Huaxin Cement (600801) investor relations material

Executive summary

• Revenue for H1 2026 reached RMB 19.50 billion, up 21.5% year-over-year, with net profit attributable to shareholders at RMB 1.71 billion, up 55.22%.

• Overseas business drove growth, with overseas cement and clinker sales up 57.06% and revenue up 41.85%.

• Gross margin improved by 2.63 percentage points to 31.55%, with cement and clinker margin at 34.59%.

• Cash flow from operations increased 65.86% year-over-year to RMB 2.69 billion.

Financial highlights

• Operating income: RMB 19.50 billion (+21.5% YoY).

• Net profit attributable to shareholders: RMB 1.71 billion (+55.22% YoY).

• EBITDA/Total debt ratio: 0.22 (up 120% YoY).

• Basic EPS: RMB 0.83 (+56.60% YoY); diluted EPS: RMB 0.80 (+53.85% YoY).

• Gross margin: 31.55% (+2.63pp YoY); cement and clinker margin: 34.59% (+4.36pp YoY).

• Cash flow from operations: RMB 2.69 billion (+65.86% YoY).

Outlook and guidance

• Domestic cement demand expected to remain under pressure due to weak fixed asset investment and real estate downturn.

• Overseas markets, especially in Africa, Southeast Asia, and South America, expected to maintain growth momentum.

• Company will continue to focus on cost control, digital transformation, and green/low-carbon initiatives.