The third-quarter earnings season is finally stirring the market.
On the morning of October 28, Hong Kong's pharmaceutical sector staged a strong rebound, with several companies that had just released their quarterly results seeing share prices climb. HENGRUI PHARMA (01276) surged more than 12% after reporting earnings, while Jiangsu Hengrui Pharmaceuticals Co.,Ltd. (600276) rebounded over 2%.
The HUABAO HANG SENG HONG KONG STOCK CONNECT INNOVATIVE DRUG SELECTION TRADING OPEN ENDED INDEX SECURITIES INVES (520880), which allocates 100% to innovative drug companies, and the Huabao Hong Kong Stock Connect Healthcare ETF (159137), which has over half its holdings in CXO names, both recovered, with their underlying indices rising as much as 2% during intraday trading.
On the evening of October 27, HENGRUI PHARMA disclosed that its revenue for the first three quarters of 2026 reached RMB 24.409 billion, up 5.26% year-on-year, while net profit attributable to shareholders of the listed company came in at RMB 6.923 billion, up 20.38% year-on-year. For the third quarter alone, revenue was RMB 8.953 billion, up 20.55% year-on-year, and net profit attributable to shareholders of the listed company was RMB 2.458 billion, up 88.92% year-on-year.
Notably, sales revenue from innovative drugs for the first three quarters reached RMB 13.871 billion, up 17.05% year-on-year, accounting for 64.59% of total pharmaceutical sales revenue, a share that continues to climb.
On October 26, Jiangsu Hengrui Pharmaceuticals Co.,Ltd. (600276) also released its third-quarter results: revenue for the first three quarters totaled RMB 45.537 billion, already exceeding the full-year total of last year and representing a 38.59% year-on-year increase. Net profit attributable to the parent company was RMB 19.398 billion, up 60.64% year-on-year. For the third quarter alone, revenue reached RMB 16.640 billion and net profit attributable to the parent company was RMB 8.318 billion, up 136.67% year-on-year. All four key metrics set new record highs for the same period in history.
To capture the Hong Kong pharmaceutical sector's third-quarter earnings momentum, investors can use two T+0 trading tools:
HUABAO HANG SENG HONG KONG STOCK CONNECT INNOVATIVE DRUG SELECTION TRADING OPEN ENDED INDEX SECURITIES INVES (520880): The underlying index allocates 100% to innovative drug research and development companies, with nearly 70% of positions concentrated in leading innovative drug R&D companies. Off-exchange feeder fund: 025221.
Huabao Hong Kong Stock Connect Healthcare ETF (159137): The underlying index is heavily weighted in the innovative drug industry chain, with Hong Kong-listed CXO companies accounting for 52.8%, of which the "WuXi family" represents 41.5%. Off-exchange feeder fund: 026922.
Data sources: Shanghai-Hong Kong-Shenzhen exchanges, China Securities Index Co., Hang Seng Indexes Company, and other publicly available information. Weight data as of September 30, 2026. CXO weight refers to the combined weight of CXO companies covered by the Hong Kong Stock Connect Healthcare Theme Index, which stood at 52.8% as of September 30, 2026. Fund fee note: ETFs do not charge sales service fees. When investors subscribe or redeem fund shares, the subscription and redemption agent broker may charge a commission of no more than 0.5%, which includes fees charged by stock exchanges and registration institutions. Please refer to each fund's legal documents for detailed fee information. Special reminder: The fund manager has assessed the risk level of the Huabao Hong Kong Stock Connect Healthcare ETF and its feeder fund, as well as the Huabao Hong Kong Stock Connect Innovative Drug ETF and its feeder fund, as R4-medium-high risk, suitable for investors with an aggressive (C4) rating or above. Risk disclosure: Index constituent stocks mentioned in this article are for illustrative purposes only. Individual stock descriptions do not constitute investment advice of any kind and do not represent the holdings or trading activities of any fund under the manager. All information appearing in this article, including but not limited to individual stocks, comments, forecasts, charts, indicators, theories, and any form of expression, is for reference only. Investors are responsible for their own investment decisions. Opinions, analyses, and forecasts in this article do not constitute investment advice of any kind to readers and shall not be held liable for any direct or indirect losses arising from the use of this content. The performance of other funds managed by the fund manager does not guarantee the performance of this fund. Past performance of a fund does not represent its future performance. Fund investment carries risks. MACD golden cross signals have formed, and these stocks are performing well.
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