In 2026, Foshan Higgold set off a huge wave in the hardware industry, selling an inconspicuous hinge for three times the price, and consumers rushed to pay for it. This is not a fantasy, but a real business legend that happened in Higgold.
After the financial report for the first quarter of 2026 was released, peers were all amazed. Research and development expenses soared by 33%, cash flow growth reached 45%, Douyin account increased by 860,000 followers in half a year, and 17 of every 100 online visitors left calls. The hardware industry has truly ushered in an inflection point.
If traditional hardware is compared to “visible screws”, what Higold is doing now is more like “invisible chips”.
The new base located in Shunde High-tech Zone is internally nicknamed the “Super Time and Space Factory”. AGV robots operate 24 hours a day, like hard-working ants, accurately delivering 200 million sets of high-end hardware to the workstation.
The electric guide rails and sensor hinges are online to connect to the Hongmeng ecosystem. Just slide your phone gently, the drawer will automatically open and the lights will turn on.
After the German VDE certification was passed, the unit price of the product instantly increased from 30 yuan to 90 yuan. Although consumers complained that it was “expensive”, they were still willing to pay for it.
The investment in technology is huge, but the technical barriers are even more expensive.
Higgold acquired 1,873 patents in one fell swoop, of which inventions accounted for nearly 30%.
As soon as a competitor imitated a buffer hinge, court summons followed one after another, and the compensation of 3.2 million yuan was like a “don’t mess with me” warning sign.
Once a patent wall is established, latecomers will have no choice but to stay away. If they want to catch up, they will have to find another way.
In overseas markets, Southeast Asia is paying special attention to the development of Higold.
The new R&D center in Ho Chi Minh City, Vietnam, focuses on solving the “humidity and heat problem”. The anti-rust coating developed must be soaked in an environment of 38°C and 90% humidity for 30 days without peeling off the paint.
The KD assembly factory in Malaysia adopts a model similar to Lego assembly. Parts are manufactured in China and assembled locally, which not only avoids tariffs but also saves shipping costs.
Under a series of measures, overseas orders continued to pour in.
In order to stabilize business development, Higgold also invested 120 million yuan to build an industrial products live broadcast base.
Through VR glasses, users can clearly see the three-dimensional disassembly of the hinge with a “click”, and can even zoom in to view the texture of the spring steel grade.
The Douyin account has gained 860,000 fans in half a year, and the online consultation conversion rate has reached 17%, which means that 1 out of 6 people watching the excitement is a real buyer. This kind of efficiency is difficult for traditional salesmen to match.
With the expansion of business, Henggao’s money bag has gradually grown.
Operating cash flow in the first quarter of 2026 will reach 230 million yuan, a year-on-year increase of 45%. The secret lies in the “advance payment + bill discount” model.
Large customers such as Oppein and Sofia pay first and then take delivery of the goods. Higold then discounts the bills, reducing the turnover days of accounts receivable from the industry average of 92 days to 68 days.
Cash flow is like blood. If the flow rate is accelerated, the company can develop more dynamically.
Today, competition in the hardware industry has entered a new stage.
Traditional players sell hardware products, while Higold sells scenes; traditional players engage in price wars, while Higold engages in patent wars; traditional players rely on salespeople to run the market, while Higold relies on algorithms and robots to attract users.
Faced with such a competitive landscape, traditional manufacturers are thinking: when hardware begins to connect to the Internet, patents begin to speak out, and cash flow begins to race, what else can they rely on to stay at the poker table?
Should we continue to fall into the quagmire of price competition, or should we bite the bullet and invest in building laboratories, recruiting algorithm engineers, purchasing robots, and dealing with international lawsuits?
The answer may lie in Higold’s future development, such as what new technological elements they will inject into the “invisible” hinge after the hyperspace factory is put into production in 2028.
