CXO concept sector surging!

The overall A-share market rose this morning (March 24), with most major indices gaining.

The CXO concept sector surged significantly, becoming one of the main highlights of the morning A-share market.

A-share Market Overall Up, CXO Concept Soars

This morning, the A-share market generally moved higher, with most major indices like the Shanghai Composite Index rising. The ChiNext Index showed relative weakness, declining during the session. By the close, the Shanghai Composite Index was up 0.95%, the Shenzhen Component Index rose 0.26%, and the ChiNext Index fell 0.79%.

In terms of industry sectors and tracks, according to Shenwan’s first-level industry classification, non-ferrous metals led the gains, with sector gains exceeding 2.5% during the session. Stocks like Rongjie Shares and Haixing Shares hit the daily limit, while Guocheng Mining, Shengtun Mining, Zangge Mining, Yongxing Materials, Haotong Technology, and Yunnan Germanium performed well.

The building materials sector saw a large increase, with gains over 2% during the session. Stocks such as Keshun Shares, Jinjing Technology, Tubaobao, and Oriental Yuhong led the rise.

Textile and apparel, environmental protection, and public utilities sectors also ranked among the top gainers.

Oil & petrochemicals, agriculture, forestry, animal husbandry, and fishery sectors declined the most.

On the concept side, the CXO sector surged over 3% during the session.

Leading stock WuXi AppTec (A-shares) rose more than 6% during trading, and its Hong Kong-listed shares increased even more, jumping over 9% intraday.

WuXi AppTec released its 2025 annual report last night, showing that as capacity continues to increase to better meet customer needs, by the end of December 2025, the company’s ongoing business orders stood at RMB 58 billion, up 28.8% year-over-year. During the reporting period, the company’s revenue from ongoing operations was RMB 43.42 billion, with RMB 31.25 billion from U.S. clients (up 34.3%), RMB 4.82 billion from European clients (down 4.0%), RMB 5.47 billion from Chinese clients (down 3.5%), and RMB 1.88 billion from other regions (up 4.1%).

WuXi AppTec stated that it expects total revenue for 2026 to reach RMB 51.3 billion to RMB 53 billion, with ongoing business revenue growing 18%–22% year-over-year. The company will focus more on its core CRDMO strategy, accelerate globalization capabilities and capacity deployment, and continuously improve operational efficiency.

Hong Kong Market Overall Up This Morning

The Hong Kong market performed well this morning, with the Hang Seng Index rising over 1% during the session.

Among Hang Seng Index constituents, Luk Fook Holdings led the gains, surging over 10% during trading.

On the evening of March 23, Luk Fook Holdings announced its 2025 annual results. The report showed that the group’s sales (including tax-included revenue) reached approximately RMB 31.375 billion, up about 220.3% year-over-year, and operating revenue was about RMB 27.303 billion, up approximately 221.0%. In terms of profit, Luk Fook’s gross profit for 2025 was about RMB 10.274 billion, an increase of approximately 193.4% from 2024, and net profit for the year was RMB 4.868 billion, up about 230.5%.

Other top-performing stocks in the Hang Seng Index included AIA Group, Master Kong Holdings, and Zijin Mining, while China National Pharmaceutical Group, Xinyi Solar, and China National Offshore Oil Corporation lagged behind.

Among the Stock Connect stocks, Sumsung International fell the most, dropping over 20% during the session.

Sumsung International released its earnings report last night, showing that revenue increased slightly from about RMB 6.948 billion for the year ending December 31, 2024, to about RMB 6.955 billion for the year ending December 31, 2025. The growth was mainly driven by increases in pharmaceuticals, biopharmaceuticals, and daily chemical industries, while some other sectors declined due to slower downstream expansion and a slowdown in short-term capital investment in mainland China. The group’s net profit decreased about 19.9% from RMB 730 million to RMB 584 million. The net profit margin for 2025 was approximately 8.4%, down from about 10.5% at the end of 2024.