HK Stock Market Move | Nazhen Technology (09856) rises over 10% again to hit a new listing high, positioned in the AI optical communications full-stack track, with datacom optical modules as the main growth driver.

Nazhen Technology (09856) rises over 10% again, reaching a high of HK$39.5 to hit a new listing high, up nearly 20% from its offer price of HK$32.96. As of press time, it is up 10.19% at HK$39.36, with turnover of HK$479 million. On the news front, in the first half of this year, Nazhen Technology achieved revenue of RMB5.393 billion, up 27.9% year-on-year; profit for the period was RMB661 million, up 29.7% year-on-year. By business segment, revenue from datacom optical modules within optical modules was RMB3.745 billion, up 36.6% year-on-year, mainly driven by growing demand from AI and cloud computing-related applications, with sales increasing in both the Chinese and overseas markets; optical chip revenue was RMB85 million, up sharply by 424.6% year-on-year. Nazhen Technology is a rare full-stack solutions provider in the industry that combines independent R&D and large-scale mass production capabilities for AI interconnect optical chips and high-speed optical modules. The company is one of the first manufacturers in China to successfully develop and mass-produce 800G and 1.6T optical modules. In September this year, the company unveiled its new-generation 6.4T/3.2T NPO series products at the CIOE exhibition, as well as the 12.8T XPO 8xDR8 optical module based on the LPO architecture, achieving multiple breakthroughs in single-module capacity, overall power consumption, and the level of independent controllability of core components.