By Yifan Wang
Shares of Sinotruk and Weichai Power rallied after the companies issued positive profit alerts.
Sinotruk, a Chinese heavy-duty truck maker, rose as much as 13% on Monday and was recently 9.7% higher at 16.70 Hong Kong dollars (US$2.13). Weichai Power, which manufactures engines for trucks and other vehicles, advanced 6.1% to HK$12.18.
The gains came after both companies guided for sharply higher first-half profits, as activity in China’s heavy-duty truck sector picked up, driven by a domestic sales recovery and surging demand overseas.
For the first half of 2023, Sinotruk said net profit could rise by 80% or even double from a year earlier, while Weichai Power estimated a 50%-70% increase in net profit.
Write to Yifan Wang at [email protected]
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