Zhejiang Juhua (600160) H2 2025 earnings summary

Executive summary

• Achieved record net profit of ¥3.78 billion, up 94.29% year-over-year, with revenue of ¥26.99 billion, up 10.33% year-over-year.

• Profit growth driven by strong performance in third-generation fluorine refrigerants under quota system, offsetting weak non-refrigerant chemical segments.

• Maintained industry-leading position in fluorine chemicals, with global leadership in refrigerant quotas and product matrix.

• Significant investments in R&D and fixed assets, with R&D spending at ¥1.12 billion (4.15% of revenue) and capital expenditures of ¥7.77 billion.

• Cash dividend payout ratio at 39.96%, with proposed cash dividend of ¥1.8 per 10 shares for the year.

Financial highlights

• Net profit attributable to shareholders: ¥3.78 billion, up 94.29% year-over-year.

• Revenue: ¥26.99 billion, up 10.33% year-over-year.

• Operating cash flow: ¥6.26 billion, up 127.54% year-over-year.

• Basic and diluted EPS: ¥1.40, up 94.44% year-over-year.

• Gross margin: 30.92%, up 7.25 percentage points year-over-year.

• Net assets per share: ¥7.57.

Outlook and guidance

• 2026 revenue target set at ¥26.93 billion, with continued focus on high-end, green, and intelligent transformation.

• Planned R&D investment of ¥1.03 billion and capital expenditures of ¥9.34 billion for 2026.

• Emphasis on expanding global refrigerant leadership, optimizing product structure, and enhancing innovation.

• Cautious on external uncertainties, including global economic volatility and raw material price risks.