Huaibei GreenGold Industry Investment (2450) H1 2026 earnings summary

Executive summary

• H1 2026 revenue fell 58.5% YoY to RMB52.806m as aggregate volumes and prices declined; gross margin contracted to 1.8%, and total loss reached RMB26.936m versus RMB3.423m.

• Loss attributable to equity shareholders widened to RMB16.798m from RMB2.788m; management expects regional infrastructure demand to support improved profitability in H2.

Financial highlights

• Revenue was RMB52.806m, down 58.5% YoY; gross profit fell to RMB0.927m from RMB51.514m, and gross margin dropped to 1.8% from 40.5%.

• Operating loss was RMB6.954m versus operating profit of RMB32.573m; loss before tax was RMB34.543m versus RMB0.908m.

• Cost of sales declined 31.5% to RMB51.879m; administrative expenses fell to RMB10.444m from RMB16.680m.

• Other income decreased 35.0% to RMB2.397m; a RMB0.176m receivables impairment reversal replaced a RMB5.946m impairment loss.

• Finance costs declined to RMB27.589m from RMB33.481m; income tax was a RMB7.607m credit versus RMB2.515m expense, mainly reflecting deferred tax.

Outlook and guidance

• Aggregate demand in Huaibei and surrounding areas is expected to exceed H1 levels as transport projects progress, supporting improved profitability in H2.

• Priorities include strengthening key-project relationships, developing new clients, maximizing mine capacity, optimizing production lines, and reducing costs through refined management.

• Phase II of the Gaoloushan expansion, designed for annual capacity of 8m tonnes, was commissioned; estimated mine life is 15 years, with output up to 8m tonnes in 2031.