Latest news with #CLN
Forbes
5 days ago
- Business
- Forbes
China Market Update: Hong Kong's Hopes Hinge On Trump-Xi Call & Policy Meeting Stimulus
CLN Asian equities delivered mixed performance overnight on hopes that a phone call between President Trump and President Xi would take place this week. Hong Kong outperformed, buoyed by a stronger renminbi (RMB) versus the US dollar, while South Korea was closed for the presidential election and Thailand was closed for the Queen's birthday. The Organization for Economic Cooperation and Development (OECD) emphasized that economic cooperation is essential for development, lowering its 2025 global GDP growth forecast to 2.9% from 3.2%. The OECD also reduced its US growth target to 1.6% from 2.2%, citing the ongoing US-induced trade war as a primary factor. Mainland China's economic data appeared to confirm the negative impact of the trade war. The May Caixin Manufacturing Purchasing Managers' Index (PMI) came in at 48.3, down from April's 50.4 and below expectations of 50.7. Caixin's private survey, which focuses on smaller companies, may have underperformed the PMI released by the National Bureau of Statistics (NBS) due to the higher export exposure of the firms included in the survey. Investors may view the weak reading as a catalyst for policymakers to introduce strong stimulus measures at the upcoming Lujiazui Forum, which begins on June 18th. Hong Kong had a strong session, with nearly four advancing stocks for every declining stock. However, trading volumes were only at 100% of the one-year average, and stronger volumes would have been preferred. Banks, internet stocks, and auto companies led gains, while underperformers were limited. Appliance giant Midea Group fell -1.82% in Hong Kong and -3.82% in Mainland China after the Chairman commented that he was not concerned about Xiaomi entering the home appliance industry, but his remark that Midea 'had no moat' may have unsettled investors. The auto and electric vehicle (EV) sector benefited from robust May sales figures. Li Auto rose +5.82% following its first-quarter results and strong May sales. Xiaomi's CEO announced that the company will reach profitability later this year and that the new YU7's price will be revealed soon. After the close, the Ministry of Commerce (MoC) and several departments announced new measures to promote EV and hybrid auto sales in rural areas. Mainland China equities also posted gains, though enthusiasm lagged behind Hong Kong. Financials led the advance, as banks, insurance, and brokerages all performed well. National Team exchange-traded fund (ETF) volumes were below average. Looking ahead, markets are watching to see whether a Trump–Xi phone conversation can pave the way for a summit between the two leaders. New Content Read our latest article: New Drivers For China Healthcare: AI Med-Tech Innovation, Cancer Treatment, & Favorable Balance of Trade Please click here to read Chart1 Chart2 Chart3 Chart4 Chart5 Chart6
Forbes
22-05-2025
- Business
- Forbes
China Market Update: Bond Markets Start Intimidating Investors
CLN Asian equities were risk-off due to President Trump's budget, which, according to the WSJ, is expected to increase the deficit by $2.7 trillion over the next decade. The US 30 Treasury bond yield has risen from a September 2024 low of 3.92% to 5.14% this morning, while the Japanese Treasury bond yield has risen from 2% to 2.97% over the same period. James Carville's reincarnation quote as the bond market comes to mind: 'You can intimidate everybody.' Based on my recent travels to Europe and Asia, one shouldn't expect much sympathy or appetite for US investments from foreign investors following the recent trade 'negotiations'. Maybe the increased volatility could lead to a desire to resolve trade issues. It was very quiet except for the US-driven macro narrative, after a poor US trading day yesterday, which weighed on US-listed China stocks, as risk off is risk off. Hong Kong had a poor session as growth stocks favored by investors took the brunt of market action. XPeng +5.8% after strong results and guidance yesterday though CATL -2.25% despite the Hong Kong listing being fast-tracked for MSCI inclusion. Xiaomi was off -2.3% despite founder Jun Lei's comments on the coming July launch of their SUV model YU7 in addition to announcing their use of Qualcomm's Snapdragon 8 chips. Li Auto -2.77% lowered its 2025 production target to 640,000 from 700,000. Hong Kong banks were a safe haven though it was simply an off day despite Mainland investors buying $495 million worth of Hong Kong-listed stocks via Southbound Stock Connect. Mainland China was also weak though indices were not off as much as Hong Kong. Mainland banks also held up though the National Team's favorite ETFs had a light volumes. The Shanghai government announced expansion of its subsidy programs as the top down directive to expand from auto/EV/hybrid and home appliances to electronics gets implemented locally. The State Council hosted several agencies in a press conference on financial policies to support the science and technology sectors following yesterday's release. Again quiet so we'll keep things concise! New Content Read our latest article: New Drivers For China Healthcare: AI Med-Tech Innovation, Cancer Treatment, & Favorable Balance of Trade Please click here to read Chart1 Chart2 Chart3 Chart4 Chart5 Chart6
Forbes
15-05-2025
- Business
- Forbes
China Market Update: Alibaba, NetEase, & KE Holdings Report Q1
CLN Asian equities were mixed but mostly lower overnight after substantial gains from the 90-day US-China tariff deal, as India and Pakistan outperformed, while Thailand and Hong Kong underperformed. The South China Morning Post reported that US-bound shipping orders increased nearly 300% after the 90-day pause was announced, reflecting still-strong demand from US businesses and consumers for China-made goods despite tensions. Airplane makers in Mainland China were sold off on the potential for a resurgence of purchases of US-made Boeing airplanes as a condition of a deal between China and the US. CNY has been highly resilient amid "Art of The Deal" tariffs, appreciating 0.8% versus the US dollar since April 2nd. Huawei has partnered with UB Tech to build humanoid robots. The collaboration will allow UB Tech, a robot manufacturer, to benefit from Huawei's newfound competency in the high-end chips required for training and maintaining AI systems. Humanoid robots are a recurring theme in China and in the markets. When visiting China, I am always impressed by the ubiquity of robots for cleaning and delivering room service. Mainland markets outperformed Hong Kong somewhat. Volumes were near the one-year average in both markets, as Mainland investors were rare net sellers of Hong Kong-listed stocks and ETFs. Mainland investors were net sellers of Tencent after the company released stronger-than-expected Q1 results yesterday, which included high profit margin expansion. The company's success in Q1 highlights the continuing strong consumer rebound in China because it derives a significant amount of its revenue from advertising and marketing services, which are often the highest margin segments of its business. % changes are year-over-year unless otherwise indicated. Alibaba Alibaba had a decent quarter, though it slightly missed estimates on net income and top-line revenue. Cloud growth accelerated significantly to 18% growth, driven by strong adoption of AI models, especially Alibaba's industry-leading Qwen. Company executives have mentioned the immense cross-selling opportunities for Alibaba Cloud as inference, i.e. large language models, become more mainstream. China commerce (Taobao & Tmall) increased 12% as 88VIP members, the high-spending category, have reached over 50 million. The company bought back $16.5 billion worth of shares during fiscal 2025, which ended 3/31/2025. NetEase NetEase had a strong beat on net income and a moderate beat on top line revenue for the first quarter of 2025. It is good to see that the reactivation of their games partnership with Microsoft is not curtailing margins. Games revenue accelerated quite forcefully to 15%. The company also boasts a strong games pipeline, with titles including MARVEL Mystic Mayhem, Destiny: Rising, and Ananta. NetEase's open world games will also likely benefit from its AI-enhanced non-player characters (NPCs). KE Holdings KE Holdings, which operates the 'Beike' online and brick-and-mortar real estate platform, which is akin to Zillow or Street Easy in the United States, reported first quarter results that missed significantly on top line revenue, but beat on net income. The recent uptick in China's real estate, especially new housing, market benefited KE's revenue growth, though not as much as analysts had expected. But, the uptick in new housing sales may have led to the better-than-expected margin. New Content Read our latest article: New Drivers For China Healthcare: AI Med-Tech Innovation, Cancer Treatment, & Favorable Balance of Trade Please click here to read Chart1 Chart2 Chart3 Chart4 Chart5 Chart6
The Sun
10-05-2025
- Business
- The Sun
Smile-Link banks on digital, AI tools for recovery & growth
SHAH ALAM: Smile-Link Healthcare Global Bhd, the parent company of Drs Wong and Partners Dental Surgeons, expects a modest recovery in the second half of 2025 through cost-cutting efforts, downsizing and upgrades in digital and artificial intelligence-powered dental tools. Managing director Datuk Dr Wong Ruen Yuan said this recovery also depends on macroeconomic factors such as interest rates and consumer disposable income. 'We do not expect revenue to improve in the first half of the year, as there's nothing particularly promising. 'The second half may improve, but any increase would likely be modest – around 5% to 10%. It will not be a dramatic jump. That said, we are seeing some encouraging signs,' he told SunBiz in an interview. Wong said Smile-Link's recovery is supported by international patients from Singapore, Hong Kong, China and Australia who are drawn to Malaysia's affordable and high-quality dental care. 'We get a lot of patients from overseas – around 10% to 20% of our revenue comes from them. Those who migrate from Malaysia to Australia or the UK, when they want to do treatment, return to Malaysia. Even patients from Singapore, where the cost of living and operating standards are significantly higher,' he said. These patients generally seek high-value dental procedures, such as implants and cosmetic treatments, rather than basic care. 'They typically do not visit for routine services, it is usually for more complex or specialised procedures,' Wong said. He rebutted the perception that Malaysia's dental care lags behind that of developed nations. 'There is a common belief that we are behind countries like Germany or the United States, but in reality, we offer comparable quality at just 20% of the cost.' Many overseas patients return for treatment because they trust the standards. 'There is a common perception that countries like Singapore or Thailand are regional leaders in healthcare. However, whether in medical or dental services, Malaysia upholds comparable standards. Even in prosthetics, we have advanced towards digital integration and AI-driven technologies,' Wong said. For example, Wong said, the group started digitalising patient records last year. 'Previously, we relied on handwritten records stored in the lab. We have now transitioned to the CLN system, which links all our clinics. This allows us to access a patient's records even if they were treated at a different branch,' he explained. He shared that the group has allocated between RM1.5 million and RM2 million this year for internal upgrades. 'Our focus is on upgrading our internal infrastructure, including replacing ageing dental equipment such as treatment chairs over a decade old, and ensuring all clinics are fully digitalised,' Wong said. He added that the group has no plans to open new clinics this year due to the lengthy break-even period and increasing pricing pressure from independent practitioners offering aggressive discounts. 'We cannot arbitrarily reduce our fees, as doing so would compromise service quality and sustainability. However, new solo practitioners often enter the market with lower pricing and frequent promotional offers, which puts pressure on the industry. As a result, expansion is not our immediate priority,' Wong said. He highlighted Smile-Link's integration of AI and digital tools to enhance treatment quality, reduce costs and improve operational efficiency. 'Given the current economic climate, patients are generally reluctant to pay more for treatment. However, by leveraging AI technology, we can reduce treatment time, enhance the quality of care, and lower material costs,' Wong said. Smile-Link posted a pre-tax profit of RM715,000 for the six months ended Dec 31, 2024 – a reversal from a RM3.99 million loss in the same period of the previous year. The improvement was primarily driven by cost-cutting measures, including selling underperforming clinics and ongoing internal restructuring efforts to enhance service quality and operational efficiency. However, revenue declined 17.7% year-on-year to RM15 million from RM18.2 million, mainly attributed to downsizing its clinic network, which was reduced from 86 to 60. The company remains focused on cost efficiency and service upgrades while working toward resolving its delayed audited financial statement submission and trading suspension on the LEAP Market. As of end-March, Smile-Link remained under trading suspension on the LEAP Market due to its failure to announce audited financial statements for the 18-month financial period ended June 30, 2024, by the Oct 31, 2024, deadline. The company replaced its previous external auditors, HLB Ler Lum Chew PLT, via extraordinary general meetings in January and appointed Messrs Ong and Wong as new auditors on March 13. Bursa Malaysia did not grant a time extension for the delayed filing, and the audit is ongoing. In line with LEAP Market Listing Requirements, the company is issuing monthly updates under Rule 6.14(3) until the matter is resolved.
The Sun
09-05-2025
- Business
- The Sun
Smile-Link Healthcare leverages digital shift, AI-powered tools to drive recovery, growh
SHAH ALAM: Smile-Link Healthcare Global Bhd, the parent company of Drs Wong and Partners Dental Surgeons, expects a modest recovery in the second half of 2025 through cost-cutting efforts, downsizing and upgrades in digital and artificial intelligence-powered dental tools. Managing director Datuk Dr Wong Ruen Yuan said this recovery also depends on macroeconomic factors such as interest rates and consumer disposable income. 'We do not expect revenue to improve in the first half of the year, as there's nothing particularly promising. 'The second half may improve, but any increase would likely be modest – around 5% to 10%. It will not be a dramatic jump. That said, we are seeing some encouraging signs,' he told SunBiz in an interview. Wong said Smile-Link's recovery is supported by international patients from Singapore, Hong Kong, China and Australia who are drawn to Malaysia's affordable and high-quality dental care. 'We get a lot of patients from overseas – around 10% to 20% of our revenue comes from them. Those who migrate from Malaysia to Australia or the UK, when they want to do treatment, return to Malaysia. Even patients from Singapore, where the cost of living and operating standards are significantly higher,' he said. These patients generally seek high-value dental procedures, such as implants and cosmetic treatments, rather than basic care. 'They typically do not visit for routine services, it is usually for more complex or specialised procedures,' Wong said. He rebutted the perception that Malaysia's dental care lags behind that of developed nations. 'There is a common belief that we are behind countries like Germany or the United States, but in reality, we offer comparable quality at just 20% of the cost.' Many overseas patients return for treatment because they trust the standards. 'There is a common perception that countries like Singapore or Thailand are regional leaders in healthcare. However, whether in medical or dental services, Malaysia upholds comparable standards. Even in prosthetics, we have advanced towards digital integration and AI-driven technologies,' Wong said. For example, Wong said, the group started digitalising patient records last year. 'Previously, we relied on handwritten records stored in the lab. We have now transitioned to the CLN system, which links all our clinics. This allows us to access a patient's records even if they were treated at a different branch,' he explained. He shared that the group has allocated between RM1.5 million and RM2 million this year for internal upgrades. 'Our focus is on upgrading our internal infrastructure, including replacing ageing dental equipment such as treatment chairs over a decade old, and ensuring all clinics are fully digitalised,' Wong said. He added that the group has no plans to open new clinics this year due to the lengthy break-even period and increasing pricing pressure from independent practitioners offering aggressive discounts. 'We cannot arbitrarily reduce our fees, as doing so would compromise service quality and sustainability. However, new solo practitioners often enter the market with lower pricing and frequent promotional offers, which puts pressure on the industry. As a result, expansion is not our immediate priority,' Wong said. He highlighted Smile-Link's integration of AI and digital tools to enhance treatment quality, reduce costs and improve operational efficiency. 'Given the current economic climate, patients are generally reluctant to pay more for treatment. However, by leveraging AI technology, we can reduce treatment time, enhance the quality of care, and lower material costs,' Wong said. Smile-Link posted a pre-tax profit of RM715,000 for the six months ended Dec 31, 2024 – a reversal from a RM3.99 million loss in the same period of the previous year. The improvement was primarily driven by cost-cutting measures, including selling underperforming clinics and ongoing internal restructuring efforts to enhance service quality and operational efficiency. However, revenue declined 17.7% year-on-year to RM15 million from RM18.2 million, mainly attributed to downsizing its clinic network, which was reduced from 86 to 60. The company remains focused on cost efficiency and service upgrades while working toward resolving its delayed audited financial statement submission and trading suspension on the LEAP Market. As of end-March, Smile-Link remained under trading suspension on the LEAP Market due to its failure to announce audited financial statements for the 18-month financial period ended June 30, 2024, by the Oct 31, 2024, deadline. The company replaced its previous external auditors, HLB Ler Lum Chew PLT, via extraordinary general meetings in January and appointed Messrs Ong and Wong as new auditors on March 13. Bursa Malaysia did not grant a time extension for the delayed filing, and the audit is ongoing. In line with LEAP Market Listing Requirements, the company is issuing monthly updates under Rule 6.14(3) until the matter is resolved.
