POCH.US has drastically raised the amount of capital raised to accelerate the company's IPO process in the US.
Since it was first secretly submitted to the SEC on September 22, 2025, it has been a year since Baoshi Technology sprinted to the US stock listing. Meanwhile, on March 18 of this year, the company submitted a public prospectus to the SEC for the first time, and revised the prospectus for the third time on August 18.
According to the latest version of the prospectus, Baoshi Technology will issue 6.25 million shares of common stock in the IPO, at an issue price of 5-7 US dollars, and raise a maximum of 43.75 million US dollars. If the underwriter fully exercises the 15% over-allotment right, it can issue approximately 937,500 additional shares.
Compared with the initial public issuance plan submitted on March 18, 2026, the number of shares to be issued increased from 3.75 million shares to 6.25 million shares, the price limit was raised from 5 US dollars to 7 US dollars, and the maximum amount of capital raised was raised from 18.75 million US dollars to 43.75 million US dollars, an increase of 133.33%.
The reason behind the drastic increase in capital raised is directly related to Nasdaq's new listing standard for IPOs involving Chinese issuers requiring US underwriting and a total capital raised of not less than 25 million US dollars. However, the focus of investors' attention is that after the amount of capital raised was drastically raised, the company's valuation also moved upward. Can Baoshi Technology, an overseas digital marketing agency, support the fundamentals of the new valuation?
Channel diversification promotes continuous and rapid revenue growth
Established in 2020, Baoshi Technology mainly operates through the Hong Kong operator Poche HK. After nearly six years of development, the company has grown into a data-driven global intelligent marketing service provider that can provide full-life cycle digital marketing solutions for overseas advertisers.
Looking at the development path, from 2020 to 2024, Baoshi Technology's business was mainly single-region agent launch, and established Meta, Google and other platform accounts and creative delivery capabilities; by 2025, the company will integrate market research, marketing strategies, creative production, intelligent delivery, KOL, and PR into full-link services, and form its own big data intelligent analysis platform. Starting in 2026, the company will land in the US through the acquisition of MARS, continue to increase investment in AI and big data, and shift the channel from Meta single-core to parallel Google, Meta, Mintegral, and TikTok platforms.
From the business side, Baoshi Technology has formed a complete closed loop of delivery. The company's products and services cover many aspects such as market research and competitive analysis, digital marketing planning, creative content production, intelligent advertising, overseas KOL marketing, and global media communication. Large customers can package these one-stop services, and small customers can purchase according to a single link.
At the customer level, Baoshi Technology mainly focuses on serving three types of overseas high-frequency industries, namely games, mobile applications, and cross-border e-commerce. Among them, games are mainly SLG, RPG, and ACT. Demand is for new regional purchases, KOL generation, and retention optimization; mobile apps cover tools, social networking, entertainment, etc.; demand is installation costs and subscription conversion; cross-border e-commerce mainly focuses on beauty and apparel, and the demand is brand awareness and return transformation.
Channels and compliance capabilities are Baosch Technology's main competitive barriers. On the platform side, Baoshi Technology has system operation experience with Meta, Google, Mintegral, and TikTok accounts, algorithms, policies and compliance frameworks, and can use its own data platform for cross-platform attribution.
On the regional side, Baoshi Technology uses Hong Kong as the delivery center, and matches KOL with Southeast Asia, Europe, America, South Korea, Russia, Hong Kong, Macao, Taiwan, and South America; the US uses MARS for direct customer expansion and privacy compliance; on the team side, the internal team covers negotiations, accounts, ideas, and operations, and external stability optimizers supplement flexible production capacity, and the overall asset is light and can expand with consumption.
In terms of performance, from fiscal year 2024 to fiscal year 2026 (12 months ending March 31), Baoshi Technology's revenue was US$11.625 million, US$24.2068 million, and US$33.631 million, respectively, achieving continuous rapid growth, with a compound annual growth rate of 68.64%; however, net profit for the same period was approximately US$621,000, US$1.016,500, and US$1,077,600, respectively. The growth rate was far less impressive on the revenue side.
Specifically, the rapid increase in revenue and profit in FY2025 was mainly due to a sharp increase in customer demand for overseas purchases. On this basis, the company transformed from a small to medium agent to a full-link service provider. This will directly drive gross profit and net profit to the next level. Even if the agency model's gross profit is not strong, the small base will cause a significant increase in net profit.
However, in the 2026 fiscal year, revenue continued to rise, but the profit side remained almost the same as the previous year, and profit release slowed markedly. This was mainly due to the impact of revenue structure and cost elasticity. During the fiscal year, Baoshi Technology took the initiative to expand new channels. While deeply involved in Meta and TikTok, the company's share of revenue from the Google platform rose from 9% to 45%, and the share of revenue from the Mintegral platform increased from 2% to 16%.
The diversification of channels drove the company's revenue to continue to expand rapidly. The number of customers increased from about 84 to 89 during the period. This indicates that revenue growth was more due to the depth of single customer delivery and optimization of the platform structure, rather than simply expanding the number of customers. However, the agency side did not control traffic sovereignty, and procurement costs followed consumption. As a result, gross margin fell from 6.66% to 5.84% during the period, and profitability weakened somewhat.
On this basis, cost-side expansion has further curtailed profit elasticity. General and administrative expenses increased from 458,000 US dollars to 721,000 US dollars during the reporting period, about 57% year on year. Of the increase, professional IPO expenses were about 360,000, and the rest came from management salaries and new office leases.
The implementation progress of the three alpha variables is a key variable of intrinsic value in the medium to long term
Although Baoshi Technology's profit side release in fiscal year 2026 has slowed drastically, the company's core focus in the future is whether it can transform several of the company's existing advantages from “scaling tools” to “leverage for profit collection, bill of lading, and valuation”. This is the key to determining the company's future performance.
The first is whether the advantages of channel diversification can be further expanded. Currently, Baoshi Technology does not tie itself to a single social advertising channel. Instead, it uses Google Search/Display/UAC to pick up ARPU purchases, programmatize Mintegral games, use Meta to secure conversions, and use TikTok as auxiliary content. If the multi-platform budget can be made into a unified account and unified attribution in the future, it can reduce revenue fluctuations caused by single-platform policies, rebates, and investment restrictions. If this goal can be achieved, this will be the company's first-tier advantage over small to medium generation investment.
Second, can the “full-link one-stop” service successfully give the company more obvious pricing power. Currently, Baoshi can sell research, ideas, marketing, KOL, PR for individual customers, and can also sell all full-link services in packages. For game SLG/RPG/ACT, tool social networking apps, and beauty and apparel e-commerce, the pain point of going overseas is not just advertising, but choosing a market, making localized materials, controlling CPI/CPA, using KOL to amplify the brand, and using PR.
If Baoshi Technology can later turn audience targeting, material generation, cross-platform bidding, KOL matching, and effect review into a standardized platform, the company will have the opportunity to upgrade from “extracting based on consumption” to “platform+service” double charges, and the budget depth and renewal rate for a single customer will be higher than pure proxy investment. If the company's major customers later switch from purchasing volume on a single platform to full-link services, revenue elasticity will outweigh the elasticity in the number of customers.
Furthermore, the effectiveness of direct sales in the US will be the most option-worthy highlight. In 2026, Baosch Technology acquired MARS Privacy in Wyoming. The acquisition was to establish a direct presence and diversified customer structure in the US and expand the growth model from pure organic to an “organic+strategic acquisition”.
In the past, Baoshi Technology mainly served overseas customers, investing remotely from Hong Kong to the world. The US was only one of the big media markets, but with MARS, Baoshi Technology can provide direct local customers, local compliance, local data and privacy solutions, not only to the US, but also to other regions with local US apps, games, and electronics brands. The US market has high media unit prices and large customer budgets. If MARS can achieve a direct customer ratio, single customer ARPU and contract stability will be superior to pure agent rebates. However, if direct management in the US does not achieve significant results, it will increase operating expenses and drag down the company's net profit.
Overall, Baoshi Technology is still in a growth channel with rapid revenue growth. Although the phased net profit release slowdown poses a short-term flaw, it has not had a substantial impact on the company's fundamentals. The core logic behind this is that the market's valuation anchor is not limited to current profit margins, but rather the implementation progress of the three alpha variables of multiple channel restructuring, full-link service premium capacity, and the effectiveness of direct management implementation in the US. Whether these three businesses can be transformed from a “strategic layout” to a “financial contribution” is the key variable that determines the company's intrinsic value in the medium to long term.