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In the second quarter of 2026, the profits of Chinese A-share listed companies witnessed a remarkable year-on-year surge of 25.7%, marking the highest growth rate since the corresponding period in 2021. This robust performance followed a notable double-digit decline in profits during the fourth quarter of 2025. Now, the companies have achieved positive growth for two consecutive quarters. The primary driving force behind this growth was companies associated with artificial intelligence. Specifically, the Growth Enterprise Market (GEM) saw a substantial 42% increase in profits. Moreover, 40% of the companies listed on the Science and Technology Innovation Board experienced an astonishing 370% rise in profits. Both segments significantly outperformed the overall market, showcasing the strong momentum in the tech-driven sectors.
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