H&H International Holdings (01112) surged more than 13% in afternoon trading. As of the time of writing, the stock was up 6.96%, trading at HK$14.14 with a turnover of HK$91.9716 million. On the news front, the National Bureau of Statistics recently announced China's 2025 birth population was 7.92 million. CLSA pointed out that the number of births was lower than expected, implying that competition in the infant formula market will intensify. For companies, product structure and sales momentum are crucial. As the 2024 birth peak gradually transitions demand towards Stage 3 products, companies with a stable customer base in Stage 1 and Stage 2 products that can win consumer trust are believed to be better positioned to benefit from existing customers extending their purchases to Stage 3 products. Public information shows that Biostime, as the core maternal and child nutrition brand of H&H International Holdings, has been dedicated to the field of infant nutrition and health since its establishment in 1999. Founder Securities stated that the company's infant formula sales increased by 10.0% year-on-year in the first half of 2025, significantly outperforming the industry average, primarily driven by strong sales performance of Stage 1 and Stage 2 infant formula. Haitong International also noted that infant formula milk powder has become the biggest growth engine for the BNC business.