Nanshan Aluminium International (2610) investor relations material

Executive summary

• Revenue for the six months ended 30 June 2026 was US$415.0 million, down 30.5% year-over-year due to a sharp decline in alumina prices.

• Net profit attributable to equity shareholders was US$62.7 million, a 74.8% decrease year-over-year, mainly from lower gross margins.

• Sales volume of alumina increased 15% to 1,296,000 tons, but average selling price dropped 39.5% to US$320/ton.

• The Group maintained stable operations and initiated the first phase of an Electrolytic Aluminium Project in Indonesia.

• An interim dividend of HK$0.16 per share was declared, down from HK$0.65 per share in the prior year.

Financial highlights

• Gross profit was US$65.5 million (gross margin 15.8%), down from US$303.9 million (50.9%) year-over-year.

• Other net income rose 183.2% to US$23.1 million, mainly from higher net foreign exchange gains.

• Administrative expenses increased 26.6% to US$17.0 million, driven by share-based payment expenses.

• Income tax expense fell 84.8% to US$6.6 million, in line with lower profits.

• Basic EPS was US$0.10, down from US$0.46 year-over-year.

Outlook and guidance

• Alumina market remains oversupplied short-term, but mid-term price stabilization is expected as inventories decline and demand recovers.

• The Group expects improved revenue and margins if alumina prices sustain their rebound.

• Strategic focus includes advancing the Electrolytic Aluminium Project and integrating upstream and downstream operations in Indonesia.