Zhitong Hong Kong Stock Exchange Seeks Comments | National Standard for Heated Cigarettes Apple (AAPL.US) expects revenue for the fourth fiscal quarter to fall short of expectations and falls by more than 8% after the market

[Today's headlines]

National Standard for Heated Cigarettes Seeks Comments Can Be Expected to Open Domestic Markets for HNB Products

Following the launch of the mandatory national standard for “heated cigarettes” on April 7, 2026, the National Tobacco Administration has organized and completed a draft for comments on the national standard for “heated cigarettes”. The “Draft for Comments” was issued on July 28. The consultation period ends on September 26, 2026, and is scheduled to be officially implemented 6 months after publication.

CITIC Construction Investment believes that the formulation of national standards provides a technical basis for supervision, or may mean that the domestic market for HNB products will continue to be liberalized. The liberalization of the domestic market for HNB products continues to advance. A number of tobacco supporting supply chain companies have taken the lead in laying out relevant links in the industrial chain and are expected to benefit from the market opportunities brought by HNB liberalization. It is recommended to focus on Smore International (HNB cigarette and cigarette holder overall solutions), China Tobacco Hong Kong (responsible for the export of China Tobacco's HNB products), and Huabao International (tobacco flakes, new tobacco materials).

[General outlook]

The optical communications and storage sectors collectively surged, and Kioxia ADR rose nearly 32%

By the close of overnight US stocks, the Dow Jones Industrial Average was up 613.92 points from the previous trading day, or 1.19%; the S&P 500 stock index rose 121.48 points to close at 7437.63 points, or 1.66%; and the Nasdaq Composite Index rose 679.24 points to close at 25122.18 points, or 2.78%.

Most of the big tech stocks rose. Microsoft rose more than 15%, and its market capitalization increased by 450 billion US dollars in a single day. Amazon rose nearly 4%, Tesla rose more than 3%, Nvidia rose more than 2%, optical communications and storage sectors collectively surged, Kioxia ADR rose nearly 32%, and Sandisi rose nearly 26%.

Most popular Chinese securities rose, and the Nasdaq China Golden Dragon Index rose 1.05%. The Hang Seng Index ADR rose. On a proportional basis, it closed at 25982.92 points, up 124.04 points or 0.48% from the Hong Kong closing.

WTI crude oil futures on the New York Mercantile Exchange fell $0.50 for the month, closing at $83.96 a barrel, or 0.59%. COMEX gold futures rose by $65.80 in the same month, or 1.61%, to $4162.8 per ounce.

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The EU plans to invest US$11.4 billion to build 7 artificial intelligence gigafactories

The EU Group of 27 executives said on Thursday that the EU will provide 10 billion euros (11.4 billion US dollars) to fund companies to build 7 giant artificial intelligence factories to close the artificial intelligence gap with the US. The European Commission said it hoped public financing would attract an additional 20 billion euros (22.8 billion US dollars) of private investment. Companies can now bid for contracts to build gigafactories, which plan to be equipped with at least 100,000 cutting-edge artificial intelligence chips, and the performance of data centers currently operating in the European Union is about four times that of data centers currently operating in the European Union.

Apple's US stock fell more than 8% after the market, and the company's fourth-fiscal quarter revenue growth of 9% to 11% fell short of market expectations

Apple expects revenue growth of 9% to 11% for the fourth fiscal quarter, and the market expects a 12.1% increase. The company expects gross margin of between 47% and 48% for the fourth quarter.

HSBC Australia, a subsidiary of HSBC Holdings (00005), plans to sell its Australian housing and personal loan portfolio worth 36 billion Australian dollars to Blackstone

Pepper Money Limited (service provider) will act as the service provider for the portfolio after the sale is completed, and will be responsible for the ongoing administration and management of the loan. The sale is expected to result in a modest loss of less than $100 million for the HSBC Group in the first half of 2027. The remaining portion of HSBC's retail business in Australia will be phased out over the next 18 months.

Jiantao Group (00148)'s net profit is expected to exceed HK$2.7 billion in the medium term and increase by more than 4% year on year

Copper-clad panels and their upstream materials in the market, including electronic glass fiber yarn, electronic glass fiber cloth and copper foil, continue to be in short supply. The unit price of the Group's copper-clad panels and their upstream material products has generally risen markedly, and sales of copper-clad panels have increased significantly compared to the same period in 2025, so the profit of the reporting segment of copper-clad panels has increased dramatically.

Jiantao Laminate (01888) is pleased: net profit is expected to exceed HK$2.8 billion in the medium term, up more than 200% year over year

Net profit increased sharply during the reporting period, mainly due to the continued shortage of copper-clad panels and their upstream materials, including electronic glass fiber yarn, electronic glass fiber cloth and copper foil in the market, the unit price of the Group's copper-clad panels and upstream material products generally rose markedly, and sales of copper-clad panels recorded an increase compared to the same period in 2025.

Changfeng Pharmaceutical (02652) plans to place 21.747,700 new H shares, net raising approximately HK$295 million

Placed shares are equivalent to about 7.23% of the issued H shares and about 5.30% of the total number of issued shares, and about 6.74% of the issued H shares and about 5.03% of the total number of issued shares expanded due to the allocation and issuance of the placed shares.

Cinda International Holdings (00111) announced interim results: net profit of HK$36.316 million increased 119.79% year over year

As a fully licensed securities institution established overseas within China's Cinda system, it is a hub and overseas asset management center for the China Cinda Group ecosystem and connects to international capital markets. It focuses on the Chinese concept and provides cross-border investment banking services with a global reach.

Gizhijia-W (02590): Currently, all autonomous mobile robot models sold in the US have obtained valid FCC certification and are not subject to relevant prohibitions

The company continues to promote the long-term strategy of manufacturing, supply chain, R&D and product testing localization. The board of directors is pleased to announce that the company's new production site in the US will be put into operation in due course. The company will ensure that subsequent new products continue to comply with US regulations, maintain long-term market access and stable business operations, and demonstrate a firm commitment to serve global customers.

Dongyang Pharmaceutical (06887): Toku Insulin Injection obtained marketing approval from the National Drug Administration (NMPA)

With the approval of Tokugu insulin injections for marketing, the group has increased the number of insulin products approved in the Chinese market to 6, creating a full range of insulin product matrices covering the second to fourth generation, covering the three major clinical application scenarios of basic, meal time and premixing.

Sega Xinneng (06656) Fa Yingxi expects profit attributable to shareholders of about 2.35 billion to 2.45 billion yuan in the medium term to increase by about 190% to 210% year-on-year

The Board believes that the increase in performance during the reporting period was mainly due to increased sales driven by continued growth in core market size and increased market share.

Introducing a new investor, Haichang Ocean Park (02255), the two major shareholders transferred a total of 21.75% of their shares

After the transaction was completed, Mr. Qu Cheng's shareholding fell to 19.13%; Sunriver Starrysea's shareholding fell to 25.92% and is no longer the company's controlling shareholder; HH SeaPark Holding and its ultimate beneficial owner, Mr. Mei Zhiming, will hold 21.75% of the company's shares and become the company's main shareholder.

Dipu Technology (01384): Mid-term revenue increased 115% year over year, turning loss into profit in Q2

Dipu Technology (01384) announced its 2026 interim results, achieving revenue of about 284 million yuan, an increase of 115% year on year; gross profit of about 160 million yuan, up 120.5% year on year; net loss narrowed by 89.6% year on year; and adjusted loss narrowed by 48.5% year on year. According to the announcement, revenue growth was mainly due to the upgrade of Fastagi's enterprise-level artificial intelligence solution to the DeepExios AI-level enterprise operating system platform solution. Its revenue increased dramatically, driving up overall revenue.

Xiansheng Pharmaceutical (02096) Fa Yingxi: Expected revenue of 4.55 billion yuan to 4.61 billion yuan in the first half of the year, an increase of about 26.9% to 28.6% over the previous year

The Group is expected to obtain profits attributable to the Company's equity shareholders of approximately RMB 810 million to RMB 860 million in the first half of 2026, an increase of about 34.8% to 43.1% compared with the restated profit attributable to equity shareholders of the Company of approximately RMB 601 million in the first half of 2025. The adjusted profit attributable to the equity shareholders of the Company obtained by the Group in the first half of 2026 is approximately RMB 950 million to RMB 1.0 billion.

Yingpai Pharmaceutical-B (07630) signed an exclusive licensing agreement with PHARMANOVIA for senapali in Europe, the Middle East and North Africa, Australia and New Zealand, and is expected to receive a total transaction consideration of up to 423.5 million euros

This includes down payments, recent registration milestone payments, and commercialization milestone payments that have reached the corresponding sales threshold, and tiered royalties based on up to 20% of the product's net sales (% of the 20 digits). The exclusive partnership marks the Group's first step in bringing its proven treatment solutions to patients outside of China, and expanding Senapali's business footprint to Europe, the Middle East and North Africa, as well as Australia and New Zealand.

Meitu (01357) predicts that adjusted net profit to mother in the medium term may achieve a 36% to 40% year-on-year increase

This strong growth trend is mainly due to the increase in revenue from the Group's main business “Imaging and Design Products”, which is mainly driven by a continued increase in the number of paid subscription users and an increase in average revenue per paying user. Among them, the growth rate of paid subscribers from the international market continues to be higher than that of the mainland China market, confirming the effectiveness of the Group's globalization strategy.

Luoshi Robotics (03752) Yingxi: Revenue in the first half of 2026 exceeded 400 million, an increase of more than 127.4% over the same period

The adjusted net profit during the reporting period was positive, turning a loss into a profit. Luoshi's revenue structure has increased significantly this time, mainly due to the rapid rise in sales of its embedded intelligent robots, which are expected to account for more than 30% of revenue. In addition, the launch of Luoshi's new robot products, growing market demand, increased brand awareness, and continuous expansion of sales channels are also important factors contributing to the growth of Luoshi's performance.

[Individual stock prices are clear]

Yum China (09987) announced second quarter results: operating profit increased 14% year over year to US$348 million

Yum China (09987) announced financial results for the second quarter of 2026. The company's total revenue increased 13% year over year to 3.1 billion US dollars; operating profit increased 14% year over year to US$348 million; net profit increased 14% year over year to US$244 million; and diluted earnings per share increased 21% year over year to 0.70 US dollars.

Ms. Qu Cuirong, CEO of Yum China, said, “We achieved strong results in the second quarter and achieved simultaneous growth in system sales, operating profit and operating profit margin for the ninth consecutive quarter. Despite the changing market environment, our revenue growth in the second quarter continued to outperform the industry. Same-store sales increased to 1% month-on-month, mainly due to an increase in same-store transactions for the 14th consecutive quarter. At the same time, the pace of expansion of the company's own stores and franchisees accelerated compared to the same period last year. KFC achieved strong operating performance, system sales increased 7% year over year, and restaurant profit margins also increased. Pizza Hut's same-store sales have resumed positive growth, and the net number of new stores was nearly double that of the same period last year.”