Fangda Special Steel Technology (600507) Q1 2026 earnings summary

Executive summary

• Revenue for Q1 2026 was RMB 3.999 billion, down 7.96% year-over-year, with net profit attributable to shareholders at RMB 107.92 million, a 56.89% decrease from the same period last year.

• Decline in profitability mainly due to lower gross margin on steel products and reduced profits from a key subsidiary.

Financial highlights

• Operating income: RMB 3.999 billion, down 7.96% year-over-year.

• Net profit attributable to shareholders: RMB 107.92 million, down 56.89% year-over-year.

• Operating cash flow: RMB 395.46 million, down 21.06% year-over-year.

• Basic and diluted EPS: RMB 0.047, down 56.48% year-over-year.

• Total assets at quarter-end: RMB 22.41 billion, up 14.98% from year-end 2025.

Outlook and guidance

• Management highlights ongoing volatility in steel product margins and market conditions, with continued focus on operational efficiency.