Group 1 - President Xi Jinping announced China's new round of Nationally Determined Contributions at the UN Climate Change Summit, aiming for a 7%-10% reduction in greenhouse gas emissions by 2035, with non-fossil energy consumption exceeding 30% of total energy consumption [3] - The total installed capacity of wind and solar power is targeted to reach over 360 million kilowatts, six times that of 2020, and forest stock is expected to exceed 24 billion cubic meters [3] - The national carbon emissions trading market will cover major high-emission industries, and a climate-adaptive society is to be fundamentally established [3] Group 2 - Premier Li Qiang emphasized China's commitment to maintaining an open trade and investment market during a meeting with the President of the European Commission, urging fair competition and adherence to WTO rules [5] - The Chinese government will not seek new special and differential treatment in current and future WTO negotiations, reinforcing its role as a responsible developing country [5] - The People's Bank of China announced a 600 billion yuan MLF operation on September 25, marking a net injection of 300 billion yuan for the month, continuing a trend of high liquidity [5][6] Group 3 - Alibaba announced a collaboration with NVIDIA on Physical AI, with plans to invest 380 billion yuan in AI infrastructure and the launch of seven large model products, including Qwen3-Max, the largest and most capable model to date [4] - The Chinese Ministry of Commerce introduced 14 measures to promote digital consumption, including trials for smart connected vehicles and drone delivery services [6] Group 4 - The A-share market saw significant gains, with the Shanghai Composite Index rising 0.83% to 3853.64 points, and the ChiNext Index increasing by 2.28% [8] - The Hong Kong Hang Seng Index rose 1.37%, with notable gains in tech stocks like Alibaba and SMIC, while medical stocks faced declines [8] - Chery Automobile announced its H-share final offering price at 30.75 HKD per share, set to officially list on September 25 [8] Group 5 - The State Administration for Market Regulation is seeking public opinion on new standards for food delivery platforms, addressing issues like competition and delivery personnel rights [11] - The National Press and Publication Administration approved 145 domestic games and 11 imported games in September, indicating a positive trend in the gaming industry [12] Group 6 - The global crude steel production in August was 145.3 million tons, a year-on-year increase of 0.3%, while the cumulative production from January to August saw a decline of 1.7% [23] - The UK government faced challenges in issuing new bonds, with the latest five-year bond auction seeing the lowest oversubscription rate in nearly two years [20]

| 代码 | 名称 | 涨跌幅 √ | | --- | --- | --- | | VNET | 世纪互联 | 9.79% | | GDS | 万国数据 | 9.38% | | BABA | 阿里巴巴 | 8.47% | | DQ | 大全新能源 | 7.29% | | ELPW | Elong Power | 6.51% | | NIU | 小牛电动 | 6.71% | | SY | 新氧 | 6.45% | | JD | 京东 | 5.45% | | KC | 金山云 | 5.17% | | ZH | 知乎 | 5.18% | | ાKટ | 晶科能源 | 4.61% | | ATAT | 亚朵 | 4.41% | | VIOT | 云米科技 | 4.08% | | WB | 微博 | 4.05% | 格隆汇9月24日｜美股市场中概股集体走强，纳斯达克中国金龙指数涨近3%。其中，世纪互联、万国数 据涨超9%，阿里巴巴涨超8%，大全新能源涨超7%，Elong Power、小牛电动、新氧涨超6%，京东、金 山云、知乎涨超5%，晶科能源、亚朵、云米科技、微博涨超4%。 ...

Group 1 - The three major US stock indices collectively rose, with the Dow Jones up 0.14%, the Nasdaq up 0.7%, and the S&P 500 up 0.44% [1] - Major technology stocks saw significant gains, with Oracle rising over 6%, Apple increasing over 4%, and Nvidia climbing nearly 4% [1] - Popular Chinese concept stocks mostly declined, with NIO down over 6%, JD.com down over 3%, and Miniso down over 2% [1] Group 2 - Century Internet rose over 4%, and iQIYI increased over 3% [1] - Amazon and Meta both fell by more than 1% [1] - Li Auto and Bilibili also experienced declines of over 1% [1]

Group 1 - The Nasdaq China Golden Dragon Index fell by 0.96% on September 23 [1] - Most popular Chinese concept stocks experienced declines, with NIO dropping over 6%, JD.com down over 3%, and Miniso down over 2% [1] - Ideal Automotive and Bilibili both saw declines of over 1% [1] Group 2 - Century Internet rose by over 4%, and iQIYI increased by over 3% [1]

Core Viewpoint - Recently, the stock price of Shandong High Holdings (0412.HK) experienced significant volatility, prompting market attention. In response, the company announced a buyback of 3.7 million shares, representing approximately 0.06% of its total issued shares, to convey confidence in its stable development [1] Group 1: Company Overview - Shandong High Holdings is a key overseas investment and industrial holding platform for its controlling shareholder, Shandong High Group, which is a major state-owned enterprise in Shandong Province with a registered capital of 92.2 billion yuan and total assets exceeding 1.7 trillion yuan [2] - The company plays a crucial role in the group's "going global" strategy, linking global capital and integrating overseas industrial resources, while also being a core vehicle for the group's new energy business [2] Group 2: Business Performance - The company has established a highly integrated industrial pattern combining new energy and data centers, with core assets performing well. Shandong High New Energy (1250.HK) is the largest new energy power generation enterprise controlled by Shandong Province, with an installed capacity of nearly 5 GW and an annual power generation exceeding 6.5 billion kWh, resulting in a carbon reduction of over 5 million tons annually [2] - Century Internet (VNET), a strategic investment, is a leading third-party data center service provider in China, operating over 50 data centers and more than 90,000 cabinets, becoming a key player in the digital economy [2] Group 3: Financial Performance - As of June 30, 2025, Shandong High Holdings reported total assets of 67.5 billion yuan and a net profit of 476 million yuan, an increase of 398 million yuan year-on-year. Shandong High New Energy had total assets of 49.5 billion yuan and a net profit of 393 million yuan, up by 24 million yuan year-on-year [3] - Century Internet reported total assets of 39.7 billion yuan, with an adjusted EBITDA of 732 million yuan in the second quarter, reflecting a year-on-year increase of 158 million yuan. The core indicators of revenue and profit for all three main entities remain stable and positive [3] Group 4: Future Outlook - The company maintains a positive long-term value outlook, focusing on new energy and data center industries, which align with national strategic emerging industries and the "dual carbon" goals. The global energy transition and the booming digital economy present significant growth opportunities [3] - Shandong High Holdings aims to leverage the advantages of its controlling shareholder's brand, resource synergy, and policy support to achieve stable operations and healthy development, while adhering to the principles of "responsibility, innovation, and excellence" [3]

Domestic Market Overview - The domestic market experienced a contraction with a continued pullback, as the Shanghai Composite Index closed at 3820.09 points, down 0.3%, and the Shenzhen Component Index closed at 13070.86 points, down 0.04% [1][5][9] - Among the 30 CITIC first-level industries, 14 saw an increase, with consumer services, coal, and non-ferrous metals leading the gains, while comprehensive finance, automotive, and pharmaceuticals faced significant declines [1][5][9] - The total trading volume for the entire A-share market was 23,494 billion, showing a decrease compared to the previous day [1][5][9] Overseas Market Overview - The three major U.S. stock indices all closed at new highs, with the Dow Jones Industrial Average rising by 0.37%, the S&P 500 increasing by 0.49%, and the Nasdaq gaining 0.72% [2][5] - Notable stock performances included Amgen and Apple, both rising over 3%, leading the Dow [2][5] - The Wande American Technology Seven Giants Index rose by 1.22%, with Tesla increasing by over 2% and Microsoft nearly 2% [2][5] News Highlights - A phone call took place between President Xi Jinping and U.S. President Trump, discussing the current state of U.S.-China relations and strategic guidance for future development [10][12][13] - The 11th batch of national organized drug procurement documents was released, with 46,359 medical institutions participating in the reporting process [14][15][16] - The 2025 World Manufacturing Conference opened in Hefei, emphasizing cooperation in key areas such as manufacturing and technology [19][20]

Summary of Key Takeaways from the Conference Call on China's Software and Data Center Industry Industry Overview - The conference focused on the software and data center industry in China, highlighting the significant role of AI as a growth driver for the sector [1][2]. Core Insights 1. **AI as a Growth Driver**: AI is identified as the key growth driver for software companies, with notable progress in AI monetization and increasing AI-related contract values [1][2]. 2. **Operational Efficiency**: Deployment of AI agents and coding is enhancing operational efficiency for software companies [1]. 3. **Subscription Revenue**: Companies with a higher share of subscription revenue, such as Kingdee and Meitu, are showing better growth visibility [1][2]. 4. **Data Center Demand**: There is strong demand for data centers driven by AI, with positive developments in domestic AI chip production to support order visibility [1]. 5. **Public Cloud Growth**: The AI-driven public cloud business is experiencing strong growth momentum [1]. Financial Performance 1. **2Q25 Results**: Software companies reported mostly in-line results for 2Q25, with 1 beat, 12 in-line, and 3 misses. Companies with solid downstream demand and higher recurring revenue performed better [3]. 2. **Data Center Performance**: Companies like VNET, GDS, and Kingsoft Cloud exceeded expectations due to strong AI demand [3]. Market Data 1. **Revenue Growth**: The revenue of China's software and IT services industry grew by 12.3% YoY to Rmb8.32 trillion in the first seven months of 2025, with net profit increasing by 12.4% YoY to Rmb1.09 trillion [4]. 2. **Sector Performance**: In July 2025, the sector's revenue growth accelerated to 14.6% YoY, and net profit growth reached 13.9% YoY [4]. Investment Recommendations 1. **Top Picks**: The preferred companies in the software sector include Kingdee and Meitu for their solid growth and improving profitability. In the data center/public cloud space, VNET, GDS, and Kingsoft Cloud are favored for their strong growth driven by AI [2][9]. 2. **Price Objective Changes**: Price objectives for several companies were revised, reflecting changes in market conditions and company performance [7][11]. Employee Trends - The total number of employees in software companies under coverage declined by an average of 5% in 1H25 compared to FY24, indicating potential cost-cutting measures [13]. Margin Trends - There is an observed improvement in profitability across software and data center companies, with gross profit margins (GPM) and net profit margins (NPM) showing positive trends [14]. Conclusion The conference highlighted the robust growth potential of the software and data center industry in China, driven primarily by AI advancements. Companies with strong subscription models and operational efficiencies are positioned favorably for future growth. The overall financial performance indicates a healthy demand environment, although some segments, particularly cybersecurity, are facing challenges.

Core Insights - AI is driving the demand for data centers into a "long-term essential" phase, while short-term uncertainties in chip supply may hinder market growth [1][2] - The competition in the data center industry has shifted, with rapid delivery and green energy becoming critical factors for securing orders [10][11] Data Center Demand and Supply - Data centers are considered the "digital infrastructure" of the AI era, supporting high-power servers and massive computing needs for applications like large model training and industrial internet [2] - The power density of AI servers has increased significantly, with single rack power density rising from 4-6 kW to over 20 kW, leading to a substantial increase in electricity demand [2] - Short-term supply issues with advanced AI chips, such as Nvidia's H20, may slow down new order placements, but domestic chip manufacturers are rapidly advancing to fill the gap [2] Competitive Landscape - The ability to quickly deliver capacity is becoming a "pass" for securing orders, as clients are increasingly demanding timely responses amid supply chain uncertainties [10] - Reliable and low-cost renewable energy sources are becoming a key competitive advantage for third-party data center operators in China, aligning with carbon neutrality goals and controlling operational costs [11] Technological Advancements - Liquid cooling technology is becoming standard in AI data centers due to the high heat generated by high-power density servers, with three main cooling solutions being adopted [11][12] Investment Opportunities - Preferred investment targets in the domestic data center sector include Century Internet (VNET) and GDS Holdings (GDS), due to their advantages in capacity delivery and energy acquisition [11] - The long-term value of data centers is just beginning to emerge, as they are essential for AI innovations to move beyond conceptual stages [11]

Investment Rating - The report maintains an "Overweight" rating for the communication industry [5]. Core Insights - The communication industry experienced steady revenue growth and accelerated profitability in H1 2025, with total revenue reaching 1,785 billion yuan, a year-on-year increase of 10.07%, and net profit attributable to shareholders at 160.43 billion yuan, up 11.26% year-on-year [2][8]. - In Q2 2025, the industry continued to show robust growth, with revenue of 942.48 billion yuan, reflecting a year-on-year increase of 10.91%, and net profit attributable to shareholders of 98.68 billion yuan, up 12.33% year-on-year [11]. - Key sectors such as optical modules, communication PCBs, network equipment manufacturers, and IoT modules demonstrated strong performance, ranking among the top five in revenue and net profit growth rates [14][16]. Summary by Sections 1. H1 2025 Performance Overview - The communication industry achieved total revenue of 1,785 billion yuan in H1 2025, with a year-on-year growth of 10.07%, and net profit attributable to shareholders of 160.43 billion yuan, up 11.26% year-on-year [2][8]. 2. AI Industry Chain Investment - Overseas cloud vendors are expected to maintain optimistic growth in capital expenditures, with a total of 95 billion USD in Q2 2025, marking an increase of 82.96% year-on-year [22]. - Major companies like Apple and Meta are significantly increasing their investments in AI infrastructure, indicating a robust outlook for the AI industry chain [22][24]. 3. Sector Performance Changes - The optical module and device sector reported revenue of 479.88 billion yuan in H1 2025, with a year-on-year increase of 64.88%, and net profit of 108.76 billion yuan, up 111.99% year-on-year [31]. - The communication PCB sector achieved revenue of 572.49 billion yuan in H1 2025, reflecting a year-on-year growth of 37.66%, and net profit of 80.58 billion yuan, up 80.79% year-on-year [36]. - The network equipment sector generated revenue of 5,071.11 billion yuan in H1 2025, with a year-on-year increase of 28.86%, and net profit of 191.84 billion yuan, up 19.57% year-on-year [40]. 4. Telecom Operators' Performance - The basic telecom operators' sector reported revenue of 10,133.93 billion yuan in H1 2025, a slight increase of 0.33% year-on-year, with net profit of 1,136.01 billion yuan, up 5.14% year-on-year [54]. - China Mobile's total connections reached 3.815 billion, with a net increase of 145 million, and its digital transformation revenue grew by 6.6% year-on-year [55].

Group 1 - Kingsoft Cloud (KC.US) saw a pre-market increase of over 7%, reaching $17.2, while GDS Holdings (GDS.US) and Century Internet (VNET.US) both rose over 2% in pre-market trading [1] - Bank of America Securities reported that during a recent investor event, discussions with management from various software companies, data centers, and cloud computing firms revealed steady progress in AI monetization, with the value of AI-related contracts continuing to rise [1] - The report highlighted that AI agents and AI coding deployment are enhancing operational efficiency for software companies [1] Group 2 - In the data center and public cloud sectors, Bank of America is optimistic about GDS Holdings, Century Internet, and Kingsoft Cloud, citing strong AI demand driving performance above expectations, with all receiving a "buy" rating [1] - Goldman Sachs also indicated a preference for the gaming, transportation, cloud computing, and data center sub-sectors within the Chinese internet sector, particularly favoring Century Internet and GDS Holdings in the cloud computing and data center space [1]