HK Stock Market Move | TVB (00511) surged more than 5% at the close. The company signed agreements with several leading enterprises to deepen comprehensive strategic cooperation in the Greater Bay Area.

TVB (00511) rose more than 5% in the final trading session, with a 4.96% increase by the time of this report, reaching HK$4.02, with a trading volume of HK$15.5095 million. On the news front, TVB held the "TVB Intraconnected External Communication New Chapter - Greater Bay Area Film and Television Conference" in Guangzhou on June 12. The company signed strategic cooperation memorandums with five leading mainland enterprises to establish deep cooperation in various core areas such as film and television content creation, technology research and development, and platform operations. This includes strengthening cooperation in film, music, and AI applications with Tencent, as well as collaborating with Huawei to launch AI applications. Guosen International pointed out that with large enterprise advertisers gradually returning, the local advertising business in Hong Kong is continuing to recover. The Greater Bay Area has also introduced new advertising solutions, leading to overall growth in advertising revenue. In addition, the company has reached bundling agreements with Youku and Tencent Video to provide more high-quality co-produced dramas, further deepening the cooperative model and making mainland operations a second growth curve for the company. At the same time, the company will continue to optimize its cost structure and expand its influence through deepening strategic cooperation in the Bay Area, with the prospect of continuous improvement in profitability. Currently, the company's EBITDA has turned positive, and its valuation is expected to return to a reasonable level, making it sustainable to follow the subsequent business development.