Henan Huanghe Whirlwind Co Ltd

On the afternoon of August 25, the lab-grown diamond concept surged, with Huanghe Whirlwind hitting its daily limit up, and Huifeng Diamond, Sifangda, Guojigong, and Liliang Diamond also rising. On the news front, a research report from an institution mentioned that diamond, with its ultra-high thermal conductivity, has become a core heat dissipation medium, and it is expected that by 2030 the penetration rate of diamond heat dissipation in data centers will rise from 0.1 percent in 2025 to 12 percent, expanding the market size by 240 times. Huanghe Whirlwind is the only domestic company to achieve mass production of 8-inch CVD diamond heat sinks, breaking the monopoly of overseas companies. Currently, the company has sufficient orders in hand for MPCVD diamond heat sinks, with production lines running at full capacity and full production and sales, and the large-size heat sinks it produces have passed verification by leading domestic companies. Recently, its subsidiary Henan Fengyouchuang Material Technology Company officially signed a sales contract for single-crystal diamond heat sinks with an overseas leading company, and the company's products have officially entered the international top-tier semiconductor supply chain. Fengyouchuang is a joint venture established by Huanghe Whirlwind and Shenzhen Youpulai, focusing on the mass production of MPCVD diamond heat sinks. In February this year, it put into operation the first domestic 8-inch diamond heat sink production line and plans to launch a share reform to introduce strategic investors. According to the latest plan, Huanghe Whirlwind will invest 2 billion yuan within three years, equip 300 MPCVD machines, and ultimately achieve an annual output of 150,000 large-size diamond heat sinks. As orders are further fulfilled, the company's performance is approaching a turning point from losses to profits.

Power Diamond reported first-half 2026 revenue of 438 million yuan, up 80.94% year-on-year, with net profit attributable to shareholders of the listed company reaching 90.08 million yuan, a year-on-year surge of 247.61%. The earnings recovery was mainly driven by the cultivated diamond business defying the off-season, with large-grain diamond product revenue hitting 297 million yuan, up 141.93% year-on-year, and gross margin rising to 34.87%. The company also announced it will redirect approximately 1.028 billion yuan in unspent raised funds originally earmarked for cultivated diamond capacity expansion entirely into a diamond functional materials production and R&D project, pivoting to produce high-end products such as heat-dissipation materials and optical materials. Peer company North Industries Red Arrow expects to swing to a profit in the first half, while Huanghe Whirlwind has narrowed its losses, both citing improvement in the cultivated diamond business. However, Power Diamond's non-recurring net profit base remains low, gross margin for its diamond micropowder business fell 30.84% year-on-year, and the transition to functional materials still faces uncertainties in moving from the lab to large-scale production.

In early trading on July 6, the three major A-share indices opened collectively higher, with the Shanghai Composite Index up 0.30%, the Shenzhen Component Index up 0.65%, and the ChiNext Index up 0.57%. Precious metals concept stocks rose rapidly, with Hunan Silver, Shanjin International, and Chifeng Gold among the top gainers. Nonferrous metals concept stocks were active, with Baiyin Nonferrous, Huanghe Whirlwind, and Yongshan Lithium hitting limit up. The innovative drug sector was also active, with Sanyuan Gene and Hotgen Biotech surging over 10%, after the National Medical Products Administration sought public comment on optimizing the review and approval of cell and gene therapy drugs, proposing to include eligible drugs in a 30-day review channel. JPMorgan expects gold to remain range-bound in the short term before rebounding, with an average price of 4,300 US dollars per ounce in the third quarter of 2026 and 4,500 US dollars per ounce in the fourth quarter, maintaining a long-term bullish view.