Shandong Iron & Steel (600022) Q2 2026 earnings summary

Executive summary

• Revenue for H1 2026 was RMB 31.81 billion, down 8.22% year-over-year; net loss attributable to shareholders was RMB -29.60 million, a narrowed loss compared to H1 2025.

• Operating cash flow was RMB 1.10 billion, a significant decrease from RMB 3.04 billion in H1 2025.

• The company continued to optimize product mix, with high-end and export products offsetting industry headwinds.

Financial highlights

• Gross margin remained under pressure due to rising raw material costs and weak demand.

• Total assets at period-end were RMB 80.66 billion, with a debt-to-asset ratio of 64.36%, down 0.36 percentage points from year-end 2025.

• Non-recurring gains (mainly asset disposals and government subsidies) totaled RMB 128.95 million.

• Basic and diluted EPS were both -0.0028 yuan, improved from -0.0033 yuan in H1 2025.

Outlook and guidance

• The company will continue to focus on cost reduction, efficiency improvement, and high-end product development.

• Management expects ongoing industry challenges due to macroeconomic and policy risks, but aims to leverage green and digital transformation for long-term growth.