SHANGHAI, April 27 (Reuters) - China and Hong Kong stocks edged up on Thursday as investors continued to weigh geopolitical tensions and industrial profits data to gauge the pace of China's economic recovery in the midst of the earnings season.

** China's blue-chip CSI300 Index climbed 0.1% by lunch break, while the Shanghai Composite Index gained 0.2%.

** Hong Kong's benchmark Hang Seng Index was up 0.1%, while the China Enterprises Index dropped 0.2%.

** China's industrial firms' profits shrank at a slightly slower pace in January-March but the decline remained in double digits as the economy struggled to fully recover from the exit to the zero-COVID policy.

** Citi analysts said industrial profits print showed that despite a rebound in economic growth, demand for manufactured goods remained poor.

** Meanwhile, Chinese President Xi Jinping spoke to Ukraine's Volodymyr Zelenskiy on Wednesday for the first time since Russia's invasion of Ukraine, fulfilling a longstanding goal of Kyiv which had publicly sought such talks for months.

** "Chinese local investors are positive on President Xi Jinping's phone call with Ukraine leader and plans to send a delegation to the war-torn country," UBS wrote in a note.

** However, tensions with the United States continued as U.S. Commerce Secretary Gina Raimondo said that Chinese cloud computing companies like Huawei Cloud and Alibaba Cloud could pose a threat to U.S. security and vowed to review a request to add them to an export control list.

** Tech stocks traded in Hong Kong dropped 0.8%, with Alibaba and Tencent down 2.4% and 1.6%, respectively.

** Meanwhile, financials and property stocks outperformed, up 1.1% and 0.8%, respectively.

** In China, sector performances were mixed, with healthcare themes up 1.7%, and the media shares down 3.8%. (Reporting by Shanghai Newsroom; Editing by Sohini Goswami)