XIMEI RESOURCES (09936) jumped more than 10% during Tuesday morning trading, before easing to an 8.88% gain at HK$15.20, with turnover reaching HK$10.12 million.

On the news front, the company recently posted interim results, with first-half revenue climbing 52.25% year-on-year to RMB 1.453 billion, while net profit attributable to shareholders surged 101% to RMB 185 million.

According to analysts, the company stands to benefit significantly from structural demand tailwinds across computing power, optical modules, superconductors, and the aerospace sector. Tantalum prices have risen sharply in the first half of 2026, driven by tighter raw material supply and growing downstream demand from AI servers, semiconductor sputtering targets, and aerospace high-temperature alloys.

On the niobium front, supply from Brazilian mines remains constrained, while robust demand from traditional ceramics and optical industries, coupled with increasing upstream material needs for thin-film lithium niobate in AI high-speed optical communications, keeps prices elevated within a high range. Against this backdrop of rising volumes and prices, the company's gross margin expanded by 1.7 percentage points year-on-year to 25.4%.