The autonomous driving sector has long been a hot topic, driven by technological advancements and capital inflows. However, when applied to urban roads, regulatory hurdles, ethical dilemmas, and complex traffic conditions act as invisible barriers, hindering commercialization. This has led the industry to focus on simpler, more controlled environments. Mining sites, with their fixed routes, enclosed settings, and absence of pedestrians or traffic lights, present an ideal proving ground. Compared to open roads, the operational difficulty in mines is significantly reduced. Consequently, while autonomous passenger vehicles are still in testing phases, autonomous mining trucks have already achieved commercial deployment. By the end of 2025, over 4,000 autonomous vehicles were operating in mines across China, with the mining autonomous driving market reaching 4 billion yuan.

Riding this wave, EACON became the "first stock" to list on the Hong Kong Stock Exchange on July 8th, touted as the "world's first stock in mining autonomous driving." Its pre-IPO shareholder list was impressive, featuring industry giants like Zijin Mining, CATL, NIO Capital, and others. Yet, market patience has proven limited. Within a month, by August 13th, EACON's stock price had fallen 8.3% to 80.6 Hong Kong dollars, dipping below its IPO price of 87.92 Hong Kong dollars. Why did a company backed by numerous industrial capital investors and holding a leading market position encounter such a cool reception in the secondary market?

Transitioning from an Asset-Heavy to a Light-Asset Model, Persistent Losses Remain a Key Challenge

To earn the title of "world's first stock in mining autonomous driving," EACON possesses considerable strength. As of December 31, 2025, it had deployed 2,580 active autonomous mining trucks, capturing a 55.5% share of China's mining autonomous driving solutions market. Its revenue grew from 271 million yuan in 2023 to 1.435 billion yuan in 2025, though the growth rate slowed from 264% in 2024 to 45.5% in 2025. Based on 2025 revenue, it ranked first among all commercial vehicle autonomous driving companies in China and was the largest provider of mining autonomous driving solutions. However, like most autonomous driving firms, EACON has never been profitable, with its net loss widening from 334 million yuan in 2023 to 516 million yuan in 2025. Over these three years, R&D spending was 177 million yuan, 208 million yuan, and 271 million yuan respectively, relatively modest compared to peers spending billions. So, where does the loss stem from? EACON attributes it to initial investments in developing full-stack mining autonomous driving capabilities and, to alleviate customer concerns and accelerate deployment, its early decision to own its own fleet. This "fleet ownership model" allowed it to quickly enter the market and validate its technology but also created asset-heavy, low-efficiency issues that now weigh on profits. In 2025, EACON recorded an asset impairment loss of 118 million yuan on 190 early-generation mining trucks slated for sale. These assets, once crucial for market entry, became burdens as technology and customer needs evolved. Furthermore, lengthy settlement cycles amplify financial pressure, with trade receivables turnover days extending from 48.8 days in 2023 to 168.5 days in 2025. EACON is now attempting to shift towards a lighter, technology-service model, but this transition is gradual. In 2025, the fleet ownership model still contributed 42.7% of its revenue. While gross margin turned positive, rising from -18.6% in 2023 to 10.1% in 2025, it remains far from the breakeven point.

What is the Commercial Ceiling in the Mining Scenario?

Beyond losses, the potential of EACON's business model is a key concern for the capital market. Its coverage is impressive: by end of 2025, its solutions were deployed in 19 of China's 41 open-pit coal mines with an annual capacity exceeding 10 million tons, and 7 of the 12 largest. Customer numbers grew from 13 in 2023 to 52 in 2025, with a 100% retention rate for all terminal customer groups. Giants like China Energy, Zijin Mining, and Baowu Group are on its client list. However, mining resources are inherently scarce, limiting the number of large-scale players. This concentration risk is evident: from 2023 to 2025, revenue from its top five customers accounted for 94.4%, 83.7%, and 66.3% of total revenue, respectively. The largest single customer contributed 41.7%, 54.5%, and 35.7% respectively. While concentration is decreasing, over 60% of revenue still comes from the top five. More concerning is its single-scenario focus. Despite branching into five areas like mine software/hardware, full-scenario intelligence, and overseas operations, in 2025, revenue from closed-environment autonomous mining truck products and solutions was 14.28 billion yuan, representing 99.5% of total revenue. The ceiling for the autonomous mining truck market is visible. The number of domestic open-pit mines is relatively fixed, top clients are limited, and project cycles are long. Frost & Sullivan data shows China's mining autonomous driving solutions market was about 3.8 billion yuan in 2024, a relatively limited size. EACON's growth space is visibly narrowing. Consequently, overseas markets are being pursued as a second growth curve. Countries like Australia, Canada, and Chile face high labor costs and safety management pressures, creating natural demand. In late 2023, EACON established subsidiaries in Australia and Singapore, and by 2025 became the first domestic company to deploy solutions in Australia. However, overseas markets present challenges like strict local standards, the need for localized vehicle modifications, and geopolitical risks. For EACON, the overseas market will not be a simple replication of domestic experience. The new growth narrative is unfolding but far from realization. With domestic growth peaking, overseas expansion fraught with challenges, and a profitable model yet to be proven, EACON seems to be following the industry's typical developmental path.

IPO Price Drops Becoming Common, Cornerstone Investors Face Losses

EACON's post-IPO price drop is not unique. The past two years saw a wave of autonomous driving IPOs, each with prominent "first stock" labels. However, many have struggled post-listing. For example, Zhixing Technology, the "Hong Kong stock autonomous driving first stock," listed at 29.65 HK dollars in December 2023 and fell below its IPO price on day one. After a brief surge to 115.6 HK dollars, its price plummeted, closing at 3.055 HK dollars on August 13, 2026, a 97% decline from its peak. Similarly, Momenta, listed as the "world's first physical AI stock," has traded below its IPO price of 295.6 HK dollars. The IPO price drop reflects the secondary market's sentiment, but the real financial pressure lies ahead. EACON's IPO cornerstone investors, including Zijin Mining, Fidelity, and Morgan Asset Management, are already facing paper losses. Based on the recent trading range of 78-83 HK dollars, their estimated unrealized loss is between 5.6% and 11.3%. On August 5th, EACON exercised part of its over-allotment option, issuing 2.77 million H-shares. During the stabilization period, underwriters bought shares in the secondary market to support the price, but the "greenshoe" mechanism is a short-term tool. The real test comes in January 2027, when shares from 11 cornerstone investors, representing 8.8% of total shares, will be unlocked. In July 2027, a massive lock-up expiry will occur, releasing pre-IPO shares and employee shares, totaling about 64.5% of the company's shares. This influx of shares with much lower cost bases will be the true test of the stock price. Despite the post-IPO price decline, enthusiasm for the capital market remains high among autonomous mining truck companies. Besides EACON and another listed firm, Citic Dicastal, companies like Tage Zhixing and Berra Technology have also filed for IPOs. Unlike EACON's asset-heavy model, Tage Zhixing chose a light-asset "no fleet ownership" route, while Berra focuses on electric autonomous mining trucks. All three face similar challenges: high customer concentration and losses. Ultimately, the mining autonomous driving market, while perhaps the best L4 scenario for deployment, may not be the best capital venture. As the "first stock" halo fades, the market's question has shifted from "can the technology be deployed?" to "how can it make money post-deployment?" – a question for which no company has yet found a definitive answer.