$HUABAO INTL (00336.HK)$ The Hong Kong stock index rose over 23% in the morning session, and as of the time of reporting, it gained 17.65%, quoted at 3 Hong Kong dollars, with a transaction volume of 0.211 billion Hong Kong dollars.

Huaan previously noted that international Tobacco giants released their Earnings Reports, with the new Tobacco Business continuing to develop. Philip Morris International's HNB business has made significant breakthroughs in the USA market, and changes may occur in the first half of 2025 or earlier. Additionally, to compete with Philip Morris International in the heated-not-burn (HNB) sector,$British American Tobacco (BTI.US)$GLO HILO has been positioned as a top platform in the premium heated Tobacco market, seen as an important growth area for the future. The company plans to promote it to other markets by 2025.

It is reported that the flavoring required for HNB cartridges is 6-10 times that of traditional cigarettes, and the value per ton is also higher. HUABAO INTL previously issued a profit warning, expecting a pre-tax loss of 0.305 billion to 0.455 billion yuan for the year 2024, mainly due to impairment losses related to tobacco flavors and other goodwill. Additionally, HUABAO INTL announced in February this year that company executive director and Deputy Chief Financial Officer Cai Wenxia received a notice from the Hong Kong Independent Commission Against Corruption confirming that its investigation has been completed and there is no further need to investigate the related case. At the same time, Ms. Cai's bail conditions have also been lifted.

Editor/rice