Summary of Conference Call Notes Industry and Company Overview - The conference call discusses the Hong Kong stock market, particularly focusing on the AI computing sector and companies like 鸿腾精密 (Hontai Precision) and 汇聚科技 (HuiJu Technology) [1][3][5]. Key Points and Arguments Hong Kong Stock Market Outlook - The Hong Kong stock market is expected to perform well due to interest rate cuts, improved US-China relations, and favorable liquidity conditions [3][19]. - A significant number of quality IPOs are anticipated before the end of the year, attracting long-term foreign capital [3]. AI Computing Sector - The AI computing sector is highlighted as a key driver of the bull market, with high earnings visibility and optimistic earnings reports from US tech giants [1][3]. - Companies in the AI sector, such as 中芯华虹 (SMIC), ASMPT, and 英诺赛科 (InnoLight), are noted for their strong positions in chip manufacturing and equipment production [1][5]. 鸿腾精密 (Hontai Precision) - Hontai Precision is identified as a strategic asset within the NVIDIA supply chain, with a low valuation and significant upside potential [1][6]. - By 2026, AI business is expected to contribute 30% of revenue and 60% of profits, potentially leading to a net profit of $200 million and a market cap of approximately HKD 577-600 billion, indicating a 30% upside [1][2][6]. - The company’s traditional business is projected to contribute 70% of revenue and 40% of profits, with AI-related revenue expected to reach $360 million by 2026 [6][9]. 汇聚科技 (HuiJu Technology) - HuiJu Technology is a core supplier of optical module components, with strong growth potential in the AI computing context [1][4][11]. - Revenue projections for 2025-2027 are estimated at HKD 10.7 billion, HKD 29 billion, and HKD 32.8 billion, respectively, with net profits of HKD 700 million, HKD 1.3 billion, and HKD 1.8 billion [4][16]. - The company is expected to achieve commercial production of SNMT by the second half of 2026, with no production bottlenecks reported [12]. Market Dynamics and Comparisons - The AI sector is expected to dominate the market, with companies like 中芯国际 (SMIC) and 华虹半导体 (Hua Hong Semiconductor) being key players [19][20]. - The insurance and brokerage sectors are also highlighted, with expectations of strong performance in Q3 and Q4 due to favorable market conditions [21]. Other Important Insights - The acquisition of 德晋昌 (Dejinchang) by HuiJu Technology is seen as strategically significant for expanding into Southeast Asia, although its financial impact may be limited [15]. - The overall sentiment towards the Hong Kong market remains positive, with expectations of a strong recovery and growth in AI-related sectors [19][21]. - The potential for significant upside in valuations for both Hontai Precision and HuiJu Technology is emphasized, with long-term growth prospects being particularly strong [17][18].

Core Viewpoint - The company is positioned for significant growth driven by the increasing demand for AI computing power and the expansion of its MPO product offerings, supported by strategic acquisitions and automation enhancements in production processes [1][2][3][4]. Group 1: AI Computing and MPO Demand - The surge in AI computing power is driving high demand for MPO products, with a trend towards higher core counts and density in product offerings [1]. - The company’s fiber optic products primarily consist of MPO and LC types, with MPO fiber jumpers available in various core counts, and ongoing collaboration with clients to develop high-end specialty fiber products [1]. Group 2: Global Capacity and Production Expansion - The company has a robust global capacity reserve with production bases in key regions including the Yangtze River Delta, Pearl River Delta, and overseas locations in Vietnam and Mexico, bolstered by the acquisition of Leoni Kable [2]. - The company is expanding its production lines in the Huizhou factory to cater to major clients and is enhancing global supply capabilities through production expansions in Mexico and Europe [2]. Group 3: Technological Advancements and Automation - The company leads in MPO manufacturing technology, achieving high precision and yield in core production processes, which has garnered strong customer recognition [2]. - Significant investments in automation, supported by the Lixun Robotics team, have led to the development of various automated fiber optic equipment, which is expected to improve production efficiency and profit margins [2]. Group 4: Strategic Acquisitions and Business Growth - The acquisition of Leoni's cable solutions business is progressing well, with expectations of improved profitability and operational efficiency in the coming years [3]. - The company has signed an acquisition agreement for Dejinchang, which focuses on copper wire products, enhancing supply security and vertical integration [3]. - The server business is anticipated to maintain high growth due to the booming AI server market [3]. Group 5: Investment Rating and Financial Projections - The company maintains a "strong buy" investment rating, benefiting from its strategic positioning in the MPO optical communication and AI server sectors, with expectations of high-quality growth [4]. - Revenue projections for 2025, 2026, and 2027 are set at HKD 10.2 billion, HKD 12.9 billion, and HKD 16.6 billion, respectively, with net profits of HKD 710 million, HKD 1.21 billion, and HKD 1.7 billion, reflecting a positive outlook on profitability [4].

Core Viewpoint - The company Huiju Technology (01729) announced the issuance of new shares or the transfer of treasury shares as part of a share incentive plan, involving the issuance of 80,000 new shares on October 28, 2025 [1] Group 1 - The share incentive plan is aimed at participants excluding the company's directors [1] - The issuance involves a total of 80,000 new shares [1]

FF305 翌日披露報表 (股份發行人 ── 已發行股份或庫存股份變動、股份購回及/或在場内出售庫存股份) 表格類別： 股票 狀態： 新提交 公司名稱： 匯聚科技有限公司 呈交日期： 2025年10月28日 如上市發行人的已發行股份或庫存股份出現變動而須根據《香港聯合交易所有限公司（「香港聯交所」）證券上市規則》(「《主板上市規則》」)第13.25A條 / 《香港聯合交易所有限公司GEM證券 上市規則》(「《GEM上市規則》」)第17.27A條作出披露，必須填妥第一章節 。 | 第一章節 | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 1. 股份分類 | 普通股 | 股份類別 | 不適用 | | 於香港聯交所上市 | 是 | | | | 證券代號 (如上市) | 01729 | 說明 | | | | | | | | A. 已發行股份或庫存股份變動 | | | | | | | | | | | | | 已發行股份（不包括庫存股份）變動 | | 庫存股份變動 | | | | | 事件 | | | 已發行股份（不包 ...

Core Viewpoint - The company Huiju Technology (01729) announced the issuance of 235,000 shares under its share scheme on October 27, 2025 [1] Group 1 - The share issuance is part of the company's ongoing strategy to manage its equity structure [1]

Group 1 - The company, 汇聚科技 (01729), announced the issuance of 235,000 shares under its share scheme on October 27, 2025 [1]

Core Points - The company, 汇聚科技 (01729.HK), announced the issuance of 235,000 shares under its share scheme on October 27, 2025, at an issue price of HKD 1.506 per share [1] Summary by Category Company Announcement - 汇聚科技 will issue 235,000 shares as part of its share scheme [1] - The issue price for the shares is set at HKD 1.506 each [1] - The announcement is dated October 27, 2025 [1]

FF305 翌日披露報表 (股份發行人 ── 已發行股份或庫存股份變動、股份購回及/或在場内出售庫存股份) 表格類別： 股票 狀態： 新提交 公司名稱： 匯聚科技有限公司 呈交日期： 2025年10月27日 如上市發行人的已發行股份或庫存股份出現變動而須根據《香港聯合交易所有限公司（「香港聯交所」）證券上市規則》(「《主板上市規則》」)第13.25A條 / 《香港聯合交易所有限公司GEM證券 上市規則》(「《GEM上市規則》」)第17.27A條作出披露，必須填妥第一章節 。 | 第一章節 | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 1. 股份分類 | 普通股 | 股份類別 | 不適用 | | 於香港聯交所上市 | | 是 | | | 證券代號 (如上市) | 01729 | 說明 | | | | | | | | A. 已發行股份或庫存股份變動 | | | | | | | | | | | | | 已發行股份（不包括庫存股份）變動 | | 庫存股份變動 | | | | | 事件 | | 已發行股份（不包括庫 ...

Investment Rating - The report maintains a "Strong Buy" investment rating for the company, indicating a strong expectation for stock price appreciation exceeding the benchmark index by over 20% [2][3]. Core Insights - The demand for MPO (Multi-fiber Push On) products is experiencing high growth driven by AI computing infrastructure, with a trend towards higher fiber counts and density in products. The company is actively developing products with fiber counts exceeding 1000 cores for high-end applications [1]. - The company is positioned well within the Lixun system, with significant growth potential in data communication, AI servers, and automotive cable sectors, particularly following the successful acquisition of Leoni cable business [2]. - The company has a robust global production capacity, with facilities in key regions including the Yangtze River Delta, Pearl River Delta, and overseas locations in Vietnam and Mexico, supporting future expansion and customer acquisition [7]. Financial Summary - The company forecasts total revenue of HKD 10.172 billion, HKD 12.937 billion, and HKD 16.604 billion for the years 2025, 2026, and 2027 respectively, with corresponding net profits of HKD 714 million, HKD 1.208 billion, and HKD 1.701 billion [8][20]. - The report projects a significant increase in profitability, with net profit growth rates of 58%, 69%, and 41% for the years 2025, 2026, and 2027 respectively [21]. - The company’s PE ratios are expected to decrease from 43.3 in 2025 to 18.2 by 2027, indicating improving valuation metrics as earnings grow [21].

Core Viewpoint - The stock of Huiju Technology (01729.HK) has seen a significant increase, rising over 12% and currently trading at 17.68 HKD with a trading volume of 629 million HKD [1] Summary by Category - **Stock Performance** - Huiju Technology's stock price increased by 11.62% to reach 17.68 HKD [1] - The trading volume for the stock was reported at 629 million HKD [1]