Huaxin Holdings (01657) Included in Hong Kong Stock Hot List and 2025 Performance Improvement Analysis

Huaxin Holdings (01657) was recently included in the Hong Kong Stock Surge List on East Money App [1], and its 2025 performance supports this market attention. According to the latest financial report [2], the company’s annual loss narrowed to HK$6.04 million, a significant improvement from HK$17.1 million in the previous year; revenue increased by 25.1% year-on-year to HK$154 million, indicating remarkable results from business expansion. Interim results were also positive: the loss narrowed from HK$10.2 million in the same period last year to HK$9.03 million [3], and the earlier profit warning had predicted the annual loss would narrow to a maximum of HK$7 million [4], with actual results exceeding expectations.

The company’s diversified business layout (apparel product supply + catering services for private institutions) has effectively reduced single-business risks [2]. Among them, the apparel supply business benefited from increased orders from major UK clients [2], becoming the core driver of revenue growth.

1. Positive Correlation Between Performance Improvement and Market Attention
   : The company’s continuous performance improvement (interim → annual) and results exceeding profit warnings may be important reasons for its inclusion in the Hong Kong Stock Hot List [1][2].
2. Diversification Effects Evident
   : The expansion of catering services has provided the company with a new growth curve, reducing reliance on fluctuations in the apparel supply chain industry [2].
3. Overseas Market Expansion Shows Initial Results
   : Increased orders from UK clients indicate that the company’s overseas market layout has begun to contribute revenue [2].

• Ongoing Industry Challenges
  : The apparel supply chain industry still faces uncertainties from changes in the global trade environment and fluctuations in consumer demand [2].
• Profitability Not Yet Achieved
  : Although losses have narrowed, the company has not yet turned profitable, and financial pressure remains [2].

• Overseas Market Expansion
  : Growing orders from UK clients provide an opportunity for the company to further expand into the European market [2].
• Deepening Diversification
  : The catering services business can be further scaled up to become a new profit growth point [2].

Huaxin Holdings (01657) showed significant performance improvement in 2025: the loss narrowed more than expected, and revenue grew strongly. Business diversification and increased overseas orders are the core drivers. Although industry challenges persist, the company’s financial condition is gradually improving, and the increased market attention (inclusion in the hot list) reflects investors’ recognition of its improvement trend.