This week, Hong Kong stocks will usher in a super week of earnings reports, a number of popular technology companies will be released. Before the specific earnings come out, let's take a look at what professional analysts have predicted for these upcoming earnings reports.

Kuaishou

Leading the way will be short-video platform operator Kuaishou. This Tuesday (Aug. 20), Kuaishou will report its results for the second quarter of this year.

Combining the forecasts of several brokerages, Kuaishou's revenue for the second quarter of this year is expected to be in the range of 30.046 billion yuan to 30.492 billion yuan (CNY, the same below), which, as a comparison, amounted to 27.744 billion yuan in the same period last year, that is to say, the year-on-year growth rate is 8.7% to 9.9%. If we just look at the median, revenue is expected to be 30.302 billion yuan, up 9.2 percent year-on-year.

Adjusted net income is expected to be in the range of $4.114 billion to $4.4 billion, an increase of 52.7% to 63.3% year-over-year. The median figure is $4.38 billion, an increase of 62.5% year-over-year.

Following the release of Kuaishou's earnings, analysts will be focusing on the company's live streaming business, e-commerce GMV, the latest changes in its advertising business (how artificial intelligence can boost advertising performance), and the latest operational and strategic guidance provided by Kuaishou's management.

It is worth noting that Kuaishou has been making a lot of moves in share buybacks in recent times.

According to Kuaishou's announcement on the Hong Kong Stock Exchange, the company spent approximately HK$49,997,600 to repurchase 1,134,000 shares on August 16th. Since August 8 the company has made repurchases for seven consecutive days, repurchasing more than 6.1 million shares in total, with a cumulative repurchase amount of HK$273 million. So far this year Kuaishou has carried out a total of 97 repurchases, repurchasing nearly 56 million shares, with a cumulative repurchase amount of about HK$2.6 billion.

Xpeng Auto

In addition to Crypto, Xpeng is also scheduled to release its second-quarter earnings on Tuesday.

According to analysts' average estimates, Xpeng will record a net loss of 1.64 billion yuan in the second quarter, narrowing from the same period last year (net loss of 2.8 billion yuan), but widening further from the first quarter (net loss of 1.37 billion yuan). Adjusted net loss is expected to be 1.48 billion yuan, significantly narrower than the 2.67 billion yuan recorded in the same period last year.

Xpeng's operating income in the second quarter is expected to grow 60 percent to 8.12 billion yuan, in line with the level of guidance previously given by the company (7.5 billion to 8.3 billion yuan). In the second quarter of this year, Xpeng delivered 30,207 vehicles, up 30 percent from a year earlier.

Analysts expect investors to pay close attention to Xpeng's third-quarter sales forecast, as well as more news related to the company's new model, the Mona M03.

Xpeng's Hong Kong shares fell 7.9 percent in the second quarter and have dropped 51 percent so far this year.

Xiaomi

Xiaomi will report its results for the second quarter of this year on Wednesday (August 21st).

Combining the forecasts of several brokerages, Xiaomi's mid-2024 revenue will be between 161.202 billion yuan and 164.733 billion yuan, an increase of 27.1% to 29.9% year-on-year. The median revenue forecast is 163.15 billion yuan, up 28.6% year-over-year.

On the earnings front, Xiaomi's adjusted net profit is expected to be between 10.841 billion yuan and 11.923 billion yuan, a year-over-year increase of 29.5 percent to 42.4 percent. The median forecasted adjusted net profit is 11.351 billion yuan, or a 35.6% year-over-year increase.

Analysts at the brokerage expect investors to focus on Xiaomi's auto gross margin performance, comments and guidance from Xiaomi's executives on recent operating performance.

Analysts at Goldman Sachs noted that they believe that Xiaomi's Internet of Things (IoT) business and electric vehicle business will drive the group's strong revenue growth. The bank believes that the strong profitability of Xiaomi's IoT business and Internet services business is expected to moderate the impact of the decline in gross profit from its smartphone business. Goldman Sachs also expects that gross profit from Xiaomi's electric car business should achieve positive growth in the second quarter.

A few days ago, Xiaomi Chairman and CEO Lei Jun, along with Group President Lu Weibing and Group Vice President Wang Xiaoyan, were live-streaming from the summer testing base in Turpan. In the live broadcast, Lei Jun said that on a recent trip to Europe, he and Lu Weibing and others visited manufacturers such as BMW, Ferrari, Lamborghini, Leica and others to explore the possibility of further cooperation. Lu Weibing said in the live broadcast, Europe in the process of new energy transition is much slower than China. xiaomi to the automotive market to have a sense of reverence, is studying when Xiaomi car into Europe.

On Thursday, NetEase, Bilibili, and Baidu will release their second quarter financial reports on the same day.

NetEase

NetEase will announce its performance on Thursday evening, and analysts expect the company's net profit to decline in the second quarter due to the impact of last year's exchange rate, investment returns, and its "Fantasy Westward Journey" game.

Based on predictions from multiple securities firms, NetEase's net profit for the second quarter is expected to be between 7.028 billion yuan and 7.632 billion yuan, a year-on-year decrease of 7.4% to 14.7%. The median forecast is 7.259 billion yuan, a year-on-year decrease of 11.9%.

In terms of revenue, the forecast is between 25.3 billion yuan and 26.863 billion yuan, an increase of 5.4% to 11.9% year-on-year. The median predicted revenue is 25.83 billion yuan, an increase of 7.6% year-on-year.

Analysts predict that investors will focus on the performance of NetEase's "Eternal Tribulation" and the company's management's guidance on online gaming operations.

Bilibili

Analysts predict that Bilibili is expected to achieve revenue of 6.09 billion yuan in the second quarter of this year, an increase of 14.81% year-on-year. It is expected that the company's earnings per share will be -1.46 yuan, with a year-on-year reduction of 61.0% in losses.

Morgan Stanley pointed out in its research report that the recent weak stock price of Bilibili is due to some investors taking profits due to the short-term momentum of mobile gaming, and believes that the company's fundamentals are still healthy.

JPMorgan Chase stated that Bilibili's game "Three Kingdoms: Conquering the World" achieved success in the second quarter and returned to the top ten in iOS gaming revenue, indicating that the company's gaming revenue still has great potential for growth. In addition, strong growth in mobile gaming and advertising revenue should enable the company to achieve breakeven in the third quarter of this year. The bank reiterated its "overweight" rating on Bilibili and expects the next quarter's performance to become the next stock price catalyst.

Baidu

In the financial report released on Thursday, Baidu will attract the attention of many investors.

Analysts predict that Baidu's revenue for the second quarter will be 34 billion yuan, unchanged from the same period last year. Expected earnings per share are 14.75 yuan, an increase of 4.12% year-on-year.

In the latest financial report, analysts and investors will focus on the company's progress in artificial intelligence and autonomous driving.

Goldman Sachs reported that in the past few weeks, the launch of Apollo Go, Baidu's automated travel service platform, was faster than expected. More cities, such as Shanghai and Beijing, now support the development of completely driverless cars and allow Apollo Go to call cars. Goldman Sachs believes that Apollo Go may make a significant contribution to Baidu's revenue in the short term, but the continuous expansion of the fleet size, mileage and the improvement of unit economics are important factors that deserve attention.

Tianfeng Securities pointed out in a research report that Baidu may not recover as expected due to the impact of macro consumption this year, and its advertising business may be under pressure. However, the widespread application of big language models is expected to drive the growth of Baidu's cloud business, with revenue expected to increase by 14% year-on-year to 5.1 billion yuan. In addition, along with the products and models released by the company, and the improvement of operation scale, Apollo Go is expected to achieve the goal of balance of revenue and expenditure in Wuhan within the year.