As the world becomes more globalised and financial markets evolve, investors are looking beyond local stocks.
Now, it is more convenient than ever for Singaporean investors to tap into Hong Kong or Thai-listed companies through Singapore Depository Receipts (SDRs) on the Singapore Exchange (SGX: S68), or SGX.
Zooming into the Hong Kong space, here are three Hong Kong SDRs that we have singled out for their growth potential and strong earnings.
Semiconductor Manufacturing International Corporation (SGX: HSMD)
Semiconductor Manufacturing International Corporation or SMIC is one of the world’s largest semiconductor producers specialising in advanced chip manufacturing.
In the second quarter of 2025 ending 30 June 2025 (2Q 2025), SMIC reported a growth in revenue of 16.2% YoY to US$2.2 billion.
There was a fall in net profit in 2Q 2025 as compared to the same quarter of the previous year.
However, this is not due to inefficiencies in its business model as the fall mainly came from the plunge in non operational income streams.
In fact, SMIC’s profits from operations surged by 72.9% YoY to US$151 million.
This surge can be attributed to a climb in wafer shipments by 13.2% YoY to 2.4 million.
Moreover, the facility’s utilisation rate saw a boost by about seven percentage points to 92.5%.
On 5 June 2025, SMIC announced that they sold a 14.8% stake in its subsidiary, SMIC Ningbo, to Shenzhen-based Goke Microelectronics.
This sale provides the firm with more capital for research and development and to focus on high-end chip manufacturing.
JD.com Inc (SGX: HJDD)
JD.com is one of China’s biggest supply chain solutions and e-commerce companies.
In 1Q 2025, JD reported an increase in revenue of 15.8% YoY to RMB301.1 billion.
The firm also saw net profit rise by 53.5% YoY to RMB10.9 billion.
Management stated that this robust performance was driven by improved consumer sentiment and continued enhancement in JD’s offerings.
JD’s retail segment deepened its partnership with digital product manufacturers like Xiaomi (SGX: HXXD).
These collaborations are aimed at product innovation to improve user experience and provide more intelligent product offerings.
In JD’s healthcare segment, the company also rolled out its medical AI applications.
JD Health Online Hospital saw more than 80% of its medical service aided by AI and achieved a customer satisfaction rate of 91%.
On 30 July 2025, JD announced a voluntary public takeover offer to acquire Ceconomy AG.
Ceconomy AG is the parent company of some of Europe’s largest consumer electronic retailers MediaMarkt and Saturn.
This acquisition helps to establish JD.com as a leading omni-channel platform for next-generation consumer electronics in Europe.
Alibaba Group (SGX: HBBD)
Alibaba is a China-based global tech powerhouse specialising in cloud computing services and e-commerce.
In the fourth quarter of fiscal year 2025 ending 31 March 2025 (4Q FY2025), Alibaba reported a revenue growth of 7% YoY to RMB236.5 billion.
Furthermore, the company saw a 13-fold YOY rise in net profit to RMB12 billion.
Although this surge is mainly from successful equity investments, Alibaba still delivered strong earnings from its business operations.
The Alibaba International Digital Commerce Group (AIDC) was one segment that performed especially well.
The AIDC group saw a 22% YoY uptick in revenue to RMB33.6 billion.
This uptick was from a higher volume of cross-border businesses and improved operational efficiency.
Aliexpress and Trendyol, two of the e-commerce platforms under AIDC, were also expanding their product offerings and breaking into different markets.
For 4Q FY2025, the Cloud Intelligence Group was also a contributor to the firm’s overall performance with a climb in revenue of 18% YoY to RMB30.1 billion.
This increase was contributed by the boost in the adoption of AI-related products.
In April 2025, the group released Qwen3, a new generation hybrid AI reasoning model.
This model gave enterprises and developers an efficient and cost effective way to create new applications.
On 27 May 2025, Alibaba Group announced a partnership with SAP SE (NYSE: SAP).
SAP provides enterprise software for businesses to aid them in their digital transformation efforts.
The partnership involves integrating SAP’s Integrated Business Planning tools into Alibaba’s cloud infrastructure and AI capabilities.
This is so that businesses who use the platform will get better quality and personalised enterprise software services.
For Alibaba, this partnership helps to expand its enterprise client base and establish itself as a key enabler of digital transformation.
Get Smart: Seizing opportunities with leading China companies
These three Hong Kong SDRs offer a gateway for Singapore investors to diversify their portfolios.
With a solid footing in emerging technology and e-commerce, these companies are set to benefit from China’s growing global presence.
Smart investors should keep an eye on these stocks to stay connected to the broader investment landscape.
How do rich Singaporeans invest when volatility hits?
They turn to companies with cash, history, and discipline. This free report highlights 5 blue chips that deserve your attention. Get your copy here and see who made the list.
Follow us on Facebook, Instagram and Telegram for the latest investing news and analyses!
Disclosure: Gabriel Lim does not own shares in any of the companies mentioned.
