Yongxing Special Materials Technology (002756) Q2 2025 earnings summary

Executive summary

• Revenue for H1 2025 was ¥3.69 billion, down 17.78% year-over-year; net profit attributable to shareholders was ¥400.81 million, a 47.84% decrease year-over-year.

• The company maintained a dual-core business model: special steel materials and lithium battery new energy, with special steel contributing 76.65% of revenue and lithium new energy 23.35%.

• Cash dividend of ¥3.00 per 10 shares was proposed, totaling ¥158.96 million, representing 100% of the profit distribution for the period.

Financial highlights

• Operating income: ¥3.69 billion (down 17.78% YoY); net profit: ¥400.81 million (down 47.84% YoY); basic EPS: ¥0.76 (down 47.22% YoY).

• Gross margin for special steel materials was 11.52%, and for lithium new energy 29.76%.

• Operating cash flow: ¥240.91 million (down 54.63% YoY); total assets at period end: ¥14.14 billion (up 2.50% from year-end 2024).

• Non-recurring profit and loss items contributed ¥74.32 million, mainly from government subsidies and fair value changes.

Outlook and guidance

• The company will continue to focus on cost control, product structure optimization, and technological innovation to enhance competitiveness.

• Plans to further develop high-end special steel and lithium battery materials, leveraging domestic resource advantages and integrated industrial chains.