Shares of CCTC Surge Over 7% Intraday on Strong First-Half Profit Forecast

Deep News07-23 11:40

CCTC (06951) shares experienced an intraday surge exceeding 7%. At the time of writing, the stock was up 3.78% to HK$101.70, with a turnover of HK$54.65 million.

Market intelligence suggests a tight supply-demand balance for MLCCs, with major manufacturers operating at full capacity and no signs of price reductions. Upstream material suppliers, often seen as the "shovel sellers" in this context, report robust order books. One company indicated that clients have already secured expansion lines representing four times its current capacity, ensuring strong sales visibility for the coming years. Notably, industry players including Murata, Taiyo Yuden, and Yageo have reportedly raised prices for certain MLCC products, with Samsung Electro-Mechanics considering another price increase.

CCTC recently issued an announcement forecasting a net profit between RMB 1.794 billion and RMB 2.041 billion for the first half of 2026, representing a year-on-year increase of 45% to 65%. The company attributed this performance to increased demand in the electronic components and optical communication sectors, which boosted sales of its core products. Specifically, the company's MLCC business benefited from greater customer recognition and an improving industry climate, with some product specifications seeing prices recover to reasonable levels, leading to significant growth in both sales volume and revenue compared to the same period last year.

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