Shares of CIG (06166) reversed earlier losses to climb more than 7% in afternoon trading. By press time, the stock was up 6.06% at HK$147, with a turnover of HK$1.267 billion. The upturn is attributed to robust demand for high-speed optical connectivity in data centers, driven by the ongoing global expansion of AI computing infrastructure. During an earnings briefing, the company stated its current annualized production capacity for optical modules stands at 3.5 million units. It highlighted strong order demand for its high-speed optical modules and confirmed active efforts to expand production facilities both domestically and internationally to ensure timely delivery of 800G and 1.6T products. Notably, CIG has proactively established a multi-dimensional supply chain safeguard system. The company maintains reasonable reserves of core materials, enabling it to effectively manage supply chain fluctuations. Its current production capacity is operating at a high utilization rate, supporting its ability to deliver products according to schedule. While the company is advancing its capacity expansion plans, industry-wide material supply constraints persist and remain somewhat unpredictable.