HK Stock Market Move | Hua Hong Grace Semiconductor (01347) rose more than 7% during the session. The company will announce its earnings tomorrow, and price increases are expected to significantly boost profit margins.

Hua Hong Grace Semiconductor (01347) rose over 7% during the trading day and, as of this writing, is up 6.53%, priced at HKD 142, with a turnover of HKD 3.293 billion. In terms of news, Hua Hong Grace Semiconductor plans to hold a board meeting on August 13 to approve its financial performance for the second quarter. The company's first-quarter report also indicated that it expects sales revenue in the second quarter of 2026 to be around USD 690 million to USD 700 million, with a gross margin of approximately 14% to 16%. Bank of China International previously stated that Hua Hong Grace Semiconductor is leading in the expansion of mature technology nodes, with Fab 7 and the Wuxi plant already operating at full capacity. Fab 9A is expected to reach production capacity by the end of the third quarter, and Fab 9B is scheduled to reach production capacity by the end of 2027. Coupled with the consolidation of Huahong Micro's Fab 5 in the fourth quarter, this will drive the annualized revenue run rate to soar to USD 4 billion by the end of 2026, significantly exceeding market expectations; price increases that began in April will bring substantial margin elasticity.