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China Oriental Group Company (581) investor relations material
China Oriental Group Company H1 2026 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Revenue for H1 2026 was RMB18.22 billion, down 8.3% year-over-year, mainly due to subdued steel demand and lower sales volumes.
Net profit rose 3.2% to RMB251 million, supported by cost controls, reduced provisions, and JV profit contributions.
EBITDA decreased to RMB1.01 billion from RMB1.07 billion year-over-year.
Basic EPS increased to RMB0.06 from RMB0.05 in H1 2025.
No interim dividend was declared for H1 2026.
Financial highlights
Gross profit fell to RMB785 million (down 16.3%) or RMB948 million (down 23.7%), with gross margin declining to 6.6% from 7.8%.
Adjusted profit (excluding non-recurring items and impairments) was RMB322 million, down from RMB386 million year-over-year.
Sales volume of self-manufactured steel products was 3.96 million tonnes, down 1.0% year-over-year.
Average selling price per tonne of steel was RMB2,995, nearly flat year-over-year.
Cash and cash equivalents were RMB3.84 billion; current ratio remained at 1.2x.
Outlook and guidance
Management expects a moderate global economic recovery and gradual steel market improvement in H2 2026, aided by policy support and supply discipline.
Steel market is anticipated to remain in a strong supply/weak demand pattern, but with no risk of sharp consumption decline.
Focus remains on green transformation, digitalisation, product R&D, and high-value product development.
- Net profit rose 30.2% to RMB292 million despite a 5.9% revenue drop, with higher steel sales and margins.581
H2 2025 - Net profit dropped 55.4% despite higher revenue and gross profit, reflecting industry headwinds.581
H1 2024 - Returned to profit in 2024 with higher margins and launched a major JV with ArcelorMittal.581
H2 2024 - Net profit nearly doubled despite lower revenue, driven by cost control and green initiatives.581
H1 2025
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