Yunnan Chihong Zinc & Germanium (600497) Q3 2026 earnings summary

Executive summary

• Q3 revenue was RMB 6.55bn, down 0.76% YoY, while profit before tax rose 65.65% to RMB 823.3m and attributable net income increased 81.61% to RMB 711.0m.

• 9M revenue rose 18.66% YoY to RMB 20.38bn; profit before tax grew 62.92% to RMB 2.68bn and attributable net income increased 73.84% to RMB 2.30bn.

• Higher silver, sulfur and germanium prices, plus increased silver and sulfur output, supported profit growth.

Financial highlights

• Q3 adjusted attributable net income was RMB 742.9m, up 96.75% YoY; 9M adjusted attributable net income was RMB 2.44bn, up 88.09%.

• 9M operating income was RMB 2.87bn versus RMB 1.66bn a year earlier; consolidated net income was RMB 2.29bn versus RMB 1.31bn.

• Q3 revenue declined 0.76% YoY despite 9M revenue growth of 18.66%.

• 9M non-recurring items totaled a loss of RMB 137.9m, including RMB 173.4m in asset disposal losses and RMB 25.8m in government grants.

Outlook and guidance

• Q4 processing fees are expected to remain low; investors were cautioned to consider the related investment risk.