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Soft International seeks to soak up IPO funds using diapers sent to Russia, with love

The disposable diaper maker exports a majority of its products, selling more to Russia than it does in its home China market

This article only represents the author's own views.

An IPO listing document filed last week by Fujian-based Soft International Group Ltd. may be a first of its kind: a company that’s found a way to mix mention of international sanctions in connection with diapers, its core product line.

The maker of disposable diapers, as well as women’s hygiene and adult incontinence products, has been on a growth spurt lately, with its revenue and gross profit up by annual averages of 58% and 86%, respectively, between 2021 and 2023. The actual numbers aren’t exactly sky-high, with revenue last year reaching 655 million yuan ($97.1 million) and gross profit at 197 million yuan. But the growth rates could be impressive enough to wow investors, and so could its 58.9 million yuan profit last year, which was five times the figure in 2021.

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