Core Viewpoint - Changfei Fiber Optics (601869) experienced a nearly 4% decline in stock price, closing at HKD 33.62 with a trading volume of HKD 104 million, following the release of its financial results [1] Financial Performance - In Q3, Changfei Fiber Optics reported revenue of RMB 3.891 billion, representing a year-on-year increase of 16.27% and a quarter-on-quarter increase of 11.46% [1] - The net profit attributable to shareholders for Q3 was RMB 174 million, showing a year-on-year decline of 10.89% but a quarter-on-quarter increase of 20.75% [1] - For the first three quarters, the total revenue reached RMB 10.275 billion, up 18.18% year-on-year, while the net profit attributable to shareholders was RMB 470 million, down 18.02% year-on-year [1] Market Sentiment and Future Outlook - UBS recently published a report indicating that current market sentiment reflects the growth potential of Changfei's high-margin data communication business and initial optimism regarding hollow fiber optics, suggesting moderate future upside [1] - The report highlights that hollow fiber optics have long-term development potential, with expectations for technology maturation and significant revenue contributions over the next 2-3 years, although the short-term impact on profitability remains limited [1]

Core Viewpoint - Changfei Fiber Optics experienced a nearly 4% decline in stock price following the release of its earnings report, indicating market concerns despite revenue growth in the third quarter [1] Financial Performance - In Q3, Changfei Fiber Optics reported revenue of 3.891 billion RMB, representing a year-on-year increase of 16.27% and a quarter-on-quarter increase of 11.46% [1] - The net profit attributable to shareholders for Q3 was 174 million RMB, showing a year-on-year decline of 10.89% but a quarter-on-quarter increase of 20.75% [1] - For the first three quarters, total revenue reached 10.275 billion RMB, up 18.18% year-on-year, while net profit attributable to shareholders was 470 million RMB, down 18.02% year-on-year [1] Market Sentiment and Future Outlook - UBS's recent report suggests that current market sentiment reflects optimism regarding the growth potential of Changfei's high-margin data communication business and initial positive expectations for hollow fiber technology [1] - The report indicates that while there is moderate upside potential in the near term, the hollow fiber technology is expected to mature over the next 2-3 years, contributing significantly to revenue as a strategic growth lever for the company [1]