Guosheng Securities: Aluminum "Volume and price rise" increases performance elasticity, maintains "buy" rating on China Hongqiao (01378.HK)

According to the Securities Times APP, Guosheng Securities released a research report stating that China Hongqiao's (01378.HK) performance in the first half of 2025 was outstanding, with revenue of 81.04 billion yuan, a year-on-year increase of 10.1%; net profit attributable to shareholders was 12.36 billion yuan, a year-on-year increase of 35%. The substantial growth in the company's performance was mainly due to the "rise in volume and price" of aluminum products and the significant decrease in electricity prices leading to cost reductions. Considering that capacity realization and cost reduction are key to competitiveness at the current point in time, the company is expected to achieve leapfrog growth through overseas expansion and upstream and downstream empowerment. Guosheng Securities maintains a "buy" rating for China Hongqiao.