Major Events - Silver Noble Pharmaceuticals-B (02591) is set to conduct an IPO from August 7 to August 12, with an expected listing date of August 15 [1] - Boan Biotechnology (06955) plans to place 48 million shares at a discount of approximately 8.78%, aiming to raise about HKD 780 million [1] - Derin Holdings (01709) intends to raise HKD 653.3 million, focusing on the development of blockchain, RWA, and virtual asset businesses [1] - Fuhong Hanlin (02696) received FDA approval to initiate a Phase 1 clinical trial for HLX43, a PD-L1 targeted antibody-drug conjugate for thymic cancer treatment [1] - China Biopharmaceuticals (01177) obtained NMPA approval for the Phase II clinical trial application of LM-24C5, a dual-target antibody [1] Financial Reports - China Mobile (00941) reported a mid-year profit attributable to shareholders of HKD 84.235 billion, a year-on-year increase of 5.03% [1] - Manulife Financial-S (00945) announced a core profit of CAD 1.7 billion for the second quarter [1] - Swire Properties (01972) reported a mid-year profit attributable to shareholders of HKD 4.42 billion, a year-on-year growth of 15% [1] - Hutchison Whampoa (00013) disclosed a mid-year net income of USD 455 million, a significant increase of 1663.32% year-on-year [1] - MGM China (02282) reported a mid-year net profit of HKD 2.383 billion, a year-on-year decrease of 11.25% [1] - SMIC (00981) announced a second-quarter profit of USD 132 million, with third-quarter revenue guidance indicating a sequential growth of 5% to 7% [1] - Zai Lab (09688) reported a 15.35% year-on-year increase in total revenue for the first half, reaching approximately USD 216 million [1] - Innovent Biologics (01801) achieved over RMB 5.2 billion in total product revenue for the first half, maintaining a strong growth rate of over 35% year-on-year [1] - Pacific Basin Shipping (02343) reported a mid-year profit attributable to shareholders of USD 25.6 million, a year-on-year decrease of 56% [1] - Lee & Man Paper Manufacturing (02314) announced a mid-year profit of HKD 811 million, a year-on-year increase of 0.7%, with an interim dividend of HKD 0.066 per share [1] - Swire Group reported a mid-year profit attributable to shareholders of HKD 815 million, a year-on-year decrease of 79% [1] - Lee & Man Chemical Company (00746) reported a 36% increase in profit to HKD 327 million, with an interim dividend of HKD 0.195 per share [1] - Hua Hong Semiconductor (01347) announced a second-quarter profit of USD 7.952 million, a year-on-year increase of 19.2% [1] - Wheelock Properties (01997) reported a mid-year loss attributable to shareholders of HKD 2.406 billion, a year-on-year increase of 128.71%, with the first interim dividend of HKD 0.066 per share [1] - Decon Agriculture (02419) issued a profit warning, expecting mid-term biological asset fair value adjustments to yield profits between RMB 1.1 billion and 1.4 billion [1] - Mongolian Mining (00975) issued a profit warning, anticipating a net loss of approximately USD 15 million to 25 million for the first half, marking a shift from profit to loss year-on-year [1] - Dongfeng Motor Group (00489) issued a profit warning, expecting a mid-term net profit decline of 90% to 95% [1]

Core Viewpoint - The company, Chenming Paper (01812), has experienced a significant stock price decline, triggering abnormal trading conditions as per Shenzhen Stock Exchange regulations [1] Group 1: Stock Performance - The company's B-share stock (code: 200488, abbreviation: ST Chenming B) saw a cumulative closing price drop of over 12% across three consecutive trading days from August 4 to August 6, 2025 [1] Group 2: Financial Developments - A special syndicate loan of 2.31 billion yuan designated for resuming production has been approved and is in the process of meeting withdrawal conditions and signing loan agreements [1] - The company plans to gradually resume operations at its production bases based on funding status and market conditions [1] Group 3: Disclosure and Compliance - The board of directors confirmed that there are no undisclosed matters that should be reported according to the Shenzhen Stock Exchange listing rules, nor any related plans, negotiations, or agreements [1] - The board has not been made aware of any undisclosed information that could significantly impact the trading price of the company's stock and its derivatives [1] - There are no corrections or supplements needed for previously disclosed information [1]

Market Overview - The Hong Kong stock market showed mixed performance with the Hang Seng Index rising by 0.03% and the Hang Seng Tech Index increasing by 0.2%, while the Hang Seng China Enterprises Index fell by 0.21% [2] - Southbound capital saw a net inflow of approximately 9.5 billion HKD, down from 23 billion HKD on August 5 [3] Sector Performance - Large tech stocks exhibited mixed results, with Tencent rising by 1.7% and other stocks like Kuaishou and Alibaba also increasing [6][7] - The "anti-involution" sector and gold stocks saw gains, while the pharmaceutical sector declined due to tariff news from Trump [4][24] Paper Industry - The paper industry continued its strong upward trend, with stocks like Chenming Paper and Nine Dragons Paper both rising over 10% [10] - The Guangdong Paper Industry Association issued a proposal to promote high-quality development in the industry, which is expected to benefit from the current supply-demand imbalance [12] Coal Sector - Coal stocks also performed well, with China Qinfa, China Coal Energy, and Yanzhou Coal Mining rising by 9.39%, 3.89%, and 3.34% respectively [12][13] New Consumption - New consumption stocks showed signs of recovery, with Pop Mart rising over 7% and other companies like Lao Pu Gold and Mixue also seeing significant increases [15][17] - Morgan Stanley maintained an "overweight" rating on Pop Mart, citing undervaluation of its platform [18] Gold Sector - Gold stocks experienced a rebound due to rising international gold prices, with Lao Pu Gold and Datang Gold both increasing by over 5% [20][22] Pharmaceutical Sector - The pharmaceutical sector faced declines, with Junshi Biosciences dropping over 10% following Trump's announcement of potential tariffs on imported drugs [24][26] - Other pharmaceutical stocks like Hualan Biological and Basilea Pharmaceutica also saw declines [25][26] Airline Sector - Airline stocks experienced significant drops, with Cathay Pacific falling over 9% and other airlines like China Eastern Airlines and China Southern Airlines also declining [27][28]

Group 1: Market Overview - The Hong Kong stock market continued its rebound, with the Hang Seng Index rising by 0.68%, the National Enterprises Index increasing by 0.65%, and the Hang Seng Technology Index up by 0.73% [2] - The total market turnover decreased to HKD 229.39 billion, while the total short-selling amount on the main board rose to HKD 40.02 billion, reaching the highest level since early June [2] - Southbound capital saw a net inflow of HKD 23.43 billion after a significant outflow the previous day, with the most net purchases in the top ten active stocks being in the Tracker Fund of Hong Kong, Tencent, and Kuaishou [2] Group 2: Sector Performance - Large technology stocks showed mixed performance, with Kuaishou rising nearly 3% and Tencent and Netease increasing over 1%, while Xiaomi, Alibaba, and Meituan experienced slight adjustments [4] - The biopharmaceutical sector saw a surge, with Junshi Biosciences rising nearly 34% and other companies like CanSino Biologics and WuXi AppTec also experiencing significant gains, driven by favorable national pharmaceutical policies and increased innovation in drug development [4] - The paper industry performed well, with leading companies initiating a new round of price increases due to rising raw material costs, exemplified by Chenming Paper's nearly 15% increase in stock price [4] Group 3: Company Analysis - Geely Automobile - Geely Automobile reported a strong sales performance in July, with total sales of 238,000 vehicles, a year-on-year increase of 57.7%, and a month-on-month increase of 0.7% [8] - The sales of new energy vehicles reached 130,000 units, marking a year-on-year growth of 120.4% and a penetration rate of 54.7% [8] - Geely plans to launch five new models in the second half of the year, including the Galaxy A7 and M9, which are expected to be popular due to their high cost-performance ratio [9] Group 4: Strategic Developments - Geely and Zeekr officially merged on July 15, with Geely acquiring all issued shares of Zeekr, aiming to reduce operational costs and enhance efficiency through unified management while maintaining brand independence [10] - The investment outlook for Geely remains positive, with expectations of sustained high growth in performance driven by strong product capabilities and improved internal operations, maintaining a target price of HKD 26.0 [10]

Group 1 - The SP2509 contract experienced significant volatility in July, rising from 5080 points to a peak of 5560 points, an increase of 9.4%, followed by a decline of 6.1% in the last week [1] - The macroeconomic factors are driving the market more than the fundamentals, as indicated by the stable pulp spot market and weakening basis [1] - Global economic indicators, such as Citigroup's Global Surprise Index, have remained above zero this year, with most data exceeding expectations [1] Group 2 - In June, China's social financing increased by 4.20 trillion yuan, marking seven consecutive months of year-on-year growth, supporting the logic of a strong macroeconomic environment [1] - The supply of hardwood pulp has decreased compared to softwood pulp, while downstream consumption continues to rise, indicating a better fundamental outlook for hardwood pulp [1] - The price spread between hardwood and softwood pulp is expected to narrow from -174 points to -1211 points by the second half of 2024, reflecting an improvement in hardwood pulp fundamentals [1] Group 3 - The softwood pulp supply side is underperforming, with a sales-to-inventory ratio of 0.92 in Europe for June, leading to seven consecutive months of inventory accumulation [1] - Domestic imports of softwood wood chips and pulp reached 793,000 tons in June, marking a marginal increase for seven consecutive months, which negatively impacts SP valuations [1] - The domestic paper industry is facing ongoing operational pressures, with total profits decreasing by 21.4% year-on-year in June and total losses increasing by 29.8% year-on-year [1] Group 4 - In May, electricity consumption in the paper industry was 846 million kilowatt-hours, a year-on-year decrease of 2.1%, falling below the average of 875 million kilowatt-hours for the previous year [1] - By the end of July, the paper industry issued an anti-involution initiative, aiming to reduce finished paper production, limit wood pulp capacity expansion, and improve the quality of finished paper [1] - Overall, the market fundamentals are considered average [1]

Group 1: Report Information - The report is a pulp morning report from the Energy and Chemicals Team of the Research Center dated August 6, 2025 [2] Group 2: SP Main Contract Closing Price - On August 5, 2025, the SP main contract closing price was 5160.00, with a decrease of -0.15480% from the previous day. The closing prices from August 4 to July 30, 2025 were 5168.00, 5186.00, 5232.00, and 5326.00 respectively, showing a downward trend [3] - The corresponding converted US dollar prices were 626.69, 628.64, 627.89, 635.08, and 647.61 respectively [3] - The Shandong Yinxing basis was 650, and the Jiangsu, Zhejiang, and Shanghai Yinxing basis was 740 on August 5, 2025 [3] Group 3: Import Profit and Price Information - With a 13% VAT calculation, the import profit for Canadian Golden Lion pulp was 42.73, while for Canadian Lion pulp it was -366.03, and for Chilean Yinxing pulp it was -109.78 [4] - The national average prices of coniferous pulp, broadleaf pulp, natural pulp, and chemimechanical pulp remained unchanged from July 30 to August 5, 2025. The same was true for the Shandong regional average prices [4] - The prices of cultural paper (double - offset index, double - copper index), packaging paper (white card index), and living paper (living index) also remained unchanged during this period [4] - The profit margins of double - offset paper, double - copper paper, white card paper, and living paper showed an increasing trend from July 31 to August 5, 2025, with changes of 0.1287, 0.1122, 0.0976, and 0.5539 respectively [4] - The price differences between coniferous and broadleaf pulp, coniferous and natural pulp, coniferous and chemimechanical pulp, and coniferous and waste paper pulp all showed a decreasing trend from July 30 to August 5, 2025 [4]

Group 1 - Nine Dragons Paper (02689) shares increased by over 6%, reaching HKD 4.98 with a trading volume of HKD 45.85 million [1] - Nine Dragons Paper (Beihai) successfully launched the PM56 production line, which has a design speed of 1000m/min and an annual production capacity of 250,000 tons of high-grade cultural paper [1] - The company is also constructing another cultural paper production line, PM55, expected to commence production by the end of this year [1] Group 2 - On August 1, Nine Dragons Paper raised the price of corrugated paper and recycled kraft paper by HKD 30 per ton, following multiple price increases in July [1] - According to Zheshang Securities, the paper industry is expected to benefit from supply-demand imbalances and the "anti-involution" trend [1] - Guotai Junan noted that the new national standards have strengthened energy consumption restrictions, favoring leading paper companies over smaller competitors, potentially initiating a new supply-side clearing cycle in the industry [1]

Macro News - The issuance of new local government special bonds has accelerated since April, with a record high of 616.936 billion yuan in July, an increase of 89.842 billion yuan from the previous month [1] - The cumulative issuance of new special bonds reached 2.16 trillion yuan in the first half of the year, a significant year-on-year increase of 45%, supporting major project construction and maintaining resilience in infrastructure investment growth [1] - The China Logistics and Purchasing Federation reported that the commodity price index rose for three consecutive months, reaching 111.4 points in July, a month-on-month increase of 0.5% [1] - Among 50 monitored commodities, 32 saw price increases, with lithium carbonate, industrial silicon, and coking coal rising by 10.2%, 9.8%, and 9.6% respectively [1] Industry News - The China Real Estate Industry Association announced measures to support the healthy development of small and medium-sized real estate companies, including reflecting policy demands, providing financial services, promoting sales, and improving supply chains [3] - The National Healthcare Security Administration is optimizing drug procurement measures, with 55 drugs proposed for inclusion in the national procurement range [3] - The paper industry is experiencing a price increase, with leading companies like Nine Dragons Paper and Lee & Man Paper announcing price hikes starting August 1, marking the fourth round of price increases since July [4] - Rising costs of raw materials, energy, and logistics are driving this price increase, which is seen as a response to the declining market conditions earlier this year [4] Sector Insights - CITIC Securities reports that the liquor industry is rapidly bottoming out, with leading companies likely to benefit from channel adjustments and market expansion as consumer demand gradually improves [5] - The beer industry is expected to maintain steady growth in sales, with an estimated revenue growth rate of 2%-5% [5] - China International Capital Corporation highlights the trend towards lightweight humanoid robots, which can enhance performance and safety through material and structural optimizations [5] - Huatai Securities expresses optimism about the commercial real estate sector, noting that top operators' shopping center assets exceed their book value, with C-REITs providing a clearer path for value realization [6]

Report Industry Investment Rating - Not provided in the content Core View of the Report - This week, the fundamentals of offset printing paper remain weak, and paper prices continue to decline. Looking ahead, in the context of supply - demand contradictions, market transactions will be more flexible, and paper prices are expected to continue to fall next week [49][50] Summary by Relevant Catalogs Industry News - This Thursday, the inventory days of domestic double - coated paper decreased by 1.31% compared with last Thursday, and the decline rate this week narrowed by 0.83 percentage points month - on - month. Some dealers have a bearish outlook and weak stocking willingness, slowing down the inventory reduction rhythm of paper mills [6] - This week, the operating load rate of domestic double - coated paper was 50.13%, remaining flat month - on - month, and the trend changed from rising to stable. The production enthusiasm of double - coated paper manufacturers changed little, and the industry operation was basically stable [6] - In June 2025, the total inventory in European ports increased by 1.87% month - on - month and 27.23% compared with June 2024. Inventory in ports of the Netherlands, Belgium, France, and Switzerland decreased by 4.57% month - on - month, while inventory in ports of the UK, Italy, and Spain increased by 47.71%, 9.69%, and 7.15% respectively month - on - month, and inventory in German ports remained flat [6] Market Trend - As of July 31, the average price of 70g high - white double - coated paper was 4993.75 yuan/ton, the same as yesterday, and decreased by 81.25 yuan/ton compared with last week [9] - In the spot market, the prices of some paper types in Shandong and Guangdong markets decreased. In terms of cost - profit, both pre - tax and after - tax gross profits decreased [10] Supply - Demand Data Industry Capacity - The industry capacity is continuously being put into production, and the current industry as a whole is in a state of over - supply. In 2024, the domestic double - coated paper industry capacity was about 16.52 million tons, a year - on - year increase of 7%, and the annual output was about 9.478 million tons, with a capacity utilization rate of 57% [15][19] Weekly Production and Capacity Utilization - This week, the domestic double - coated paper industry output was 168,500 tons, and the capacity utilization rate was 50.1% [24] Weekly Sales and Inventory - This week, the domestic double - coated paper industry sales volume was 173,100 tons, and the enterprise inventory was 346,700 tons [29] Import and Export - In June, the domestic double - coated paper import volume was about 15,000 tons, and the export volume was about 66,000 tons [35] Inventory Situation - In terms of inventory days, Central China > East China > South China; the social inventory pressure is higher than the enterprise inventory [41] Terminal Consumption - In recent years, the growth rate of retail sales of books, newspapers, and magazines has gradually slowed down [46] Market Judgment - Supply: This week, the domestic double - coated paper industry output was 168,500 tons, and the capacity utilization rate was 50.1%. In June, the import volume was about 15,000 tons, continuing the previous low - import volume [50] - Demand: This week, the domestic double - coated paper sales volume was 173,100 tons. In June, the export volume was about 66,000 tons [50] - Price: This week, the average market price of 70g wood - pulp high - white double - coated paper was 4,998 yuan/ton, a month - on - month decrease of 1.90%, and the decline rate this week widened by 1.80 percentage points month - on - month. The average market price of 70g wood - pulp natural - white double - coated paper was 4,646 yuan/ton, a month - on - month decrease of 1.19%, and the decline rate this week widened by 1.06 percentage points month - on - month [50] - Factors Affecting Price: Some areas' publishing orders are not fully picked up, paper mills prioritize inventory reduction; dealers are cautious and have weak stocking willingness; downstream printing factories mainly consume inventory, and overall market demand is average; the cost support for double - coated paper is limited [50] - Future Outlook: Next week is the window period for paper mills to adjust quotes. It is expected that under the drive of relevant "anti - involution" policies, the quotes of large - scale paper mills will mostly remain stable. However, from the perspective of fundamentals, there are no new shutdown plans in the market next week, and it is expected that the supply side will change little. As publishing order pick - up ends, the demand side's support for paper prices will weaken. It is expected that due to supply - demand contradictions, market transactions will be more flexible, and paper prices will continue to decline next week [50] - Valuation: Based on the current pulp price, the current pre - tax gross profit of double - coated paper is about - 56 yuan/ton, and the after - tax gross profit is about - 222 yuan/ton. Although the pulp price has been falling, as the peak consumption season ends, the fundamentals of paper have weakened, and the profit of paper mills has declined [50]

Core Insights - Multiple paper companies have announced price increases, with some raising prices up to four times in the past month [1] - The price increase for corrugated paper and recycled kraft paper has reached 30-50 yuan per ton [1] - The primary reason for this round of price hikes is the rising cost of raw materials, particularly the rebound in waste paper prices [1] Industry Summary - Several paper enterprises have recently issued announcements regarding price hikes, indicating a trend in the industry [1] - The price of waste yellow board paper has gradually rebounded after hitting a nearly six-year low in February, reaching 1567 yuan per ton by the end of July, with a monthly increase of 6.74% in July [1]