Breaking through the trillion-yuan market value, what has this currently most popular Chinese listed company done right?
It's not hard to see from reviewing the development history of Zhongji Xuchuang that its business transformation and upgrading through a desperate cross - border merger and acquisition at a critical moment was an important turning point for its restart of high - growth.
Ten - fold increase in a year
The "wealth - creating myth" initiated by computing power optical storage is still playing out wildly, like a scene of prosperity and grandeur.
Recently, the stock price of Zhongji Xuchuang, the leading listed company in the optical module industry, strongly broke through 1,000 yuan, becoming the tenth stock with a price of 1,000 yuan in the history of A - shares and the second such stock on the ChiNext board. Its total market value is close to 1.2 trillion yuan. Since 2026, the cumulative increase in Zhongji Xuchuang's stock price has exceeded 70%.
Zhongji Xuchuang is mainly engaged in the R & D, production, and sales of high - end optical communication transceiver modules. Its main products include 100G, 200G, 400G, 800G, and 1.6T high - speed optical modules, which are widely used in fields such as cloud - computing data centers, data communication, 5G wireless networks, telecom transmission, and fixed - network access. Its core customers include global technology giants such as Google, NVIDIA, Amazon, Microsoft, and Meta, as well as domestic enterprises such as Alibaba, Huawei, ZTE, Tencent, Baidu, and Inspur Information.
Its remarkable performance, like a "money - printing machine", is a fundamental reason for Zhongji Xuchuang to remain in the A - share trillion - yuan club. Annual report data shows that in 2025, Zhongji Xuchuang achieved an operating revenue of 38.24 billion yuan, a year - on - year increase of 60.25%, and a net profit attributable to the parent company of 10.797 billion yuan, a year - on - year increase of 108.78%.
Regarding the significant increase in the company's performance, Zhongji Xuchuang stated in its annual report that benefiting from the strong investment of terminal customers in computing power infrastructure, the company's product shipments have grown rapidly. Among them, the proportion of high - speed optical modules has continued to increase, becoming the core support for revenue and profit. At the same time, with the continuous optimization of product solutions and the continuous improvement of operational efficiency, the company's profitability has steadily climbed, further magnifying the growth dividend.
As the most crucial component of optical communication equipment, the main function of optical modules is to achieve photoelectric conversion, that is, the connector and translator for the mutual conversion between optical signals and electrical signals. If data transmission is compared to "express delivery", then optical modules are the key stations responsible for "express loading and unloading + speed - up". In a sense, the transmission rate of optical modules determines the efficiency of data exchange between GPU clusters, thus affecting the overall performance and scalability of the entire AI computing power system.
According to different transmission rates, optical module products are further divided into series such as 100G/200G/400G/800G/1.6T. Among them, 800G optical modules belong to high - speed optical module products and are also the main products under the current AI computing power demand. 1.6T belongs to ultra - high - speed optical modules and is also the company's most cutting - edge product at present, mainly used in next - generation AI data centers and cloud networks.
From the perspective of revenue composition, almost all of Zhongji Xuchuang's main business comes from optical module products, with a revenue share of up to 98%. Data shows that in 2025, Zhongji Xuchuang's global market share in the 800G optical module market exceeded 40%, ranking first in the world. In the more technically challenging 1.6T field, Zhongji Xuchuang's global market share is expected to be between 50% and 70%. According to research data from securities firms such as CITIC Securities, Zhongji Xuchuang plays a core role in supplying optical modules in NVIDIA's Blackwell AI cluster, accounting for 80% of NVIDIA's 1.6T optical module procurement volume.
Since entering 2026, Zhongji Xuchuang's operating performance has continued to soar. The latest financial report data shows that in the first quarter of 2026, Zhongji Xuchuang achieved an operating revenue of 19.496 billion yuan, a year - on - year increase of 192%; and a net profit of 5.735 billion yuan, a year - on - year increase of 262%. The single - quarter profit has already exceeded half of the full - year profit in 2025.
In fact, as a "shovel seller" in the AI era, Zhongji Xuchuang has been sought after by funds in recent years. If calculated from May 2025, Zhongji Xuchuang's cumulative increase in the past year has exceeded 10 times. If calculated from the low point in February 2023 (16.84 yuan), Zhongji Xuchuang's cumulative increase in three years has exceeded 50 times.
With the continuous soaring of the company's stock price, the net worth of Wang Weixiu's family, the actual controller of Zhongji Xuchuang, has also expanded rapidly. From the perspective of the equity structure, Wang Weixiu and Wang Xiaodong, father and son, jointly control approximately 17.41% of the company's equity through "direct shareholding + indirect control". Calculated in this way, the total wealth of the Wang Weixiu family has reached 200 billion yuan, successfully surpassing the Zhang Shiping family of Weiqiao Group, which has long topped the list, and firmly ranking first among the richest people in Shandong.
Changing fate against all odds
By chance, helping "Liu Sheng", and luckily meeting the benefactor.
The rise of the Wang Weixiu family comes from a cross - border merger and acquisition that changed their fate against all odds.
Public information shows that the predecessor of Zhongji Xuchuang, "Zhongji Equipment", can be traced back to the Zhenhua Electrical Special Equipment Factory in Longkou City, which was founded by Wang Weixiu in Longkou, Shandong, with 230,000 yuan in 1987. In 1988, the Zhenhua Electrical Special Equipment Factory successfully developed China's first mechanized assembly production line for washing machine motors. In 2010, the company was restructured into Shandong Zhongji Electrical Equipment Co., Ltd. In 2012, Zhongji Equipment was successfully listed on the ChiNext board.
It is reported that Zhongji Equipment is mainly engaged in the R & D, production, and sales of equipment for manufacturing motor stator windings, and its products are mainly used in household appliances such as refrigerators and washing machines. In 2011, Zhongji Equipment achieved an operating revenue of 162 million yuan and a net profit of 51.21 million yuan. However, with the fading of the policy dividend of the "Home Appliances to the Countryside" program and the weak demand in the downstream household appliance industry, Zhongji Equipment faced serious growth bottlenecks after its listing, and its net profit declined continuously. By 2015, the operating revenue scale of Zhongji Equipment had dropped to 121 million yuan, and the net profit was less than 6 million yuan, a nearly 90% decline compared to five years ago, and it was on the verge of losses.
When its traditional main business was facing a survival crisis, Wang Weixiu began to travel across the country, actively looking for opportunities for transformation. It is reported that Wang Weixiu conducted in - depth research on multiple emerging industries such as new energy, semiconductors, artificial intelligence, and optical communication, trying to select high - quality merger and acquisition targets. Finally, Wang Weixiu placed his "bet" on the optical module field, and Suzhou Xuchuang, founded by returnee doctor Liu Sheng, came into his vision.
Public information shows that Suzhou Xuchuang was established in 2008. Its founder, Liu Sheng, graduated from Tsinghua University as an undergraduate and holds a doctorate from the Georgia Institute of Technology. He has worked in North American optoelectronic enterprises such as Agere System, Pine Photonics, and Opnext. The founding team masters the core technology of high - end optical modules. As a unicorn enterprise in the global optical module industry, Suzhou Xuchuang's optical module products entered the supply chains of global technology giants such as Google and Amazon early on and once received a large - scale investment (US$38 million) from Google Capital.
In May 2014, Suzhou Xuchuang signed a "Patent License Agreement" with Finisar and obtained a series of patent licenses related to optoelectronic transceiver modules owned by Finisar and its affiliated parties. Later, under the leadership and promotion of Google, Suzhou Xuchuang formally submitted an application to the U.S. Securities and Exchange Commission in 2015, planning to list on the NASDAQ and originally planned to raise US$100 million.
However, affected by the general coldness of Chinese concept stocks in the U.S. capital market and multiple unfavorable factors in the regulatory and market environment, Suzhou Xuchuang's IPO ended in failure. Finally, in order to find new financing to support production line expansion and technology R & D, Liu Sheng, the founder of Suzhou Xuchuang, finally accepted the olive branch extended by Zhongji Equipment, which led to the cross - border merger and acquisition that changed the history of A - shares.
In September 2016, Zhongji Equipment announced that it would acquire 100% of the equity of Suzhou Xuchuang Technology Co., Ltd. for 2.8 billion yuan. In July 2017, Suzhou Xuchuang completed the asset transfer and officially became a wholly - owned subsidiary of Zhongji Equipment. After the merger and acquisition, the company was officially renamed "Zhongji Xuchuang Co., Ltd."
It is worth mentioning that in order to complete this high - risk cross - border gamble, Wang Weixiu almost staked his entire fortune. Data shows that as of the end of 2016, the total asset scale of Zhongji Equipment was only 632 million yuan, far lower than that of the acquired company, Suzhou Xuchuang (with a book total asset of 2.617 billion yuan). Therefore, in order to complete this "snake swallowing an elephant" - style merger and acquisition, Wang Weixiu finally spent 284 million yuan in his personal name to subscribe for the allocated shares and also provided a credit endorsement for this huge cross - border merger and acquisition.
Facts have proved that Wang Weixiu's decision to stake his entire fortune on Suzhou Xuchuang was completely correct. According to the performance commitment at the time of the merger and acquisition, from 2016 to 2018, Suzhou Xuchuang was expected to achieve a net profit of no less than 175 million yuan, 211 million yuan, and 283 million yuan respectively.
But in fact, Suzhou Xuchuang not only fulfilled the performance commitment but also significantly exceeded it. Data shows that from 2016 to 2018, Suzhou Xuchuang's actual non - recurring net profit was 236 million yuan, 589 million yuan, and 663 million yuan respectively. The cumulative non - recurring net profit in three years reached 1.488 billion yuan, more than double the committed total profit.
Leading globally
In 2021, in order to further concentrate superior resources on the development of high - end optical communication transceiver module business, Zhongji Xuchuang sold 100% of the equity of its original equipment business entity to its controlling shareholder, Zhongji Holdings, completing a complete transformation from a "dual - main - business" model to a 100% focus on the optical module business. In 2023, 73 - year - old Wang Weixiu chose to step down as the chairman of the board and was appointed honorary chairman of the company. At the same time, Liu Sheng officially took over as the chairman of Zhongji Xuchuang and also served as the company's president, comprehensively leading the company's various affairs and strategic development.
Since 2023, with the release of generative artificial intelligence large - prediction models represented by ChatGPT, the demand for AI computing power has been greatly spurred, which in turn has driven a significant increase in the demand for communication products including optical modules. Against this background, Zhongji Xuchuang's operating performance has exploded. Data shows that from 2022 to 2025, Zhongji Xuchuang's operating revenue increased from 642 million yuan to 38.24 billion yuan, with a compound growth rate of up to 58.3%. During the same period, the company's net profit increased from 1.224 billion yuan to 10.797 billion yuan, and the net profit quadrupled in four years.
It is not difficult to see that in the past four years, the increase in Zhongji Xuchuang's net profit has far exceeded the increase in the company's operating revenue. The reason behind this lies in the increase in gross profit margin. Data shows that from 2020 to 2025, Zhongji Xuchuang's gross profit margin increased from 25.43% to 42.04%, and the gross profit margin has achieved year - on - year positive growth for five consecutive years. This is also an important reason for the company's stock price to be continuously sought after by funds.
It is worth noting that although the global demand for optical modules is in a period of rapid growth, the market competition is also fierce. Therefore, Zhongji Xuchuang has adopted a R & D system of "mass - producing one generation, researching and developing the next generation, and reserving the following generation" to ensure that the company can always stay at the forefront of optical module technology iteration. To support this high - intensity generational switching R & D system, Zhongji Xuchuang has maintained a large R & D investment.
Data shows that from 2021 to 2025, Zhongji Xuchuang's cumulative R & D investment reached 4.906 billion yuan. Since entering 2026, Zhongji Xuchuang has continued to increase its R & D investment in high - end optical modules such as 800G and 1.6T, as well as cutting - edge technologies such as next - generation silicon photonics and CPO. In the first quarter of 2026, Zhongji Xuchuang's single - quarter R & D expenses reached 645 million yuan, a year - on - year increase of 122.05%.
As early as 2017, Zhongji Xuchuang established a silicon photonics chip R & D team to pre - layout the next - generation technology. In 2018, Zhongji Xuchuang launched the industry's first 400G QSFP - DD FR4 optical module, becoming one of the first global manufacturers to layout this high - end product. In 2020, Zhongji Xuchuang