Changes in Hong Kong stocks | Tianhong International Group (02678) rose more than 8% in the intraday period. The company's early layout and globalization will continue to strictly control capital expenditure this year

The Zhitong Finance App learned that Tianhong International Group (02678) rose more than 8% in the intraday period. As of press release, it had risen 6.78% to HK$3.62, with a turnover of HK$158.14,900.

Guoxin Securities pointed out that in 2024, Tianhong International Group's product prices were stable, gross margin continued to recover, cash flow was greatly improved, debt was optimized, and the operating momentum was steadily improving. In the medium to long term, the local supply chain is the general trend. The company's early layout was global. It has a local supply chain, a first-mover advantage of rapid response, and a leading scale advantage, and is expected to maintain a leading market position. Due to weak global terminal demand, we cautiously anticipate delays in cotton prices to resume rising and lower the company's profit forecast.

The bank pointed out that the company's management stated at the public results meeting that it plans to sell 800,000 tons of yarn, 100 million meters of woven fabrics, and 10,000 tons of knitted fabrics in 2025, and continue to expand the share of high-margin products. In 2024, the company spent 830 million yuan in capital, and continued its prudent strategy in 2025, focusing on automation technology transformation and distributed photovoltaic power plants, and further reducing the debt ratio.