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Xinxing Ductile Iron Pipes Reports Revenue Growth but Profit Decline in Interim Results, Cash Flow Under Pressure
Xinxing Ductile Iron Pipes has released its 2026 interim report. The company achieved operating revenue of 21.126 billion yuan, up 19.17 percent year on year, but net profit attributable to shareholders was 372 million yuan, down 8.00 percent year on year, showing revenue growth without profit growth. Net cash flow from operating activities was 557 million yuan, a sharp year-on-year decline of 46.15 percent, mainly because the proportion of bills in sales collections increased. Premium special steel became the largest revenue source, generating 7.933 billion yuan in revenue, up 59.73 percent year on year, while revenue from ductile iron pipes and pipe castings was 5.073 billion yuan, down 18.87 percent year on year. The company's overall gross margin fell to 6.15 percent from about 7.87 percent in the same period last year, operating costs rose 21.39 percent year on year, and high raw material and energy costs squeezed profit margins.