HIRISUN Financial Update: Stock Soars Amidst Strategic Moves

On September 3, 2025, HIRISUN (300277) experienced a significant surge, closing at a 20.03% increase with a final price of 15.46 CNY. The stock hit its daily limit at 9:40:54 AM and opened the limit eight times throughout the day, with a total limit duration of 2 hours, 29 minutes, and 15 seconds. The highest limit order volume reached 82,991.62 million, with current limit orders at 20,584 million, representing 0.86% of the actual circulating volume and 2.39% of the day’s trading volume.

Key Drivers Behind HIRISUN’s Surge

  1. Strategic Merger and Restructuring: HIRISUN announced a significant restructuring plan on June 24, 2025, involving a merger with Hangzhou Jiatong Power Group. This merger is expected to enhance the company’s profitability, with projected net profit margins of 8.69% and net asset returns of 6.21% for 2024. This strategic move is anticipated to significantly boost earnings.

  2. Industry Leadership in Power Information Systems: According to the semi-annual report released on August 28, 2025, HIRISUN has been focusing on power information system integration, offering comprehensive solutions for transmission and distribution network communications. The company enjoys high customer retention and strong entry barriers, maintaining a competitive edge in the industry.

  3. Government Ownership and Reform Expectations: As reported in the annual report on March 28, 2025, HIRISUN is ultimately controlled by the Hangzhou Municipal Government, with Hangzhou Municipal State-owned Capital Operation Co., Ltd. as the majority shareholder. This positions HIRISUN as a local state-owned enterprise, benefiting from government reform expectations.

Market Context and Capital Movements

On the same day, the broader market saw a decline, with the Shanghai Composite Index falling by 1.16%. The computer sector, to which HIRISUN belongs, was among the top three sectors experiencing the most significant declines, dropping by 2.71%. Despite this, HIRISUN stood out with a substantial increase in stock price.

Capital movements indicated a net outflow of 86.56 billion CNY from the computer sector, with HIRISUN being one of the few companies experiencing net capital inflow. Specifically, HIRISUN saw a net capital inflow of 13.07 billion CNY, ranking third in the sector after Yanshan Technology and Ziguang Group, which saw inflows of 32.30 billion CNY and 18.73 billion CNY, respectively.

Conclusion

HIRISUN’s stock performance on September 3, 2025, was driven by strategic restructuring, industry leadership, and government ownership, despite broader sectoral declines. The company’s merger with Hangzhou Jiatong Power Group and its strong position in power information systems are key factors contributing to its financial outlook. As always, investors should consider these developments in the context of market risks and conduct thorough research before making investment decisions.