Shanghai Film Co., Ltd. (601595.SH) said on the evening of November 11 that its AI video-related business is still in an early investment stage and, as of the end of October, accounted for less than 0.5% of revenue, which it said would not materially affect results.
In a stock-trading abnormal-fluctuation and risk-warning announcement, the company said it had noted that the market was treating it as an AI video concept stock. It said production and operations had not undergone major changes. Its main businesses are film publicity and distribution, cinema operations, and full-chain IP development. It said it had found no other media reports, market rumors, or hot-concept matters that might or already had a large effect on the share price, and asked investors to note investment risks.
Since the start of November, the shares had risen for eight consecutive trading days and recorded four daily limit-ups in that span, for a cumulative gain of more than 70%. Over the most recent four sessions the stock posted three limit-ups, including consecutive limit-ups on November 10 and 11. The company said the shares had hit the daily limit three times since November 5 and triggered abnormal-trading thresholds: the cumulative closing-price deviation over November 5, 6, and 9 reached 20%, and the stock limit-up again on November 10. The month-to-date gain was 70.29%, above the film-industry average, and the company flagged a risk of a pullback. Turnover on November 11 was 6.97%. Average daily turnover over the prior five sessions was 5.93%, above the 3.84% average of the preceding ten sessions.
The company had already issued a trading-risk warning on November 10 and an abnormal-fluctuation notice on November 9. Both said that, apart from matters already disclosed, it had no other material information that should have been disclosed but was not.
Cinema exhibition remains its traditional core business. The company said current operations are normal and the internal and external operating environment has not changed materially. Citing its 2026 third-quarter report disclosed on October 31, it said first-three-quarter revenue was 499 million yuan, down 30.96% year on year, and net profit attributable to the parent was 18.514 million yuan, down 86.72%, amid a broader downturn in the film industry. It asked investors to watch the risk of earnings volatility.
Public information cited in the report says Shanghai Film was established in July 2012 through the overall restructuring of Shanghai Oriental Film Distribution Co., Ltd. Its controlling shareholder is Shanghai Film (Group) Co., Ltd., and its actual controller is the Shanghai State-owned Assets Supervision and Administration Commission. It listed on the Shanghai Stock Exchange A-share main board on August 17, 2016, among the first state-owned film and television companies to enter the capital market. The company says it has built a “3+1+X” structure around film distribution, cinema operations, and IP operations, with industry-finance integration as strategic support and innovation incubation for new growth.
At its 2026 interim results briefing in late September, management said the company treats AI and other frontier technologies as an engine for industrial upgrading and is using its own classic IP for an “IP+AIGC” refresh. An AIGC comic-adapted wuxia film it co-produced, Shanzhu Dao (山竹刀), went online in early September. The company said creative teams have built an AIGC production chain covering script, storyboard, art, generation, editing, quality control, and delivery. It has also deepened cooperation with Jimeng AI and Volcano Engine: after co-creating AIGC content for Tongmeng Huweidui (童梦护卫队) with Seedance 2.0, it internally tested and first released Seedance 2.5 and put out the AIGC short Wo Keneng Quezhen Wei Huluwa (我可能确诊为葫芦娃).
A Guotai Haitong Securities research report, as cited in the article, said AI video is extending from short dramas toward higher-quality long dramas and films and that content supply may continue to expand. It said AI video models are shifting production from traditional live-action shooting toward generative production, cutting costs and shortening cycles, with overall industry production costs falling from 300,000 yuan per title to 50,000 yuan per title, and that value in the chain may shift toward IP and platforms. These are the brokerage’s views.
According to Dazhihui VIP, Shanghai Film closed limit-up on November 11 at 46.83 yuan per share. On a forward-adjusted basis the close was a record high, and the market capitalization was 21 billion yuan.
Original article: https://m.thepaper.cn/newsDetail_forward_34454802
