HK Stock Market Move | SUN.KING TECH (00580) rose over 9% in early trading. The company is set to release its performance on Friday, with midterm net profit expected to increase by over 1.67 times year-on-year.

SUN.KING TECH (00580) rose over 9% in early trading, with an increase of 8.38% as of the time of publication, reaching 1.81 Hong Kong dollars, with a trading volume of 27.748 million Hong Kong dollars. On the news front, SUN.KING TECH is planning to hold a board meeting on August 22 (this Friday) to approve its interim performance. The company had previously announced a profit increase, with an expected net profit of about 90 million RMB in the first half of the year, a year-on-year increase of about 167%, mainly due to a significant increase in income from forward foreign exchange contracts. Revenue in the first half of the year is expected to increase by about 34% to 880 million RMB, attributed to the delivery of products for engineering projects; and an increase in revenue from self-produced insulated gate bipolar transistor. It is worth noting that the company's subsidiary, Sajing Semiconductor, recently signed a share transfer agreement with investors. Sajing Semiconductor will acquire all the equity of Hunan Hong'an from the investors, with a total consideration of 180 million RMB. Management believes that Sajing and Hunan Hong'an can achieve high complementarity in silicon carbide (SiC) technology, and can supplement Sajing's customer resources and upstream supply chain resources. This transaction is strategically significant for the long-term development of Sajing Semiconductor.