MAOYAN ENT (01896) surged over 4%, rising 4.77% to HK$8.12 with trading volume of HK$57.1012 million as of press time.

According to statistics from the National Film Administration, the 2025 summer season (June 1 to August 31) generated box office revenue of 11.966 billion yuan with 321 million cinema visits, representing year-on-year growth of 2.76% and 12.75% respectively. Domestic films accounted for 76.21% of box office revenue, exceeding the same period last year.

Huatai Securities noted that the summer season box office of 11.966 billion yuan grew 2.8% year-on-year, indicating industry recovery. The summer season saw 2 films crossing the 1 billion yuan threshold, matching last year's count with "Nanjing Cinema" and "Monster of Langya Mountain," though this remains below historical levels, reflecting the ongoing market recovery process.

Huachuang Securities pointed out that the film market has shown significant marginal improvement since July. As a leading participant, the company has a robust pipeline including "L.O.R.D: Legend of Ravaging Dynasties 2" (October 1), "Panda Plan 2" (October 1), "Life Waves" (December 31), "Anonymous Kill" (December 31), and "Pegasus 3," among other individual titles awaiting release. Expectations are high for their performance upon launch. Regarding live entertainment, the industry continues to grow, and the company is actively capturing market share with ongoing developments worth monitoring.

The firm believes that 2025 films are expected to enter a new product cycle, and they are optimistic about industry recovery. They remain positive about MAOYAN ENT's sustained competitive advantages in film-related business, expecting rapid recovery alongside the overall market. Meanwhile, live entertainment ticketing is expected to contribute as a second growth curve.