XAG Co., Ltd. (XAG), a leading Chinese agricultural robotics company, has officially submitted its listing application to the Main Board of the Hong Kong Stock Exchange, with Huatai International serving as the sole sponsor.
This marks the company’s third attempt at going public. XAG originally filed for an IPO on the Shanghai Stock Exchange’s STAR Market in November 2021, planning to raise RMB 1.509 billion. In March 2022, the company and its intermediaries applied for a suspension of the review process due to pandemic-related disruptions that prevented them from completing due diligence and responding to regulatory inquiries within the required timeframe. Subsequently, in May 2022, XAG voluntarily withdrew its listing application, ending its STAR Market IPO journey.
After shifting its focus to Hong Kong, XAG first submitted a listing application to the Hong Kong Stock Exchange on September 25, 2025. Under HKEX rules, a prospectus remains valid for six months, and that application expired on March 25, 2026. Just one day later, the company promptly updated its materials and refiled its application, demonstrating strong determination to pursue a Hong Kong listing.
Agricultural robotics product matrix
XAG integrates advanced robotics, intelligent technology, new energy, and AI to develop smart agricultural robots capable of high-precision operations with far greater efficiency than manual labor and traditional farm machinery. The company’s business has evolved through three phases: from direct-operated plant protection services to product sales, and now to comprehensive solution provider. XAG has built a complete “air-ground collaboration” agricultural robot product matrix covering the entire crop management cycle of “plowing, planting, management, and harvesting.”
Sales network and global expansion
XAG primarily sells its products to end users through a dealer network, an industry-standard approach given the dispersed nature of agricultural users, which helps the company penetrate markets quickly. As of the end of 2024, XAG had more than 1,100 authorized partner outlets.
Overseas, XAG has achieved significant results in recent years. Leveraging its international dealer network, its products have entered more than 60 countries and regions, including major agricultural nations such as Thailand, Brazil, Turkey, and Vietnam. International market revenue has become an important growth engine, accounting for 34.8% of total revenue in 2024, up from 26.5% in 2023.
R&D and intellectual property
According to the prospectus, during the track record period from 2022 to the first half of 2025, XAG invested a cumulative RMB 592 million in R&D, representing 19.5% of total revenue. As of June 30, 2025, the company had filed over 4,100 global patent applications and been granted more than 3,300 patents worldwide.
Revenue growth and return to profitability
The prospectus shows that XAG’s revenue has grown steadily over the past three years:
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2023: Revenue of RMB 614 million
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2024: Revenue of RMB 1.066 billion, a year-on-year increase of 73.4%
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2025: Revenue of RMB 1.166 billion, maintaining the scale above RMB 1 billion
From a revenue structure perspective, the drone business remains the absolute pillar, accounting for 87.8% of total revenue in 2024. At the same time, other businesses—including agricultural unmanned ground vehicles, tractor autopilot systems, and IoT products—are growing steadily, contributing a stable stream of revenue.
XAG’s profit performance is the most closely watched aspect of the prospectus. The company successfully returned to profitability in 2024, ending several years of losses. This achievement of positive net profit indicates that the company’s business model is maturing, economies of scale are beginning to materialize, and both cost control capabilities and product pricing power have been effectively validated.
Market position and industry outlook
According to Frost & Sullivan, based on 2024 revenue, XAG holds a 10.7% share of the global agricultural robotics market, ranking second worldwide. In the global agricultural drone market, the company holds a 17.1% share, also ranking second.
Looking at industry prospects, the global agricultural robotics market is in a period of rapid growth. While China’s mechanization rate for plowing, planting, and harvesting has exceeded 75%, the management phase—which accounts for 70% of agricultural input and production time—still lags in terms of intelligence. This presents a significant market opportunity for agricultural robotics companies. Data shows that the global agricultural robotics market is expected to grow at a compound annual growth rate of 53.3%, reaching RMB 74.9 billion by 2029. As a major agricultural country, China offers substantial market potential, with its market size expected to reach RMB 20 billion by 2029.
