HK Stock Connect Watch | HUAYAN ROBOTICS (01021.HK) Down Over 30% Since Stock Connect Inclusion; 45.2656 Million Cornerstone Shares Unlocked on September 29

On October 16, 2026, HUAYAN ROBOTICS rebounded intraday, quoted at HKD 6.980 as of 11:22, up 4.57% on the day, with turnover of about HKD 13.89 million and total market capitalisation of about HKD 3.888 billion at the latest price. The stock touched an intraday high of HKD 7.160 and a low of HKD 6.850, with an amplitude of 4.64%.

Looking at recent trends, HUAYAN ROBOTICS' share price moved in a one-way decline over the past week (October 9 to 16, including today's intraday price).And touched an all-time low of HKD 6.660 intraday on October 15 before rebounding today.

It is understood that on September 7, 2026, a new round of regular Stock Connect adjustment took effect. The number of Hang Seng Composite Index constituents rose from 534 to 580, and HUAYAN ROBOTICS (01021.HK) was included and accordingly admitted to Stock Connect. The Shanghai and Shenzhen stock exchanges released the adjusted Stock Connect eligible securities lists on September 4 and September 7 respectively.

Public information shows that HUAYAN ROBOTICS listed on the Main Board of HKEX on March 30, 2026 at an offer price of HKD 17.000, offering about 92.9026 million H shares globally and raising gross proceeds of about HKD 1.579 billion, with net proceeds of about HKD 1.478 billion. It is an H-share listing, with the Hong Kong public offer 5,059.38 times oversubscribed and a 5% allotment rate for one-lot applicants; the international offering was 16.65 times oversubscribed. The listing introduced nine cornerstone investors, including HHLR (Hillhouse), GF Fund and Morgan Stanley, subscribing for about USD 98.4 million (about HKD 770 million), or 45.2656 million shares, representing about 8.61% of the post-offering issued H shares.

On its first trading day, the share price opened lower and closed higher, up 8.24% at HKD 18.400, giving a market capitalisation of HKD 10 billion; the next trading day it fell back 5.98% to close at HKD 17.300.

At present, since its listing on March 30, 2026, the share price has risen from the offer price of HKD 17.000 to a peak of HKD 25.120 intraday (April 23, 2026), and is now more than 72% below that peak. Since being admitted to Stock Connect on September 7, 2026, the share price has fallen 30.3%; on the effective date itself, the stock closed at HKD 10.010, up 9.04% on the day, with turnover of HKD 66.87 million, and on September 11 it surged as much as 79% intraday to HKD 16.79 before reversing downward. Market capitalisation had fallen to about HKD 3.888 billion as at October 16 intraday, less than 40% of the HKD 10 billion first-day close.

It is understood that Hang Seng Indexes Company announced on August 21, 2026 the semi-annual review results as at June 30, 2026, under which HUAYAN ROBOTICS was included in the Hang Seng Composite Index, with constituent changes effective from September 7, 2026.

HUAYAN ROBOTICS' basis for inclusion lies first in its inclusion in the Hang Seng Composite Index, which gives it the index identity of a Stock Connect eligible security. Second, the company's market capitalisation around the June 30, 2026 review cut-off remained within the market capitalisation coverage range for inclusion in the Hang Seng Composite Index, with newly listed companies listed for less than 12 months having market capitalisation calculated on their actual time since listing. In addition, securities admitted in this adjustment are concentrated in artificial intelligence, robotics and automation and other directions, and HUAYAN ROBOTICS, as a collaborative robot and embodied-intelligence core motion components play, is consistent with this structural direction.

(The above is an inference based on public rules and data, not an official determination by the exchanges. The specific reasons for inclusion are subject to the exchange announcements.)

Although HUAYAN ROBOTICS' admission to Stock Connect provides institutional conditions for broadening the company's channels for southbound capital participation and improving liquidity, the swing to an interim loss and the sustained share price decline since inclusion have occurred at the same time.

It is worth noting that the six-month lock-up periods of the nine cornerstone investors, which together hold 45.2656 million H shares, expired on September 29, 2026, and the relevant shares became tradable from September 30.

Public information shows that HUAYAN ROBOTICS, founded in 2017, focuses on the research and development, production and sales of collaborative robots and core motion components. Its collaborative robot products are divided into the E series and S series, both integrating the self-developed HRC embodied-intelligence control platform. According to Frost & Sullivan, measured by overseas revenue, the company is China's largest collaborative robot exporter, and by 2024 revenue it was the second-largest collaborative robot company in China and among the top five globally. Its core motion components cover frameless torque motors, high-performance servo drives, humanoid robot joint modules and seven-axis humanoid arms, with core motion components contributing 23.13% of main business revenue in the first half of 2026. The company has supplied embodied-intelligence core motion components in volume to dozens of domestic and foreign humanoid robot manufacturers including AgiBot, EngineAI, Zhiyuan-challenger and Galbot.

Financially, the company's revenue has maintained rapid growth: revenue in 2023 to 2025 was HKD 193.5 million, HKD 335.2 million and HKD 428.3 million respectively. The company recorded a net profit attributable to shareholders of HKD 19.30 million in 2024, swinging to profit, but turned to a loss of HKD 33.12 million in 2025. In the first half of 2026, revenue was HKD 200.4 million, with a net loss attributable to shareholders of HKD 65.52 million, exceeding the full-year 2025 loss; the gross margin fell from 37.6% in 2025 to 32.26%. After listing, the debt-to-asset ratio stood at 8.58% as at the end of June 2026, with cash and cash equivalents of about RMB 995.6 million at the end of the period.

On product and business developments, HUAYAN ROBOTICS' embodied-intelligence business continued to ramp up during the year: in September, according to public reports, the company signed a three-year framework contract with a leading European humanoid robot company, worth about USD 100 million in total, covering collaborative robot units as well as motors, joint modules and humanoid arms developed for humanoid robots; its core motion components have been supplied in volume to dozens of domestic and foreign humanoid robot manufacturers including AgiBot, EngineAI, Zhiyuan-challenger and Galbot; and the interim report disclosed on September 22 showed that collaborative robots contributed 76.34% of revenue and core motion components 23.13% in the first half of 2026, with overseas revenue accounting for 15.27%.

The collaborative robot market is entering a stage of scale-driven volume growth. According to Frost & Sullivan (the industry consultant to the company's listing documents), the global collaborative robot market grew from RMB 2.5 billion in 2020 to RMB 7.5 billion in 2024, a compound annual growth rate of 32.0%, and is expected to reach RMB 35 billion by 2029, a compound annual growth rate of 37.4% from 2025. The European market grew from RMB 1.1 billion in 2020 to RMB 2.9 billion in 2024, and is expected to reach RMB 9.4 billion by 2029, a compound annual growth rate of 26.5% from 2025.

BOCOM INTL noted in a research report that HUAYAN ROBOTICS has grown from a single-product collaborative robot body manufacturer into a platform-type robotics company built on its collaborative robot scale base and core motion components and motion control capabilities, which is one of the biggest gaps in current market expectations.

Data source: HKEX, Hang Seng Indexes Company, Wind, East Money; not investment advice; data as at 11:22 on October 16, 2026 (intraday).