Daily focus：Topsports (6110)
For the six months ended August 31, 2025, Topsports International Holdings Limited recorded revenue of RMB12.29 billion, a year-on-year decrease of 5.8%, amidst a challenging retail environment. Profit attributable to equity holders was RMB780 million, a year-on-year decrease of 9.7%. The decline in performance was primarily attributed to volatile macroeconomic demand and an unstable offline operating environment. By brand, revenue from core brands (including Nike and adidas) declined by 4.8%, outperforming other brands. Despite this decline, earnings figures still exceeded market expectations.
Escalating Sino-US trade frictions have reignited market concerns
The S&P 500 fell 0.5% yesterday, closing at approximately 6,699 points, reflecting heightened market concerns over trade tensions. Reports that the Trump administration is considering imposing software export restrictions on China have heightened investor fears about the Sino-US trade conflict, leading to declines in technology stocks and the broader market, with the Nasdaq falling 0.9%. This development continues the market uncertainty caused by the tariff war this year, particularly affecting companies reliant on global supply chains, such as Tesla, whose stock prices have fluctuated wildly ahead of earnings reports. Trade restrictions could not only curb US technology exports but also trigger retaliatory measures from China, further disrupting the global economic recovery and fueling inflationary pressures.
Hong Kong Stock Connect saw a net inflow of HK$10.02bn on Wednesday, with the largest inflow of HK$1.99bn going to Tracker Fund of Investments (2800), followed by CNOOC (0883). Meanwhile, Hua Hong Semiconductor (1347) saw the largest net outflow of HK$300mn, followed by Xiaomi Group (1810).
The Hang Seng Index opened 63 points lower before briefly rising, closing at 25,968 points, up 186 points, or 0.72%. The China Enterprises Index rose 77 points, or 0.83%, to 9,301 points, while the Hang Seng Tech Index rose 28 points, or 0.48%, to 5,951 points. Total market turnover for the day was HK$ 245.3 billion. Among individual stocks, Li Ning (2331) surged 6.4%, benefiting from a strong performance in the sporting goods sector; China Hongqiao Group (1378) rose 4.5%. Pop Mart (9992) closed down 9.4%.
Source: KGI Investment Products and Solutions Department
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