Shandong Iron & Steel (600022) Q1 2026 earnings summary

Executive summary

• Revenue for Q1 2026 was RMB 14.73 billion, down 18.59% year-over-year due to weak downstream demand and higher raw material costs.

• Net loss attributable to shareholders was RMB -218 million, a decline of RMB 128 million from the prior year.

• Operating cash flow was negative RMB 289 million, a decrease of RMB 2.08 billion year-over-year.

• Profitability was pressured by lower steel prices, reduced sales volumes, and increased costs from planned and unplanned furnace maintenance.

Financial highlights

• Total revenue: RMB 14.73 billion, down 18.59% year-over-year.

• Total profit: RMB -208 million, down RMB 287 million year-over-year.

• Net loss attributable to shareholders: RMB -218 million; basic EPS: -0.0207.

• Operating cash flow: RMB -289 million, down RMB 2.08 billion year-over-year.

• Gross margin compressed by higher raw material costs and lower steel prices.

Outlook and guidance

• Management is focused on efficiency, cost reduction, market expansion, and structural adjustment.

• Ongoing market weakness and high input costs are expected to continue pressuring margins.