Shandong Hualu-Hengsheng Chemical (600426) investor relations material

Executive summary

• Q3 revenue was RMB 9,100,408,251.33, up 16.84% YoY; net income attributable to shareholders was RMB 818,185,550.29, up 1.63% YoY.

• 9M revenue rose 11.51% YoY to RMB 26,262,897,222.21; net income attributable to shareholders rose 33.58% to RMB 3,171,145,388.44.

• Higher prices for some products were cited as the main driver of 9M net income growth.

Financial highlights

• 9M total profit was RMB 4,114,578,488.15, up 28.48% YoY; net income attributable to shareholders, excluding non-recurring items, was RMB 3,160,496,388.59, up 34.16%.

• Q3 net income attributable to shareholders, excluding non-recurring items, was RMB 814,317,926.01, up 2.20% YoY.

• 9M non-recurring gains totaled RMB 10,648,999.85, including RMB 12,808,501.03 in government grants and RMB 3,225,822.01 in asset disposals, before offsets and taxes.

Key financial ratios and metrics

• 9M basic and diluted EPS were both RMB 1.148, up 33.33% YoY; Q3 basic and diluted EPS were both RMB 0.296, up 1.37%.

• Weighted average ROE was 9.21% for 9M, up 1.76 percentage points YoY; Q3 ROE was 2.34%, down 0.15 percentage points.

• Total assets were RMB 52,790,864,939.31 at quarter-end, up 7.35% from year-end; equity attributable to shareholders was RMB 35,755,695,337.28, up 8.09%.