A Chinese Off-Road Motorcycle Maker Steps Into the Spotlight
TREE NEWS reports: Zhejiang Apollo Sports Technology Co., Ltd. has filed for an initial public offering on the Beijing Stock Exchange, seeking to become the second off-road motorcycle manufacturer listed on the bourse after Huayang Racing’s 2023 debut. The company’s rise to prominence coincides with the sudden fame of Zhang Xue, the founder of Zhangxue Motorcycles, who began his career at Zhejiang Apollo in 2009 as a repair technician after impressing chairman Ying Er with a handwritten job application.
Zhejiang Apollo’s financials show rapid growth. Revenue reached 588 million yuan in 2025, up 52.49% year-on-year, while net profit attributable to shareholders hit 67 million yuan, up 55.21%. In the first half of 2026, revenue rose 36.78% to 307 million yuan and net profit grew 14.12% to 27 million yuan. Overseas sales drove the expansion, with export revenue climbing 53% to 577 million yuan in 2025. Europe accounted for 67.92% of sales and North America 20.7%.
The ODM Dependency Problem
Despite the strong top-line growth, Zhejiang Apollo remains heavily reliant on original design manufacturing for European and American brands. ODM business generated 359 million yuan in 2025, more than 60% of main business revenue, while self-branded products contributed just 196 million yuan. The company’s own-brand RFN line carries a gross margin of 28.55%, 4.28 percentage points higher than ODM, giving management a clear incentive to shift the mix.
To that end, Zhejiang Apollo has ramped up spending on electric off-road motorcycle development, sponsored the “Apollo Cup” race series since 2023, and begun selling directly to consumers through Amazon in overseas markets. Chairman Ying Er has even launched a personal Douyin account to promote the RFN brand. The company plans to allocate 32.24 million yuan of IPO proceeds to build out marketing infrastructure, including overseas e-commerce platforms and digital marketing.
A Curious French Connection
The most unusual aspect of the filing concerns Zhejiang Apollo’s second-largest customer, APOLLO SAS, a French company that contributed 111 million yuan, or 18.85% of 2025 revenue. APOLLO is also Zhejiang Apollo’s English name. Regulators questioned whether the two entities are related parties during the company’s 2025 National Equities Exchange and Quotations listing review. Zhejiang Apollo denied any affiliation, stating the relationship dates to 2005 and that a long-term cooperation agreement signed in 2017 covers joint research, manufacturing, and sales of SEDNA, SANO, and SMX brands.
However, public reporting offers a conflicting account. A 2023 Canton Fair interview described how a 22-year-old French businessman, Raphael Chirstophe, traveled to China in 2006 seeking to become Apollo’s French general agent, only to be rejected by Ying Er until 2013. The name closely resembles Raphaël Christophe Louche, the principal of APOLLO SAS. If the two are the same person, the timeline of the partnership — whether it began in 2005 as an ODM relationship or in 2006 as a distribution bid — remains unclear, raising questions about the true nature of a 20-year commercial relationship.
Market Implications
For investors in the small-cap Chinese equity space, the filing highlights several themes. First, the Beijing Stock Exchange continues to attract specialized manufacturers with global export exposure, particularly in the recreational vehicle segment where Chinese firms like CFMOTO and Taotao have built credible brands. Second, the ODM-to-ODM transition is a recurring risk factor for Chinese exporters: customer concentration, margin pressure, and brand-building costs can weigh on valuations even when revenue growth is strong.
The APOLLO SAS relationship introduces governance uncertainty. If the French entity is effectively a related party or a de facto distribution arm, the company’s reported revenue quality and customer diversification metrics would need to be reassessed. Regulators have already flagged this issue once. A second listing review is likely to scrutinize the relationship more closely.
Key Takeaways for Investors
- Growth is real but concentrated: Zhejiang Apollo’s 50%+ revenue growth is impressive, but five customers account for roughly half of sales, and Europe alone represents nearly 70% of revenue.
- Brand transition is the swing factor: Higher-margin self-branded sales are the path to multiple expansion, but the company remains a contract manufacturer at its core.
- Governance questions linger: The APOLLO SAS relationship and conflicting accounts of its origin warrant close attention from prospective investors.
- Sector precedent matters: Huayang Racing’s performance since its 2023 listing will serve as a benchmark for how the market values off-road motorcycle makers on the Beijing exchange.
The IPO, if successful, would test investor appetite for a Chinese export manufacturer with a compelling growth story but unresolved questions about customer identity and brand strategy.
