Breaking Down Lianlian DigiTech Co Ltd Financial Health: Key Insights for Investors

Born in 2009 and publicly listed on the Hong Kong Stock Exchange as 2598.HK in 2024, Lianlian DigiTech is on a mission to 'make global commerce easy through digitalisation,' leveraging a suite of pay-in, pay-out, acquiring, FX, virtual card and aggregation services to connect merchants worldwide; as of June 30, 2025 it supports transactions across more than 130 currencies in over 100 countries and regions, has served a cumulative total of over 7.9 million customers, and recorded a first-half 2025 digital payment TPV of RMB 2.1 trillion (up 32% YoY), underpinned by a global license network of 66 payment licenses including an SFC virtual asset trading platform license and an Electronic Money Institution authorization in Luxembourg-while its vision to build a Hong Kong-based global payment ecosystem, ISO 37001 anti-bribery certification, 92% customer satisfaction in 2024, partnerships with 50+ universities, a target to cut carbon emissions by 30% by 2025, and community programs reaching over 20,000 people all signal how its core values of innovation, customer‑centricity, integrity, collaboration and responsibility are translating strategy into measurable global impact.

Lianlian DigiTech Co Ltd (2598.HK) - Intro

• Core business lines: pay-in, pay-out, acquiring, foreign exchange, virtual card, and payment aggregation services.
• Global footprint: operating in over 100 countries and regions; supports transactions in more than 130 currencies.
• Customer base: cumulative total of over 7.9 million customers as of June 30, 2025.

• "Make global commerce easy through digitalisation" - simplify cross-border payment flows for merchants of all sizes.
• Focus on interoperability: deliver end-to-end solutions from merchant onboarding to settlement, minimizing friction and time-to-revenue.

• To be the global bridge for digital commerce by providing trusted, scalable, and compliant payment rails across currencies and jurisdictions.
• Expand platform reach and product depth to capture higher-value services (FX, virtual cards, treasury functions) and increase monetization per merchant.

• Customer-first: prioritize merchant experience, reliability, and service-level consistency across markets.
• Compliance & trust: maintain a global license network (66 licenses/qualifications) and pursue regulatory alignment in key markets.
• Innovation: continuously develop modular payment products-virtual cards, payment aggregation, multi-currency settlement-to address evolving merchant needs.
• Scale with efficiency: leverage technology to reduce transaction costs, increase automation, and support rapid geographic expansion.

• Large TPV scale: RMB 2.1 trillion in H1 2025 provides revenue base and data-driven risk/price optimization.
• Extensive licensing: 66 global licenses, including a Hong Kong SFC virtual asset trading platform license, enabling diversified service delivery.
• Product breadth: integrated offering from pay-in/pay-out to FX and virtual card products permits higher wallet share per merchant.
• Global operations: presence in 100+ countries and 130+ currencies reduces single-market concentration risk and supports multinational clients.

Lianlian DigiTech Co Ltd (2598.HK) - Overview

• Mission focus: simplify cross-border trade through integrated digital payment rails and value-added merchant services.
• Strategic positioning: leverage Hong Kong's financial ecosystem to coordinate EMEA, APAC and Americas expansion.
• Regulatory & compliance emphasis: maintain an extensive global licensing footprint to enable lawful cross-border flows.

• Licensing: Electronic Money Institution (Luxembourg) licence to enable euro-denominated cross-border payouts across EU/EEA.
• Global licenses held: payments licenses and local PSP/EMI approvals across Asia, Europe and selected Americas corridors to support multi-currency settlement.
• Innovation: concentrated product teams in Hong Kong and other innovation centres to accelerate API-driven merchant integration and compliance tooling.

• Hong Kong HQ (Nov 2025): centralize cross-border product roadmap, EU and APAC licence management, and global client services.
• European push via Luxembourg EMI: enable direct e-money issuance and EUR rails, reducing reliance on local correspondent banks.
• Technology investments: API-first merchant onboarding, tokenization, fraud analytics and settlement optimization to lower merchant friction and cost-to-serve.
• Partnerships: bank and payout partners across Southeast Asia, Europe and LATAM to widen corridor coverage and local currency settlement.

• Layered compliance model: global policy hub + local compliance teams to meet AML/KYC and payment scheme requirements.
• Continuous license expansion: target additional EEA and key-market PSP approvals to broaden on-net settlement capacity.
• Operational resilience: multi-rail settlement capability and regional liquidity pools to reduce settlement latency and FX friction.

Lianlian DigiTech Co Ltd (2598.HK) - Mission Statement

• Primary mission: Facilitate seamless cross-border payments and financial services for merchants, platforms and financial institutions worldwide.
• Strategic hub: Establish Hong Kong as the Overseas Business Headquarters to coordinate global expansion and regulatory engagement.
• Customer focus: Serve e-commerce merchants, SaaS platforms, and enterprise exporters to simplify settlement, FX and compliance.
• Technology mandate: Leverage blockchain, AI and cloud-native architectures to reduce settlement times, lower costs, and increase transparency.

• Global ecosystem: Build an interconnected payments, FX and settlement network spanning major trade corridors.
• Regulatory reach: Obtain global payment and e-money licenses to operate seamlessly across jurisdictions.
• Enterprise enablement: Assist Chinese and international enterprises to enter and scale in overseas markets through localized payment rails and settlement solutions.
• Innovation-led growth: Drive product differentiation via AI-driven risk controls, blockchain-enabled reconciliation, and modular APIs for partners.

• Licensing program: Aggressive pursuit of local PSP/e-money licenses to reduce dependence on local partners and accelerate settlement.
• Product expansion: Broaden offerings from basic acquiring and payouts to FX hedging, treasury services, SaaS billing and merchant capital solutions.
• Tech stack evolution: Integrate blockchain for cross-border reconciliation and AI for real-time fraud/risk management to improve approval rates and lower chargebacks.
• Partner ecosystem: Build API-first integrations for marketplaces, payment service providers and financial institutions to embed Lianlian capabilities globally.

• Hong Kong HQ enables direct regulatory dialogue and access to regional dollar/FX liquidity pools.
• Localized settlement rails and cross-border invoicing help Chinese SMEs expand to e-commerce marketplaces in Europe, North America and Southeast Asia.
• Dedicated overseas business unit coordinates license applications, partnerships and localized product launches.

Lianlian DigiTech Co Ltd (2598.HK) - Vision Statement

• Ambition: Scale processing capacity to handle 10 billion transactions annually by 2027 through platform upgrades and expanded merchant networks.
• Geographic reach: Expand active cross-border corridors from 40 to 70 countries by 2026, prioritizing Southeast Asia, South Asia, and emerging African markets.
• Financial inclusion: Increase SME and underbanked customer base by 5 million users by 2025 via low-cost remittance and embedded finance products.

Core Values Driving the Vision

• Innovation - Continuous investment in R&D: R&D spend rose to HKD 420 million in FY2024, representing 8.4% of revenue, fueling real-time settlement, AI-driven risk scoring, and API platform improvements.
• Customer-Centricity - Measurable satisfaction outcomes: Achieved a 92% customer satisfaction rating in 2024, up from 88% in 2023, with net promoter score (NPS) improving from 36 to 48 over the same period.
• Integrity - Strong governance and compliance: Secured ISO 37001 certification for anti-bribery management systems in 2024; zero material compliance breaches reported in FY2024.
• Collaboration - Talent and ecosystem partnerships: Partnered with over 50 universities and schools in 2023 to develop fintech curricula and internship pipelines, supporting a talent pool that grew headcount by 18% in 2024.
• Responsibility - Environmental and social impact: Committed to reducing carbon emissions by 30% by 2025 (baseline FY2022); community outreach programs reached over 20,000 beneficiaries through financial literacy and tech education initiatives in 2024.

Key Performance Indicators Aligned to Core Values

Operational Priorities Anchored to Values

• Product roadmap: Prioritize API-first architecture, instant settlement capability, and expansion of embedded finance partnerships to reduce merchant onboarding time by 40%.
• Compliance and risk: Strengthen AML/KYC automation-targeting 99.5% real-time screening accuracy-and maintain ISO 37001 and other relevant certifications.
• Talent and culture: Scale technical training programs via university partnerships to double certified fintech professionals within the organization by 2026.
• Sustainability: Execute energy-efficiency retrofits across data centers, adopt 60% renewable electricity procurement by 2025, and publish annual carbon accounting verified by third parties.