Its probably something to do with their revenue growth. While they have razor thin margins, its very easy to increase them once there's some kind of brand established.

There's probably that bit of 'unknown' in there too, being that the company may be able to penetrate the Chinese market in creating a desirable product very well. The unknown being the Chinese market could be significantly larger than western markets in terms of how a single company could scale its sales in the single geographic location in such a way that history may not have seen before.