Shandong Sunpaper (002078) H1 2026 earnings summary

Executive summary

• Revenue for H1 2026 reached ¥20.86 billion, up 9.15% year-over-year; net profit attributable to shareholders was ¥1.95 billion, up 9.60% year-over-year.

• Operating cash flow increased 77.74% year-over-year to ¥3.37 billion.

• The company maintained a stable business model, focusing on integrated pulp and paper operations across three major bases: Shandong, Guangxi, and Laos.

• Strategic focus areas for H2 2026 include innovation, lean operations, brand building, organizational development, project execution, and risk management.

Financial highlights

• Total assets at June 30, 2026: ¥60.69 billion, up 3.58% from year-end 2025.

• Net assets attributable to shareholders: ¥31.53 billion, up 3.37% from year-end 2025.

• Gross margin for pulp and paper products: 14.88%; for electricity and steam: 28.68%.

• Basic and diluted EPS: ¥0.70, up from ¥0.64 year-over-year.

• Major non-recurring items: government grants and asset disposals, netting to ¥16.38 million.

Outlook and guidance

• H2 2026 will focus on consolidating profitability, driving innovation, and executing major projects, especially in Guangxi.

• The company aims to further enhance cost control, product differentiation, and supply chain resilience.

• No interim dividend, bonus shares, or capital increase from reserves planned.