Hong Kong Stock Movement | SANHUA (02050) Surges Over 4% Intraday; Full-Year Net Profit Expected to Grow 25%-50%; Robotics Business Anticipates Breakthrough Progress

SANHUA (02050) saw its shares rise more than 4% during the trading session. As of the time of writing, the stock was up 3.83%, trading at HKD 34.72 with a turnover of HKD 265 million.

Recently, SANHUA released an announcement stating that the group expects its net profit attributable to shareholders of the listed company for 2025 to be approximately RMB 3.874 billion to RMB 4.649 billion, representing a year-on-year increase of 25% to 50%. Net profit after deducting non-recurring gains or losses is expected to be approximately RMB 3.679 billion to RMB 4.615 billion, a year-on-year increase of 18% to 48%.

Qunyi Securities issued a research report indicating that as SANHUA actively expands into new fields and steadily increases its production capacity, the company's performance is expected to maintain a growth rate of 20-30% in the coming years.

The company previously announced plans to invest RMB 300 million to RMB 600 million in a share buyback. By the end of November, the buyback amount had only reached RMB 106 million, and it is anticipated that the company will continue to repurchase shares opportunistically, which is expected to have a positive impact on the stock price.

Qunyi Securities also pointed out that the company is firmly optimistic about the development prospects of robotics. Leveraging its close cooperative relationship with a major client, it has entered the robotics actuator track.

The company established a robotics business division this year and has increased its R&D investment in robotics-related products. According to its Hong Kong stock listing prospectus, the company will allocate 10% of the raised funds (equivalent to RMB 700 million) to its robotics business and plans to recruit 200 additional R&D personnel over the next three years.

The company is currently collaborating with a major client on research, development, and trial production. The market expects that the major client's robotics products will achieve mass production in 2026, and SANHUA's robotics business is poised for a breakthrough.