XREAL Ltd., a leading augmented reality (AR) glasses company, has submitted an application to list on the main board of the Hong Kong Stock Exchange. The company, backed by major investors including Alibaba and Kuaishou, aims to become the first publicly traded smart eyewear firm in Hong Kong.
According to its prospectus, XREAL designs, develops, manufactures, and sells AR glasses under its own brand, with strengths in optical engineering, edge computing integration, algorithm development, and AI-enhanced wearable experiences. Market research indicates that XREAL has ranked first globally in AR glasses sales revenue annually from 2022 to 2025. In 2025, it held the second position worldwide in the broader smart glasses market and the top position in China.
The company's sales network spans 40 countries and regions, with local teams in North America, Japan, and South Korea. While the United States and mainland China each contributed over 30% of sales in 2023, mainland China's share decreased significantly by 2025, with Europe's proportion doubling. Overseas markets now account for over 70% of total sales. AR glasses dominate XREAL's product lineup, representing more than 77% of sales over the past three years.
XREAL maintains a robust intellectual property portfolio, including 382 patents, 6 copyrights, and 121 trademarks in China, plus 99 patents and 209 trademarks overseas as of December 31, 2025. Its product lines include the Air series, One series, and Light-Ultra-Aura line, covering entry-level spatial display products to next-generation spatial computing devices.
Financially, XREAL reported revenues of approximately RMB 3.9 billion in both 2023 and 2024, with a significant increase to RMB 5.16 billion in 2025, representing 31% year-on-year growth. However, the company recorded losses of RMB 882 million, RMB 709 million, and RMB 456 million over the past three years, accumulating over RMB 2 billion in total losses. Despite this, losses have been decreasing annually, with a 36% reduction in 2025. The company's gross margin has improved steadily from 18.8% in 2023 to 22.1% in 2024 and further to 35.2% in 2025.
Following its pre-IPO funding round in January, XREAL achieved a valuation of $833 million. Major shareholders include Alibaba entities holding 6.68% and Kuaishou Technology holding 6.66%.
Notably, XREAL's executive directors, including three co-founders, are all graduates of Zhejiang University. CEO Dr. Xu Chi, born in 1984, founded the company in 2017 after obtaining his bachelor's degree from Zhejiang University and a Ph.D. from the University of Minnesota, with previous experience at NVIDIA and Magic Leap. Co-founders Xiao Bing, 41, serves as Chief Optical Scientist, while Dr. Wu Kejian, 38, is Chief Algorithm Scientist. Executive Director Zhang Yu, 42, oversees software development. All four executives obtained their bachelor's or master's degrees from Zhejiang University.
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