HK Stock Market Move | Sunyu Optics (02382) rose by over 4% after the profit announcement. It is expected that the net profit will increase by up to 150% for the whole year. Institutions have stated that the profit exceeded expectations slightly.

Sun Yuyu Optics (02382) rose more than 4% after the profit, accumulating more than 32% within the month. As of the press release, it rose 3.5%, to HKD 91.7, with a turnover of HKD 7.27 billion. On the news front, Sun Yuyu Optics announced that it is expected that the company's shareholders' net profit attributable to the company for 2024 will be approximately HKD 26.386 billion to HKD 27.485 billion, an increase of about 140% to 150% year-on-year. CICC stated that the performance forecast slightly exceeded expectations, mainly due to the recovery of mobile phone shipment demand; improvement in competitive landscape and product specification upgrades; and continued increase in the level of intelligentization of automobiles. The bank pointed out that looking into 2025, the trend of increasing ASP and gross profit margin of optical products for mobile phones is expected to continue. We believe that optics may still be the main entry point for micro-innovation in smartphones, including glass-plastic hybrid lenses, sinking of periscope modules, pixel upgrades, etc., and the company's product portfolio is expected to be further upgraded. In addition, subsidies for mobile phones and the expansion of AI applications on the terminal side may help stimulate consumer replacement demand. In addition, high-level intelligent driving and AI glasses are boosting the company's second growth curve.