2026-01-07 03:05Summary of Key Points from the Conference Call Industry Overview - Industry Focus: The report covers the China Industrials sector, specifically focusing on Automation & Robotics, Construction Machinery, Heavy-duty Trucks, and New Energy stocks that may influence share prices in the near future [1][2]. Core Insights and Arguments - Automation Sector: - Monthly new order intake growth and industrial robot production are expected to be reported at the beginning and mid-month respectively [5][6]. - Shenzhen Inovance Technology anticipates approximately 20% year-on-year growth in new orders for January-February 2026, driven by a modest capital expenditure recovery and market share gains [8][9]. - Heavy-duty Trucks (HDT): - Monthly sales volume data will be released at the beginning of each month [5]. - Negative growth is expected in the domestic HDT market for 1Q26 due to front-loading in 2025 and a 5% increase in NEV purchase tax in 2026, although export growth is projected to remain resilient [9][11]. - Construction Machinery: - Monthly excavator sales volume will be reported at the beginning of each month, with expectations that export growth will offset high base pressure from domestic sales in January-February [8][9]. Company-Specific Catalysts - Beijing Geekplus Technology Co., Ltd. (2590.HK): - Inclusion in the Southbound Stock Connect program is expected in February 2026, following its addition to the Hang Seng Composite Index [7]. - Launch of a wheel-based humanoid robot is anticipated, which could enhance its position as an unmanned warehouse solution provider [7]. - Jiangsu Hengli Hydraulic Co., Ltd. (601100.SS): - Anticipated updates on Tesla's Optimus Gen 3 in 1Q26, which may lead to a revision of sales outlook for 2026 [7][8]. - Wuxi Lead Intelligent (300450.SZ): - Expected improvement in liquid LiB equipment orders in 1Q26, driven by strong demand for energy storage systems [7]. - Sany Heavy Industry Co., Ltd. (600031.SS): - Expected growth in excavator sales, with export growth anticipated to mitigate domestic sales pressures [8]. - Zoomlion Heavy Industry (000157.SZ): - Anticipated cyclical recovery in non-excavator machinery sales, supported by solid export growth [8]. Additional Important Insights - Market Conditions: - Concerns remain regarding growth momentum amid an anti-involution and deflationary environment, alongside margin pressures from the NEV powertrain business [9]. - Chinese Hyperscalers: - Potential acceleration in AI capital expenditure for Chinese hyperscalers is expected, which should support demand for cooling solutions [11]. - Profit Alerts: - Estun Automation is expected to issue a profit alert in January, indicating a return to profitability after a net loss in 2024 [9]. Conclusion The conference call highlights significant catalysts and trends within the China Industrials sector, with a focus on automation, heavy-duty trucks, and construction machinery. Key companies are positioned to leverage upcoming developments, although challenges such as market conditions and regulatory changes remain pertinent.