China’s DSC on Tuesday disclosed a near 29% fall in 2025 revenue, as the software maker filed for a U.S. initial public offering after securing a rare regulatory clearance.
Heightened geopolitical tensions between Washington and Beijing have made it increasingly difficult for Chinese companies to pursue U.S. listings in recent years.
“DSC is using the opportunity to line up its rare clearance from Chinese regulators with the strongest U.S. IPO market of the past few years, as positive U.S. sentiment is broadening out to non-U.S. domiciled deals,” said Lukas Muehlbauer, research associate at IPOX.
DSC, backed by investment firm Primavera, won a rare approval from the China Securities Regulatory Commission for a Nasdaq listing, Reuters reported in April.
“The approval is a positive signal that qualified China-linked companies can still access U.S. markets when they meet the rules,” Muehlbauer said, adding that a Nasdaq listing would help the company present itself as a technology, data and AI platform rather than being viewed mainly through the narrower lens of used car dealers.
Founded in 2012 by Junhong Yao, DSC provides operating systems for used-car dealers in China, and offers software and transaction services to dealers and other automotive merchants. Its platform was used by more than 228,000 active customers in 2025.
The company reported revenue of 677.1 million yuan ($99.78 million) for the year ended December 31, compared with 948.2 million yuan in 2024. Its net loss narrowed to 94.6 million yuan, from 157.1 million yuan a year earlier.
It plans to use proceeds from the offering to enhance its digital products and expand transaction services for auto merchants, invest in technology, and for general corporate purposes and working capital.
Deutsche Bank, CICC and CR Global Markets are among the underwriters for the offering.
($1 = 6.7860 Chinese yuan renminbi)
Reuters
