HK Stock Market Move | Chaozhou Three-Circle (Group) (06951) rose by over 5% as Samsung Electro-Mechanics secured a super order for MLCCs, driven by AI boosting industry prosperity.

Chaozhou Three-Circle(Group) (06951) rose over 5%, and as of the time of publication, it increased by 5.68%, reaching HKD 111.6, with a trading volume of HKD 32.26 million. In the news, following a 30% price increase on August 1, Samsung Electro-Mechanics signed a long-term contract for AI server MLCCs worth approximately 1.07 trillion Korean won (around 5.3 billion RMB), setting a record for the largest single contract amount in history. Notably, on August 1, Samsung Electro-Mechanics unified the selling prices of all MLCC product lines, raising them by 30%. Japanese manufacturer Taiyo Yuden also adjusted the prices of some MLCC products on September 1, admitting that it currently struggles to meet demand and is unable to fulfill orders on time, stating that even with this price adjustment, timely delivery cannot be guaranteed. In the first half of this year, Chaozhou Three-Circle(Group) achieved revenue of 6.423 billion RMB, a year-on-year increase of 54.82%; net profit attributable to shareholders reached 1.932 billion RMB, a year-on-year increase of 56.18%. The companys semi-annual report disclosed that in the first half of the year, MLCCs benefited from increased customer recognition and industry prosperity, with some specifications' prices restored to their original reasonable values, leading to significant year-on-year growth in both sales volume and revenue. Meanwhile, the company's high-capacity MLCC expansion project continues to accelerate, with an additional investment of 560 million RMB in the first half of the year.