ND PAPER (02689) rose more than 4%, with the stock up 4.05% to HK$8.73 by the time of writing, recording a turnover of HK$73.77 million. The company recently issued a positive profit alert. Shenwan Hongyuan noted that ND PAPER's net profit for the first half of fiscal year 2026 reached RMB 2.15–2.25 billion, representing a year-on-year increase of 216%–231%. After excluding perpetual bond interest, net profit attributable to shareholders was RMB 1.95–2.05 billion, up 315%–337% year-on-year, exceeding market expectations. The brokerage attributed the strong performance to the significant benefits of the company's integrated pulp and paper strategy. By the end of the first half of fiscal 2026, ND PAPER possessed 5.43 million tons of wood pulp production capacity, with an additional 2 million tons of chemical pulp expected to commence operation in fiscal 2027. This increase in wood pulp self-sufficiency has provided a notable cost advantage. Since the second half of 2025, prices of containerboard, corrugated paper, and white cardboard have rebounded from their lows. The average price of containerboard increased by RMB 33 per ton to RMB 3,648 per ton, while white cardboard prices rose by RMB 309 per ton from the August low to RMB 4,239 per ton. With production capacities of 17.13 million tons for containerboard and corrugated paper and 3 million tons for white cardboard, ND PAPER is well-positioned to benefit from improving supply-demand dynamics in the industry. Although cultural paper prices have declined, stable profitability has been maintained thanks to the advantages of pulp and paper integration.