CSC Financial (6066) investor relations material

Executive summary

• H1 2025 saw contrasting results: one company reported revenue of RMB16,280 million (up 14.19% YoY) and net profit of RMB4,509 million (up 57.77% YoY), while another reported revenue of ¥170.16 million (down 12.37% YoY) and net profit of ¥24.63 million (down 58.95% YoY).

• Operating profit for the first company rose 67.10% YoY to RMB5,322 million, with basic EPS up 73.33% to RMB0.52; the second company saw basic EPS fall 69% to ¥0.31.

• The first company proposed an interim cash dividend of RMB1.65 per 10 shares, while the second distributed ¥2 per 10 shares.

• The first company completed no major investments or asset disposals, while the second completed major plant projects and received five new invention patents.

• Both companies faced significant changes in business mix and profitability, with one experiencing strong growth and the other a sharp decline in high-margin sales.

Financial highlights

• The first company’s total assets reached RMB612,364 million (up 8.11%), equity attributable to holders was RMB109,795 million (up 3.12%), and net cash flow from operations was RMB45,046 million; the second company’s operating cash flow was -¥34.10 million.

• The first company’s gearing ratio rose to 76.15%; the second’s asset-liability ratio was 43.46%.

• The first company’s net assets per share increased to RMB14.15; the second’s current ratio was 1.67.

• The first company’s risk coverage ratio was 244.21% and capital leverage ratio 16.43%.

• The second company’s accounts receivable turnover was 0.48.

Outlook and guidance

• The first company aims to deepen capital market reforms, enhance professional capabilities, and accelerate digital transformation; the second focuses on product innovation, cost optimization, and R&D investment.

• The first company plans to expand cross-border business and strengthen customer service; the second terminated a major biodegradable plastics project due to weak demand.