Chengxin Lithium Group (002240) Q2 2025 earnings summary

Executive summary

• Revenue for H1 2025 was ¥1.61 billion, down 37.42% year-over-year due to lower lithium product sales and prices.

• Net loss attributable to shareholders was ¥841 million, a 349.88% decline year-over-year, mainly from falling lithium prices and inventory write-downs.

• The company focused on cost control, efficiency, and advancing key projects in Indonesia and Sichuan.

• Global lithium salt production capacity reached 137,000 tons/year, with significant expansion in Indonesia and ongoing resource development in Sichuan.

Financial highlights

• Operating income: ¥1.61 billion, down 37.42% year-over-year.

• Net loss: ¥841 million, compared to a loss of ¥187 million in H1 2024.

• Gross margin for lithium products: -3.72%, down 6.87 percentage points year-over-year.

• Operating cash flow: ¥178 million, down 56.7% year-over-year.

• Total assets: ¥22.4 billion, up 3% from year-end 2024.

• Net assets attributable to shareholders: ¥10.76 billion, down 10.51% from year-end 2024.

• R&D investment increased 48.9% year-over-year to ¥4.47 million.

Outlook and guidance

• The company will continue to expand lithium resource development, especially in Sichuan, Africa, and Argentina.

• Focus remains on cost control, efficiency, and scaling up new projects to enhance competitiveness.

• Plans to further increase lithium product capacity in line with market demand.