HK Stock Market Move | HUABAO INTL (00336) rises over 5%, HNB expected to embrace new opportunities; the company is a global taste supply chain platform.

HUABAO INTL (00336) rose over 5%, up 5.52% as of press time, at HK$3.73, with a turnover of HK$39.3602 million. On the news front, on July 28 this year, the mandatory national standard for "Heated Cigarettes" (draft for comments) was released, with the consultation period ending on September 26, and it is proposed to be officially implemented 6 months after publication. Shenwan Hongyuan Group believes that with the public consultation on the mandatory national standard for "Heated Cigarettes," the domestic HNB regulatory access system process is gradually advancing. Attention should be paid to targets in the new tobacco industry chain. Sinolink previously pointed out that the company's underlying competitive barrier is its supply chain management capability spanning the entire chain of "raw materialsprocessquality control." Along with the overseas volume ramp-up of flavor beads, the release of thin sheet production capacity, and the optimization of seasoning channels driving profitability recovery. The company has ample cash flow and a highly resilient dividend policy. In August 2025, it launched equity incentives for the first time, with targets of revenue growth in 2026-2028 of no less than 10%/20%/30% compared with 2025, demonstrating confidence in growth.