China Hainan Rubber Industry Group (601118) Q1 2025 earnings summary

Executive summary

• Revenue for Q1 2025 reached ¥10.04 billion, up 23.3% year-over-year, driven by higher rubber product prices and increased gross margin.

• Net loss attributable to shareholders narrowed to ¥108 million from ¥161 million in Q1 2024, reflecting improved profitability.

• Operating cash flow surged 130.41% year-over-year to ¥444 million, mainly due to higher net inflows from goods trading.

Financial highlights

• Gross margin improved as rubber product prices rose, boosting operating profit.

• Basic and diluted EPS improved to -¥0.0253 from -¥0.0377 year-over-year.

• Total assets increased 3.69% to ¥37.40 billion compared to year-end 2024.

• Shareholders’ equity decreased slightly by 0.83% to ¥9.76 billion.

• Adjusted net loss (excluding non-recurring items) was ¥99 million, an improvement from ¥158 million loss last year.

Outlook and guidance

• Management attributes improved results to rising rubber prices and expects continued positive impact if market conditions persist.