Jy Gas (1407) H2 2025 earnings summary

Executive summary

• FY2025 revenue was RMB334.6m, down 9.7% YoY; net profit was RMB28.9m, down 4.4%, while net margin improved to 8.6% from 8.2%.

• Lower gas procurement costs lifted gross profit and operating profit despite weaker sales; investment-property fair value losses and lower finance income weighed on net earnings.

Financial highlights

• Gross profit rose 11.1% to RMB64.2m; gross margin increased to 19.2% from 15.6%, supported by lower PNG procurement costs and relatively stable selling prices.

• Operating profit was RMB43.3m versus RMB42.6m; profit before tax was RMB40.1m versus RMB41.4m, and net profit was RMB28.9m versus RMB30.2m.

• Profit attributable to owners was RMB28.4m versus RMB30.0m; basic and diluted EPS fell to RMB0.06 from RMB0.07.

• Administrative expenses rose 12.3% to RMB25.2m; a RMB2.1m impairment reversal compared with a RMB42,000 provision in 2024, while other net losses were RMB3.4m versus net gains of RMB1.3m.

• Finance income fell to RMB0.3m from RMB2.3m; finance costs were RMB3.5m in both years, and income tax expense was RMB11.2m in both years.

Outlook and guidance

• National and Shandong clean-energy policies, including the PRC Energy Law effective 1 January 2025, are expected to support long-term natural-gas demand and orderly market development in Gaomi.

• Priorities include expanding the gas-supply network, growing the customer base through pipeline and rural clean-energy projects, and strengthening operational safety, inspections and training.