Shein has cleared a listing hearing with the Hong Kong Stock Exchange and published its post-hearing information pack on July 26, potentially paving the way for a Hong Kong trading debut as early as the first half of August.

Founded in 2012, Shein is a global online fashion and lifestyle retailer. It served about 273 million active customers across roughly 160 markets in 2025, according to its listing document.

The company attributes much of its growth to a proprietary operating model it calls “large-scale automated test and reorder,” or LATR. Shein describes the model as a way to balance product variety, the speed of new launches, and inventory efficiency.

Under LATR, Shein typically introduces new products in initial batches of about 100–200 units, tracks customer responses in real time, and replenishes popular items in as little as five days.

Test-and-reorder strategies are not new, but applying them across a large product catalog while controlling costs can be difficult. Shein said its supply chain allows it to use the model across a wide range of products while maintaining capacity utilization and cost efficiency.

According to the company, the model helps limit excess production, maintain relatively low inventory levels, and reduce waste. Shein also uses a global fulfillment network, inventory placement, and freight routing to manage turnover and delivery times.

As of March 31 this year, Shein offered more than two million apparel styles. Under its first-party retail model, customers were presented with an average of about 4,700 new apparel styles each day during the first quarter.

Shein has also expanded beyond apparel into footwear, accessories, beauty, home, and lifestyle products. The company said the broader assortment allows it to serve more varied customer demand.

Its active customer base grew at a compound annual rate of 21.2%, from about 186 million in 2023 to about 273 million in 2025, according to the filing. Active customers increased from about 241 million in the 12 months ended March 31, 2025, to about 281 million in the 12 months ended March 31, 2026.

Average annual order frequency remained broadly stable. Customers placed an average of 3.8 orders in 2023, 4.0 in 2024, and 4.0 in 2025. The figure was 4.0 for the 12 months ended March 31, 2025, and 3.9 for the corresponding period in 2026.

Shein generated revenue of USD 32.103 billion in 2023, USD 38.748 billion in 2024, and USD 41.847 billion in 2025. Revenue grew 41.1%, 20.7%, and 8% in those years, respectively.

Revenue reached USD 9.052 billion in the first quarter of 2026, up 1.1% from USD 8.952 billion a year earlier.

Net income totaled USD 2.789 billion in 2023, USD 3.365 billion in 2024, and USD 2.064 billion in 2025. Its net margin was 8.7%, 8.7%, and 4.9% over the same period.

Shein recorded a net loss in the first quarter of 2026, with its net margin falling to negative 1.1% from 4.4% a year earlier. The reversal was mainly attributable to a USD 328 million fair value loss on convertible redeemable preferred shares.

Since its founding, Shein has raised capital from investors including IDG Capital, HSG, Boyu Capital, Greenwoods Asset Management, Tiger Global, Shunwei Capital, Coatue, General Atlantic, and DST.

Before the IPO, IDG Capital and HSG held stakes of 7.9% and 5.8%, respectively, making them Shein’s two largest institutional investors, according to the listing document.

Shein signed Series A, Series B, Series C, and Series C+ investment agreements in 2014, 2016, 2018, and 2020, respectively. The corresponding pre-money valuations were USD 53 million, RMB 1.1 billion (USD 162.3 million), USD 2.4 billion, and USD 5 billion.

Its valuation rose to USD 98.2 billion in a 2022 Series D financing before falling to USD 64 billion in 2023. The filing said certain earlier preferred shareholders are covered by compensation and conversion adjustment arrangements.

Shein said it plans to use the net proceeds from the IPO to strengthen its technological capabilities, increase brand awareness and its global presence, support corporate responsibility initiatives, and fund general corporate purposes.

This article was adapted based on a feature originally written by Stone Jin and published on IPO Zaozhidao. KrASIA is authorized to translate, adapt, and publish its contents.

Note: RMB figures are converted to USD at rates of RMB 6.78 = USD 1 based on estimates as of July 27, 2026, unless otherwise stated. USD conversions are presented for ease of reference and may not fully match prevailing exchange rates.