Henan Shenhuo Coal Industry and Electricity Power (000933) H2 2025 earnings summary

Executive summary

• Achieved revenue of ¥41.24 billion in 2025, up 7.47% year-over-year; net profit attributable to shareholders was ¥4.01 billion, down 7.00% year-over-year, mainly due to coal price declines and asset impairment in coal mines.

• Full production reached in electrolytic aluminum; coal, carbon, and aluminum foil production and sales largely met annual plans.

• Asset impairment provisions totaling over ¥1.35 billion were made for underperforming coal mines.

• Proposed cash dividend of ¥8.00 per 10 shares, totaling ¥1.79 billion, with no bonus shares or capital increase from reserves.

Financial highlights

• Revenue: ¥41.24 billion (+7.47% YoY); net profit attributable to shareholders: ¥4.01 billion (-7.00% YoY).

• Operating cash flow: ¥8.74 billion (+13.28% YoY); total assets: ¥48.86 billion (-3.44% YoY); net assets: ¥24.57 billion (+13.31% YoY).

• Basic and diluted EPS: ¥1.81 (-6.22% YoY); gross margin for electrolytic aluminum: 30.06%, for coal: 7.61%.

• Asset impairment losses: fixed assets ¥668 million, construction in progress ¥468 million, intangible assets ¥95 million.

Outlook and guidance

• 2026 production targets: 1.7 million tons aluminum, 6.95 million tons coal, 770,000 tons carbon, 121,000 tons aluminum foil, 280,000 tons cold-rolled products, 9 billion kWh self-generated electricity.

• Plans to strengthen safety, environmental protection, cost control, and technological innovation; focus on high-value customers and new materials.

• Industry outlook: aluminum prices expected to remain strong; coal market to stay balanced but with structural challenges.