, simulation, and other technologies.

In the same year that Quarkn Technology achieved profitability, it upgraded its space intelligence strategy, building a business flywheel system of “space editing tools — space data — space large models,” further evolving from a 3D space software provider to a space intelligence service provider.

In 2025, Quarkn Technology first launched the spatial language model SpatialLM and the spatial generation model SpatialGen, and by the end of the year, it released the Aholo space intelligence open platform, gradually opening core capabilities such as space reconstruction, space generation, space editing, and space understanding through underlying models and tools.

Since then, Quarkn Technology’s business scope has expanded from helping humans create in 3D space to assisting intelligent agents in enhancing their intelligence levels.

Currently, Quarkn Technology has begun providing space intelligence infrastructure and services to companies and institutions across various industries such as AI large models, embodied intelligence, XR, e-commerce, and film and television.

The company’s strategic partners include many prominent players, such as Zhiyuan Robotics, Galaxy General, PICO, Hesai Technology, Hangcha Group, Huace Film & TV, and Aoson E-commerce.

In industrial scenarios, SpatialVerse launched the industrial AI twin platform SpatialTwin, collaborating with Hangcha Group and Stand Robotics to help build a full-chain service system covering factory design, planning, simulation verification, intelligent operation and maintenance, and embodied robot simulation training, reconstructing human-machine collaboration in industrial manufacturing scenes.

Additionally, in the e-commerce field, the company launched the 3D AI design tool “Coohom E-commerce Studio” in 2024, which saw revenue grow over 120% year-on-year in 2025.

All these developments open up more imagination for Quarkn Technology’s future commercialization.

Following Quarkn Technology’s latest achievements, the six small giants of Hangzhou have already launched a race to go public with innovation and excellence.

On March 20, Yushu Technology’s STAR Market IPO application was accepted by the Shanghai Stock Exchange, aiming to raise 4.2 billion yuan. Previously, Yushu Technology completed its IPO counseling in just 132 days from start to finish, setting a record for A-share IPO counseling speed.

According to the prospectus, due to rapid growth in product sales, Yushu Technology’s revenue in 2025 is projected to reach 4.09B yuan, a year-on-year increase of 335.36%; net profit after deducting non-recurring gains and losses is 600 million yuan, up 674.29%.

In December last year, Yunchenshu also submitted IPO counseling registration to Zhejiang Securities Regulatory Bureau. In August of the same year, foreign media reported that Qiangnao Technology was in talks for a pre-IPO financing of about 100 million US dollars at a valuation of over 1.3 billion US dollars, potentially paving the way for future IPOs in Hong Kong or mainland China.

In other words, as of now, half of the “mysterious eastern power” of the “Six Small Giants of Hangzhou” has already embarked on the journey to go public.

And Quarkn Technology is already leading the pack.

(Top image source: Tuchong)