Henan Shenhuo Coal Industry and Electricity Power (000933) H1 2025 earnings summary

Executive summary

• Revenue for H1 2025 reached ¥20.43 billion, up 12.12% year-over-year, but net profit attributable to shareholders fell 16.62% to ¥1.90 billion due to a sharp drop in coal prices impacting profitability.

• Core businesses include electrolytic aluminum, coal mining, and aluminum foil, with production and sales volumes for major products achieving over 50% of annual plans.

• The company maintained a strong position in electrolytic aluminum and coal, leveraging cost and location advantages in Xinjiang and Yunnan.

Financial highlights

• Operating income: ¥20.43 billion, up 12.12% year-over-year.

• Net profit attributable to shareholders: ¥1.90 billion, down 16.62% year-over-year.

• Operating cash flow: ¥4.44 billion, up 9.03% year-over-year.

• Basic EPS: ¥0.86, down 15.60% year-over-year.

• Total assets: ¥57.44 billion, up 13.51% from year-end 2024.

• Net assets attributable to shareholders: ¥22.35 billion, up 3.07% from year-end 2024.

Outlook and guidance

• The company expects continued high aluminum prices in H2 2025, with industry profits likely to improve due to weak alumina prices.

• Coal market is expected to stabilize and recover as supply-demand imbalances ease.

• The company will focus on cost control, efficiency, and advancing key projects in green energy and high-end materials.