Qianbaidu (01028.HK) AI Transformation Drives Stock Price Surge and Financial Warning Analysis

Qianbaidu (01028.HK) mainly engages in fashion footwear manufacturing and sales as well as toy retail business [0]. In 2025, it became a focus in the Hong Kong stock market through its AI transformation strategy. The company introduced Fan Yuanyuan, a non-executive director of SenseTime Group, and Zhang Yichen, a senior executive of Wuji Capital, obtaining dual endorsements of technology and capital [0], and announced the raising of approximately HK$227 million for artificial intelligence exploration and digital transformation [1][7]. The stock price performed strongly, with a cumulative increase of 233% over 17 trading days, a weekly increase of 96.1%, and a year-to-date increase of 112.8% [0][4], driven by factors including the overall rotation effect of the HK stock AI sector [0]. Financially, the company expects a net loss of RMB 140 million to 145 million in the first half of 2025, a significant deterioration from the net profit of RMB 52.414 million in the same period last year [2], mainly due to transformation investments and changes in the market environment.

1. Divergence between short-term sentiment and long-term performance
   : The short-term surge in stock price contrasts sharply with the mid-term financial warning, reflecting the gap between the market’s optimistic expectations for AI transformation and the company’s current operational pressure [0][2][4].
2. Signal role of institutional endorsements
   : The participation of SenseTime Group and Wuji Capital not only provides technical and capital support but also strengthens market confidence in the company’s transformation, becoming an important catalyst for the stock price rise [0].
3. Dual impact of financing plan
   : Raising funds helps promote AI transformation, but new share issuance may bring equity dilution risks; attention should be paid to capital use efficiency and transformation effect [1][7].

• Mid-term financial loss risk: Expected net loss of RMB 140-145 million in H1 2025, increasing operational pressure [2];
• Transformation uncertainty: Fierce competition in the AI field, lack of relevant experience, transformation effect to be verified [0];
• Equity dilution: New share issuance may affect existing shareholders’ rights [1][7].

• AI sector dividend: HK stock AI concept stocks perform strongly overall, industry trends are expected to continue driving the company’s stock price [0][9];
• Capital support: Raised funds provide financial guarantee for transformation; if AI projects can be effectively implemented, it is expected to open up new growth points [1][7].

Qianbaidu (01028.HK) has seen a sharp short-term rise in its stock price driven by its AI transformation strategy, but the mid-term financial warning indicates operational pressure. Investors should objectively view the transformation potential and current risks. It is recommended to pay attention to the company’s transformation progress, capital use, and the implementation effect of AI business to evaluate long-term investment value.