[Today's focus]

SMIC (00981.HK)'s profit attributable to owners decreased by 50.4% in 2023, and the gross profit margin for the first quarter is expected to be 9%-11%

SMIC (00981.HK) announced that sales revenue for the fourth quarter of 2023 increased 3.6% month-on-month to $1,678.3 million, slightly higher than the guideline; gross margin was 16.4%, in line with the guidelines. Unaudited sales revenue for the full year of 2023 was US$6.32 billion, down 13% year on year, and gross margin was 19.3%, which is basically in line with the company's guidelines at the beginning of the year. The gross margin for the fourth quarter of 2023 was 16.4%, 19.8% for the third quarter of 2023, and 32.0% for the fourth quarter of 2022.

The unaudited profit attributable to company owners for the full year of 2023 was $902.5 million, a decrease of 50.4% compared to the full year of 2022 of $1,817.9 million, mainly due to: in the past year, the semiconductor industry was at the bottom of the cycle, global market demand was weak, industry inventories were high, inventory removal was slow, and competition in the industry was intense. Affected by this, the Group's average capacity utilization rate decreased, wafer sales volume decreased, and product portfolio changed. Furthermore, the Group is in a period of high investment, and depreciation has increased compared to 2022. The above factors together affected the Group's financial performance in 2023.

At the end of the year, the 8-inch monthly production capacity was 806,000 tablets, and the average annual capacity utilization rate was 75%.

Sales revenue for the first quarter of 2024 is expected to remain flat to increase 2% month-on-month, and gross margin is expected to be between 9% and 11%.

On the premise that there are no major changes in the external environment, the 2024 guideline given by the company is that sales revenue growth should not be lower than the average of comparable peers, with a single-digit year-on-year increase. Capital expenditure was roughly the same as in 2023.

[Important matters]

Champion Technology Group (00092.HK) proposes capital restructuring to change the trading unit to 12,000 shares per lot

Boqi Environmental Protection (02377.HK) plans to establish a joint venture with Caixun Co., Ltd. in China to develop new energy business

Xintian Green Energy (00956.HK): Plans to invest 60 million yuan to participate in the establishment of an energy storage company

[Financial results]

Auto Home-S (02518.HK)'s net profit in 2023 was 1,935 billion yuan, and the average number of mobile users increased 25.4% in December

Huahong Semiconductor (01347.HK)'s fourth quarter revenue reached US$455.4 million, profit attributable to parent company owners of US$35.4 million

Asia Expo Technology Holdings (08279.HK): Macau Pass's total cumulative revenue for 2023 is approximately MOP 404 million

Edwin Group (09919.HK) Yingxi: Net profit is expected to exceed 110 million yuan in fiscal year 2023, a year-on-year increase of 290%

Esprit Global (00330.HK)'s total revenue for 2023 reached HK$5.912 billion, and the net loss is expected to exceed HK$1.9 billion

WING ON CO (00289.HK) Yingxi: Expected profit to be transferred to shareholders of HK$122 million in 2023

[Operational data]

Dongfeng Group Co., Ltd. (00489.HK) sold 226,875 vehicles in January, up about 109.9% year-on-year

Great Wall Motor (02333.HK): Total sales volume in January was 104.03 million units, up 69.06% year-on-year

Joy City Real Estate (00207.HK): Total contract sales amount of 18.086 billion yuan in 2023

Greentown China (03900.HK)'s total contract sales amount in January was about 12 billion yuan

China Overseas Development (00688.HK): Contract property sales amount in January was approximately RMB 10.504 billion

Shunyu Optical Technology (02382.HK): Mobile phone lens shipments in January increased 54.8% year-on-year to 103 million pieces

Xincheng Development (01030.HK): Achieved contract sales of 3.692 billion yuan in January

Poly Real Estate Group (00119.HK): Achieved contract sales amount of 3.3 billion yuan in January

China Overseas Hongyang Group (00081.HK): January contract sales of 2,363 billion yuan fell 8.7% year on year

Cinda Biotech (01801.HK)'s total product revenue in the fourth quarter surged by more than 65% year-on-year to over 1.6 billion yuan

Qiutai Technology (01478.HK): Total camera module sales in January were 39.996 million units, up 93.3% year-on-year

Goldland Commercial Investment (00535.HK): Total contract sales for January is 814 million yuan

Jianye Real Estate (00832.HK): Obtained property contract sales of 710 million yuan in January

[Pharmaceutical Innovation]

Elken Healthcare (01789.HK) obtained a registration certificate approved by the State Drug Administration

[Acquisition and sale]

China Biopharmaceutical (01177.HK) plans to sell 67% of Zhengda Qingdao's shares for 1.82 billion yuan

R&F Real Estate (02777.HK) plans to sell all shares of R&F International Real Estate Investment

[Equity Incentives]

Pharmacist Gang (09885.HK) grants 10.552,500 reward shares

[Repurchase Cancellation]

Tiger Pharmaceuticals (03347.HK): Plans to repurchase A-shares for 500 million to 1 billion yuan. The repurchase price will not exceed 60 yuan/share

Pharmaceutical Biotech (02269.HK) spent HK$213 million to buy back 11.916 million shares on February 6

HSBC Holdings (00005.HK) spent HK$133 million to repurchase 2.18 million shares on February 5

AIA (01299.HK) spent HK$35.4066 million to repurchase 584,200 shares on February 6

Swire Group A (00019.HK) spent HK$14.73 million to repurchase 240,000 shares on February 6

COSCO Marine Holdings (01919.HK) spent HK$9.999 million to buy back 1.2 million shares on February 6

ESR (01821.HK) spent HK$5.68 million to buy back 573,000 shares on February 6

Yum China (09987.HK) spent HK$4.662 million to buy back 16,700 shares on February 6

Haier Smart Home (06690.HK) spent 3.919 million yuan to buy back 166,800 A shares on February 6

China Wangwang (00151.HK) spent HK$3.7066 million to buy back 862,000 shares on February 6

Caike New Energy (01986.HK) cancelled 16.921 million shares to repurchase shares on February 6

Asia Finance (00662.HK) cancelled 234,000 repurchased shares on February 6