Hongquan Tech Clarifies: Two-Wheeler Business Has Minimal Revenue Impact, No Effect on Overall Performance

Hongquan Technology (SHA: 688288) recently issued an announcement regarding abnormal fluctuations in its stock trading, clarifying that its core business focuses on intelligent connected vehicle and smart cockpit solutions for commercial and passenger vehicles, including related in-vehicle terminal products and services. Although the company also operates in the two-wheeler segment—offering smart instrument clusters, controllers, data management platforms, and accompanying mobile applications—the revenue generated from this segment currently accounts for only a small portion of the company’s total revenue and does not significantly impact its overall financial performance. The company also highlighted associated risks, noting that the two-wheeler industry is highly competitive, characterized by rapid technological advancements, and that OEMs are extremely cost-sensitive. As such, the company may face multiple challenges in the future, including technology iteration, annual price reductions, and shifts in supply and demand. Hongquan Technology urged investors to make rational investment decisions and remain mindful of potential investment risks.