HK Stock Market Move | TUHU-W(09690) rose more than 5% in the morning of December, with a 11% month-on-month increase in retail sales, outperforming seasonal expectations.

TUHU-W (09690) rose more than 5% in the morning, up 5.37% to HK$18.84 as of press time, with a turnover of HK$22.5677 million. Morgan Stanley released a research report stating that based on data from independent automotive aftermarket (IAM) data provider F6 Automotive, TUHU-W's aftermarket performance in December 2024 was impressive, with a month-on-month growth of 11% in retail sales and 5% in aftermarket service units, outperforming seasonal trends. The average service price (ASP) also increased by 2% year-on-year, supporting TuHu's previous claims of improved store traffic and retail prices in the third and fourth quarters of 2024. The report further pointed out that the overall competitive landscape in the automotive aftermarket industry is complex and constantly changing. On one hand, the closure of 4S dealership stores will drive car owners to independent aftermarket channels, creating opportunities for companies like TuHu; on the other hand, government incentives for trading in old vehicles for new ones may reduce the number of old vehicles flowing into IAM stores, posing a challenge to their business growth. Companies in the industry need to continue to focus on improving service quality, expanding customer resources, and optimizing cost structures to respond to market dynamics.