On the first day of trading, SF INTRA-CITY (09699) rose by more than 6%, with trading volume increasing several times.

On September 10, SF INTRA-CITY (09699) saw a surge in trading volume in the afternoon, with a peak increase of over 6%. As of the time of writing, the stock had risen by 5.27% to 11.58 Hong Kong dollars, with the trading volume soaring several times and the turnover approaching 16.5 million Hong Kong dollars. It is understood that on September 9, the Shanghai and Shenzhen Stock Exchanges announced that the constituent stocks of the Hang Seng Composite Large-Cap Index, Mid-Cap Index, and Small-Cap Index would be adjusted, leading to changes in the list of stocks eligible for the Hong Kong Stock Connect program, with SF INTRA-CITY being added to the list effective from September 10. It is worth noting that after becoming profitable ahead of the industry in 2023, SF INTRA-CITY recently delivered another impressive "report card." The interim results showed that the company achieved a net profit of 62.17 million yuan during the reporting period, doubling year-on-year, with half-year net profit exceeding the full-year profit of the previous year. In the first half of 2024, SF INTRA-CITY's order volume increased by more than 30% compared to the same period last year, with revenue reaching 6.878 billion yuan, a year-on-year increase of 19.6%, and a gross profit of 473 million yuan. Benefiting from economies of scale and network effects, SF INTRA-CITY achieved a gross profit margin of 6.9% in the first half of the year, hitting a new high, with a net profit of 62.17 million yuan, a significant increase of 105.1% year-on-year, already surpassing the full-year level of 2023. In terms of the lower-tier market, in the first half of 2024, SF INTRA-CITY continued to strengthen its instant delivery network and service capabilities in the lower-tier market, providing more convenient on-demand services tailored to the differentiated local lifestyle scenes of counties. By the end of June, the company had covered over 1,200 lower-tier counties nationwide, with a coverage rate of 68%, and county-level revenue had grown by 51% year-on-year. Citi's research report indicated that SF INTRA-CITY had the ability to seize opportunities in the on-demand retail market, driven by factors such as a wider customer base, new services, and synergies with S.F. Holding. The brokerage firm stated that, benefiting from diversified consumption scenarios and product expansion, it is expected that the company's sales and profitability will improve from 2024 to 2026, with estimated revenue growth of 21%, 21%, and 16% respectively.