Shares of KB Laminates (01888) extended their rally, climbing more than 5% at one point before settling 3.19% higher at HK$46.60, with turnover reaching HK$1.339 billion. The move comes as the copper-clad laminate (CCL) leader issued its latest price increase notice.

According to the notice, effective immediately, the company will uniformly raise prices by 10% on all FR-4 copper-clad laminates regardless of thickness. Meanwhile, PP prepreg prices will be adjusted by specification, with thicker fabric PP (7628 and above) up 10% and thinner fabric PP (below 7628) up 20%. This marks the seventh price hike announcement from KB Laminates this year, maintaining a near-monthly cadence since March.

Preliminary calculations show that for FR-4 CCL products (1.3mm and above in thickness), the cumulative increase—calculated on a compound basis—has already surpassed 100%.

Adding to the bullish sentiment, KB Laminates Chairman Cheung Kwok Wah recently stated that driven by AI demand, the company will continue significant capacity expansion through 2027–2028. Plans include a 15% increase in yarn capacity, a 5% rise in glass fabric output in the short term (increasing to 10% next year), and a 10% expansion in CCL capacity next year. Cumulative capital expenditure through 2028 is projected at approximately HK$9 billion, fully funded by internal earnings without the need for external financing.

The chairman expressed strong optimism regarding AI-driven demand for glass fabric and CCL over the next two years, expressing confidence that both KB Laminates and its parent group will each surpass the HK$10 billion profit mark this year.