HK Stock Market Move | Maanshan Iron (00323) rose nearly 6% in the afternoon, and the steel industry is expected to recover and operate well in March, with profitability expected to continue to rise.

Maanshan Iron (00323) rose nearly 6% in the afternoon, with a 5.95% increase at the time of publication, trading at 2.85 Hong Kong dollars, with a turnover of 46.1828 million Hong Kong dollars. On the news front, according to Mysteel, the PMI index of the national steel industry in March was 50.6%, up 3.9 percentage points from the previous month, returning to the expansion range, indicating an improving operation of the Chinese steel industry. Bohai Securities pointed out that in the future, rising raw material prices may squeeze steel mill profits. If demand continues to recover in April, steel prices may receive further support; however, if the pace of demand release slows down, steel mills may face cost pressure, focusing on relevant information on "anti-inner fatigue". Huatai released a research report stating that Maanshan Iron & Steel's annual operating income was 77.52 billion yuan, a decrease of 5.25% year-on-year; with a loss of 209 million yuan, a decrease of 95.51% year-on-year. The bank pointed out that the main reason for the narrowing loss was the improvement in product mix and cost control efficiency progress, but due to asset impairment provision, net profit was lower than expected (84.54 million yuan). Looking ahead, the industry's business climate is expected to improve, coupled with the company's continuous adjustment of profit structure, cost control efficiency, and profit capacity is expected to continue to recover.