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Company Results | Great Wall Motor (2333 HK/HOLD/ HK$8.36/Target: HK$9.90 
2Q26 net profit met estimates at Rmb1,519m (-66.9% yoy/+60.7% qoq). The earnings were dragged by deferred booking of overseas tax rebates and forex losses. We expect earnings to resume growth in 2027, driven by new product debuts and buoyant overseas sales. Maintain our 2026-28 net profit forecasts at Rmb5,733m/Rmb8,171m/ Rmb10,160m (-41.9%/+42.5%/+24.3% yoy). Maintain HOLD on GWM with a target price of HK$9.90.    

Company Results | Innovent Biologics Inc (1801 HK/BUY/HK$100.10/Target: HK$132.00)  
Innovent’s 1H26 results beat estimates with total revenue rising 44.8% yoy to Rmb8.62b and product revenue surging 56.7% yoy to Rmb8.20b, while adjusted net profit surged by 40.5% yoy to Rmb1.70b, nearly matching the 2025 total. Innovent is on track to hit its 2027 revenue target of Rmb20b and has raised its 2030 goal to Rmb35b-40b. It aims to become a global premier pharmaceutical company in the next 5-10 years. Maintain BUY and raise target price to HK$132.00.    

Company Results | NAURA Technology Group (002371 CH/BUY/Rmb700.40/Target: Rmb930.00)   
NAURA’s 2Q26 net profit rose 6.6% yoy and 6.2% qoq to Rmb1.7b, in line with our estimate but 7.0% below consensus’. Revenue grew 24.0% yoy though seasonality drove a 4.7% qoq decline, while gross margin slipped 2.0ppt yoy to 39.3% on the initial ramp-up of new products, offset by a lower opex ratio. Contract liabilities surged 26.6% qoq, pointing to a solid orderbook for 2H26. Maintain BUY. Target price: Rmb930.00.    

Company Results | Shenzhou International Group Holdings (2313 HK/BUY/HK$41.14/Target: HK$55.80)  
Shenzhou’s 1H26 earnings were at the mid-point of the profit warning. However, gross margin deteriorated by 4.5ppt yoy, due to wage increases, rising raw material prices, forex and tariffs. In 1H26, revenue declined due to volume, while ASP remained flat. Looking into 2H26, management expects stable order volumes, alongside a recovering ASP. Gross margin is projected to show a sequential recovery in 2H26. Maintain BUY and cut target price by 9% to HK$55.80.    

Company Results | WuXi Biologics (Cayman) (2269 HK/BUY/HK$52.20/Target: HK$67.80)   
1H26 revenue rose 18.4% yoy to Rmb11.79b, ahead of its 13-17% full-year growth guidance, and adjusted net profit attributable to shareholders jumped 38.4% yoy to Rmb3.31b, beating market estimates. On the back of the robust backlog growth and expanding production capacity, WuXi Bio has raised its 2026 revenue growth to 15-18% yoy, and expects total revenue to expand at a 20% CAGR for the next three years. Maintain BUY and raise target price to HK$67.80, reflecting its stronger-than-expected growth momentum.    

Company Results | Xtep International Holdings (1368 HK/BUY/HK$3.79/Target: HK$5.60)  
Xtep’s 1H26 revenue missed but net profit beat consensus primarily driven by gross margin expansion. Looking ahead, management has lowered the full-year group revenue guidance to a low single-digit decline. Of this, Saucony is expected to deliver a 10% growth. Gross margin expansion is likely to continue in 2H26. However, the core Xtep brand’s operating margin may be under pressure. Net margin is expected to be at a high single-digit range. Maintain BUY and keep target price unchanged at HK$5.60.    

Company Results | Yadea Group (1585 HK/BUY/HK$10.30/Target: HK$16.00)    
1H26 net profit missed estimates at Rmb1.2b (-27% yoy), due to lower-than-expected sales volume and margins. Yadea expects sales to recover from 2H26, based on order flows. Going forward, sales will be driven by market share gains amid accelerating industry consolidation, premiumisation, upmarket migration and overseas expansion. We cut our 2026-28 net profit forecasts by 14%/9%/10% respectively. Maintain BUY and cut target price from HK$18.00 to HK$16.00.      

Company Update | Foxconn Industrial Internet (601138 CH/BUY/Rmb60.15/Target: Rmb89.50)    
FII's 1H26 results briefing stated that AI server orders had continued to improve with visibility now extending well into 2027. AI infrastructure investment growth is expected to expand further in 2027, despite reaching a high level of US$900b in 2026, with NeoCloud and sovereign cloud set to become major growth drivers in the next five years. Maintain BUY. Target price: Rmb89.50.