Yesterday (March 27), Canban’s parent company, Shenzhen Xiaokuo Technology Co., Ltd. (“Xiaokuo”), submitted its listing application to the Hong Kong Stock Exchange, with CMB International acting as the sole sponsor.
Founded in 2015, Xiaokuo launched its oral care brand “Canban” in 2018. If the listing proceeds successfully, Xiaokuo will become the first oral care company listed in Hong Kong stocks.
Since its establishment in 2015, Xiaokuo has, after years of development, grown into one of the fastest-growing and leading oral care product groups in China. In 2018, the company introduced the Canban brand, focusing on providing comprehensive oral care solutions, with products spanning toothpaste, mouthwash, toothbrushes, and oral sprays.
In recent years, Xiaokuo has entered a phase of accelerated performance growth, achieving strong increases in both revenue and adjusted net profit. According to the prospectus, in 2025 the group’s annual revenue reached nearly RMB 2.5 billion, up 82.5% year-on-year, reflecting a significant acceleration in growth momentum. Adjusted net profit amounted to RMB 155 million, representing a year-on-year increase of approximately 134%. Meanwhile, gross profit reached about RMB 1.8 billion, with a gross margin of 71.9%, slightly above the industry average.
From a long-term growth perspective, Xiaokuo’s performance shows strong sustainability. Between 2023 and 2025, its revenue increased from nearly RMB 1.1 billion to nearly RMB 2.5 billion, representing a three-year compound annual growth rate (CAGR) of 51%, indicating a clear trend of accelerated expansion. Profitability has improved even more significantly: adjusted net profit rose from approximately RMB 54 million in 2023 to about RMB 155 million in 2025, with a three-year CAGR of 70%, outpacing revenue growth and demonstrating strengthening earnings capability.
In terms of earnings quality, Xiaokuo’s gross profit levels have remained stable. From 2023 to 2025, gross profit stood at approximately RMB 790 million, RMB 960 million, and RMB 1.8 billion, respectively, with corresponding gross margins of 72.1%, 69.8%, and 71.9%, consistently hovering around 70% and slightly exceeding the industry average.
From a business structure perspective, Xiaokuo currently relies on basic oral care (i.e., toothpaste and toothbrushes) as its core pillar. The prospectus shows that in 2025 this segment accounted for 92.9% of total revenue, providing a stable and scalable growth foundation for the group. According to Frost & Sullivan, basic oral care constitutes the dominant segment of China’s oral care market, and Xiaokuo’s focus aligns closely with the industry structure.
Supported by its solid performance growth and strong business foundation, Xiaokuo’s market position has also risen rapidly. According to Frost & Sullivan, based on 2025 retail sales, Xiaokuo ranked third in China’s oral care products market with a 6.5% market share, only 0.2 percentage points behind the second place. At the same time, its retail sales recorded a CAGR of 73.2% from 2023 to 2025, significantly outpacing peers. Notably, in the premium toothpaste segment (priced above RMB 30 per 100g), Xiaokuo ranked first with a market share of approximately 19.2%.
In terms of channel structure, Xiaokuo has established a relatively balanced omnichannel layout.
According to Frost & Sullivan, by 2025, Xiaokuo’s online and offline channels accounted for roughly 50% each in terms of retail sales, approaching the industry’s overall structure of approximately 40% online and 60% offline. For a new consumer brand that initially grew through online channels, this indicates a shift from a single online-driven growth model to a coordinated omnichannel growth strategy.
In terms of revenue contribution by channel, the prospectus shows that in 2025, online channels accounted for 80.3% of Xiaokuo’s revenue, while offline channels contributed 19.7%. Compared with historical data, the share of offline revenue has risen rapidly from 5.5% in 2023 to 19.7% in 2025, indicating a clear upward trend.
This shift is largely attributable to Xiaokuo’s proactive push toward an omnichannel strategy since 2023. On the one hand, the group has continued to strengthen its leadership in e-commerce by leveraging its accumulated expertise in content operations and brand momentum. According to Frost & Sullivan, Xiaokuo ranked first in China’s online oral care market by retail sales in 2025, with a CAGR of 38.7% from 2023 to 2025, maintaining steady growth.
More importantly, the structure of its online growth has been continuously optimized. The prospectus shows that during the track record period, returning customers on major e-commerce platforms—particularly Douyin—contributed 43% of monthly retail sales, reflecting the Canban brand’s ongoing improvement in user retention and repurchase rates. This suggests that Xiaokuo’s online business has entered a virtuous cycle, transitioning from “traffic-driven” to “user-driven” growth.
Leveraging the brand momentum and user reputation built online, Xiaokuo has successfully extended its advantages to offline channels, where expansion has demonstrated strong growth elasticity. Since launching its omnichannel strategy, Xiaokuo has achieved near-complete coverage of prefecture-level cities across China, entering over 110,000 offline retail outlets, while further expanding into diversified channels such as OTC pharmacies and discount snack stores. According to Frost & Sullivan, based on 2025 retail sales, Xiaokuo ranked third in both the overall offline oral care market and the offline toothpaste market. Notably, it is the only company among the top five players to achieve a three-year CAGR exceeding 100%, reaching 155% and 231.7%, respectively.
It is evident that Xiaokuo’s approach is not simply about adding channels, but about building an integrated growth system through the synergy between online and offline operations. For instance, online content marketing drives in-store sales, while offline touchpoints reinforce brand awareness, forming a two-way feedback loop that amplifies overall growth
