HK Stock Market Move | Befar Group (06745) rises by over 12% again, it is expected that the attributable net profit for the first half of the year will increase by more than double, and plans to invest in the construction of butyl rubber project.

Befar Group (06745) rose by more than 12%, reaching a new high of HK$4.19. As of the time of writing, it rose by 4.84% to HK$3.9, with a trading volume of HK$352 million. In terms of news, Befar Group recently announced a profit announcement, expecting to achieve a net profit attributable to shareholders of HK$344 million in the first half of the year, a significant increase of 208.25% year-on-year; a non-net profit of HK$286 million, turning a loss of HK$13.28 million in the same period last year. This is mainly due to the stable full-load operation of the entire production line in the first half of the year, combined with the rise in global chemical raw material prices driven by overseas geopolitical conflicts, leading to higher prices of core products such as epichlorohydrin, chloroprene, and propylene, resulting in a significant improvement in product gross profit. It is worth noting that Befar Group plans to invest in the construction of a 70,000 tons/year halogenated butyl rubber project, with a total investment of HK$1.822 billion, funded by its own funds and self-raised funds. The project is located in the Beihai Economic Development Zone of Binzhou City, Shandong Province, with a construction period of 2 years. It is expected to generate annual revenue of HK$1.138 billion after production, with a net profit of approximately HK$104 million. The project aims to promote the company's green and low-carbon transformation, enhance the competitiveness of the carbon chain industry, and is not expected to have a significant impact on the company's operating performance in 2026.