Sichuan Tianqi Lithium Industries Inc

Rongjie Shares' first-half net profit attributable to the parent company rose more than tenfold year on year, boosted by higher production and sales of lithium concentrate and a sharp recovery in lithium product prices. The company achieved operating revenue of 1.524 billion yuan, up 402.35 percent year on year. Net profit attributable to the parent company was 1.002 billion yuan, up 1,076.14 percent year on year. Net profit after deducting non-recurring items was 1.004 billion yuan, up 1,269.63 percent year on year. Earnings were concentrated in the second quarter, when net profit attributable to the parent company reached 724 million yuan, contributing more than 70 percent of first-half net profit. The lithium resources sector saw a broad earnings recovery, with more than ten lithium mining and lithium salt companies including Qinghai Salt Lake Industry, Ganfeng Lithium and Tianqi Lithium generally doubling their profits or posting growth of several dozen times.

Sunwoda subsidiary Sunwoda EVB has launched a Series C+ capital increase. Sungrow and Shehong Tianqi, a subsidiary of Tianqi Lithium, will together contribute 805 million yuan to subscribe for approximately 425 million yuan in new registered capital, representing a combined 2.93 percent stake in Sunwoda EVB after the capital increase. Sungrow will invest 655 million yuan to subscribe for roughly 346 million shares, raising its post-increase stake from 2.46 percent to 4.77 percent. Shehong Tianqi will invest 150 million yuan to subscribe for about 79.2181 million shares, giving it a 0.55 percent stake after the increase. Prior to this capital increase, the total equity value of Sunwoda EVB was determined to be 26.6798 billion yuan. Sunwoda EVB reported a net profit of 13.0452 million yuan in the first quarter of 2026, compared with a net loss of 3.169 billion yuan for the full year 2025. This capital increase aims to bring in downstream core customer Sungrow and upstream lithium resource supplier Tianqi Lithium as strategic investors, building a long-term stable upstream-downstream collaboration system. This marks Sunwoda EVB's second capital increase and share expansion this year, following the Series C financing completed in May, which introduced 13 investors contributing a total of 1.6798 billion yuan at a valuation of 25 billion yuan. The market is watching Sunwoda EVB's spin-off and listing progress. The company had announced plans in July 2023 to spin off and list on the ChiNext board of the Shenzhen Stock Exchange, but there have been no new developments since.

On the evening of July 24, multiple listed companies on the Shanghai and Shenzhen stock exchanges released important announcements. CATL reported first-half net profit of 43.284 billion yuan, up 41.98 percent year-on-year, and plans to distribute 14.11 yuan per 10 shares, as well as repurchase shares worth 20 billion to 40 billion yuan for cancellation. Hikvision posted first-half net profit of 7.896 billion yuan, a 39.57 percent increase, and intends to pay 5.5 yuan per 10 shares. TCL Technology's acquisition of a 45 percent stake in Guangzhou Huaxing Semiconductor has been approved by the Shenzhen Stock Exchange, after which it will hold 100 percent equity. Sunwoda's subsidiary Sunwoda Power plans to bring in Sungrow and Tianqi Lithium for a combined capital increase of 805 million yuan, corresponding to a 2.93 percent stake. Lens Technology's wholly-owned subsidiary signed a memorandum of cooperation with Intel, focusing on TGV advanced packaging technology. EVE Energy responded to LG Energy Solution's patent infringement lawsuit, stating that it has not infringed any patents. In addition, companies such as Xintian Technology, Pu Lian Software, and Beiken Energy suspended trading due to controlling shareholders planning changes in control rights. Cabio Biotech will be subject to other risk warnings, with its stock abbreviation changed to ST Cabio Biotech.

A recovery in lithium prices has driven a broad rally in A-share lithium mining stocks. Yongshan Lithium shot up to its daily limit, with over 333,000 lots locked in at 13.72 yuan per share. Industry leader Ganfeng Lithium, with a market cap in the hundreds of billions, rose 4.64%, Tianqi Lithium gained over 3%, Shengxin Lithium Energy jumped over 6%, Yongxing Materials and Rongjie shares added over 4%, and ST Welding hit its daily limit. Ganfeng Lithium expects a first-half net profit attributable to shareholders of 3.65 billion to 4.6 billion yuan, a staggering year-on-year surge of 787% to 966%, compared with a net loss of 531 million yuan a year earlier. The most-active lithium carbonate futures contract extended its intraday gain to 3.58%, breaking through the 146,000 yuan mark to trade at 146,500 yuan per tonne. Separately, the environmental impact assessment for the Yajiang Snowway lithium mine project, acquired by CATL through restructuring, has been accepted, marking a key milestone toward production for the mine, which carried a restructuring consideration of over 6.4 billion yuan. Once completed, the mine will have an annual production capacity of 1.5 million tonnes.

As of July 23, nearly 90 listed nonferrous metals companies have released their preliminary first-half 2026 earnings forecasts, with over 80% reporting improved results. Tianqi Lithium expects net profit attributable to shareholders to rise by 3,276.35% to 4,934.91%, the highest growth in the sector. Ganfeng Lithium, Tianhua New Energy, and other lithium producers also posted gains ranging from several-fold to dozens of times, mainly driven by a recovery in lithium prices and demand from the new energy sector. Minor metals such as tungsten and germanium performed strongly, with Xianglu Tungsten forecasting growth of up to 3,435.76%, and Yunnan Germanium benefiting from rising demand for high-speed optical modules. The aluminum processing segment faced significant pressure, with Xinbo Aluminum expecting a loss of 46 million to 65 million yuan, a year-on-year decline of 224.7% to 276.21%. Gold companies generally improved, with Zhaojin Gold and Western Gold both more than doubling their earnings.

The A-share lithium mining sector has seen a full recovery in half-year earnings, with leading companies posting significant profit rebounds. As of July 23, 21 of the 24 constituents in the lithium mining index have disclosed their half-year earnings forecasts. Among them, 12 reported expected profit growth, five turned losses into gains, and 13 companies saw net profit attributable to the parent company exceed 1 billion yuan. Qinghai Salt Lake Industry expects first-half net profit attributable to the parent company of 6 billion to 6.3 billion yuan, up 131% to 143% year-on-year, leading the industry in profit scale. Tianqi Lithium posted the highest earnings growth, with expected net profit attributable to the parent company of 2.85 billion to 4.25 billion yuan, a staggering year-on-year surge of 3,276.35% to 4,934.91%. Ganfeng Lithium, Tianhua New Energy, and Shengxin Lithium all turned losses into profits, expecting earnings of 3.65 billion to 4.6 billion yuan, 2.2 billion to 2.4 billion yuan, and 1 billion to 1.2 billion yuan, respectively. The industry's earnings recovery was mainly driven by a significant upward shift in the lithium carbonate price center, surging downstream demand from energy storage and power batteries, and the steady release of production capacity by companies.

On the evening of July 14, a number of listed companies disclosed their half-year performance forecasts. Among them, Demingli expects a net profit of 5.7 billion to 6.5 billion yuan for the first half of 2026, while Ganfeng Lithium expects a net profit of 3.65 billion to 4.6 billion yuan, both swinging from losses to significant profits year-on-year. Tianqi Lithium expects a net profit of 2.85 billion to 4.25 billion yuan, a year-on-year increase of 3,276.35% to 4,934.91%. China Life Insurance expects a net profit of approximately 128.933 billion to 137.119 billion yuan, a year-on-year increase of about 215% to 235%. Sieyuan Information plans to purchase high-performance computing servers for no more than 5.079 billion yuan to provide cloud computing services. *ST Gaoke has been criminally filed because its actual controllers Cao Long and He Yifan are suspected of misappropriating funds; the company says production and operations are normal. Several companies including Runjian Co., Ltd. and Haian Group disclosed share buyback plans, and the controlling shareholder of Hesteel Resources plans to increase its holdings by no less than 100 million yuan.

On the evening of July 14, multiple listed companies on the Shanghai and Shenzhen exchanges issued significant positive announcements. CICC’s application to absorb and merge Dongxing Securities and Cinda Securities has been accepted by the China Securities Regulatory Commission, though the transaction still requires review by the Shanghai Stock Exchange and approval from other regulatory bodies. Several companies disclosed first-half earnings forecasts, with Tianqi Lithium expecting a net profit attributable to shareholders of 2.85 billion to 4.25 billion yuan, a year-on-year increase of 3,276.35% to 4,934.91%; Litong Electronics forecasting a net profit of 650 million to 750 million yuan, up 1,172.53% to 1,368.31%; Yangtze Optical Fibre and Cable projecting a net profit of approximately 2.4 billion to 3 billion yuan, up 711% to 914%; and China Life Insurance anticipating a net profit of about 128.933 billion to 137.119 billion yuan, up 215% to 235%. In addition, Sieyuan Information plans to purchase high-performance computing servers for no more than 5.079 billion yuan, Runjian Co. intends to buy back shares worth 150 million to 300 million yuan, Sunway Communication plans to acquire a 55% stake in Yiyang Electronic Technology for up to 1.1 billion yuan to strengthen its high-end MLCC layout, and Andawell’s wholly-owned subsidiary has signed a memorandum of cooperation with Airbus to initiate the qualification certification process for galley insert products.

On the evening of July 14, several popular stocks including Tianqi Lithium, Litong Electronics, and Yangtze Optical Fibre and Cable issued profit pre-increase announcements. Tianqi Lithium expects net profit attributable to shareholders of the listed company for the first half to be between 2.85 billion and 4.25 billion yuan, a year-on-year increase of 3,276% to 4,935%, mainly benefiting from the development of the new energy industry and downstream demand growth, a significant rise in the average selling price of lithium products, and a substantial expected increase in investment income from its associate SQM. Litong Electronics expects net profit attributable to the parent company for the first half to be between 650 million and 750 million yuan, a year-on-year increase of 1,172.53% to 1,368.31%, with significant growth in its computing power distribution business, narrowing losses in its precision metal structural parts business, and gains from fair value changes and disposal of equity investments. Yangtze Optical Fibre and Cable expects net profit attributable to the parent company for the first half to be between 2.4 billion and 3 billion yuan, a year-on-year increase of 711% to 914%, thanks to the accelerated construction of computing power data centres, increased demand for new types of optical fibre and cable, and the company's expansion into related businesses to achieve profit improvement. Honghe Technology expects net profit attributable to the parent company for the first half to be approximately 332 million to 405 million yuan, a year-on-year increase of 280% to 364%, driven by increased end-market demand leading to higher electronic cloth prices and product mix optimisation. Dongshan Precision expects net profit attributable to the parent company for the first half to be between 2.9 billion and 3 billion yuan, a year-on-year increase of 282.58% to 295.78%, with stable consumer electronics and auto parts businesses, the integration effect of the optical module business emerging, and returns from data centre investments. China Jushi expects net profit attributable to the parent company for the first half to be between 2.784 billion and 3.121 billion yuan, a year-on-year increase of 65% to 85%, as downstream demand for glass fibre increases and both product volume and prices rise. Demingli expects net profit attributable to the parent company for the first half to be between 5.7 billion and 6.5 billion yuan, turning from a loss to a profit year-on-year, driven by the accelerated implementation of AI applications boosting storage demand, rising storage product prices, the company's launch of self-developed enterprise-grade SSD controller chips, and continuous optimisation of its product mix.

Tianqi Lithium has released its 2026 half-year performance forecast, projecting net profit of 2.85 billion to 4.25 billion yuan, a year-on-year increase of 3,276.35% to 4,934.91%. After deducting non-recurring items, net profit is expected to be 2.81 billion to 4.2 billion yuan, surging 212,778.79% to 318,081.82%. The company attributed the sharp rise in performance mainly to the development of the new energy industry and growing downstream demand, with the average selling price of major lithium products significantly higher year-on-year. In addition, the half-year performance of its key associate SQM is expected to increase substantially year-on-year, leading to a corresponding sharp rise in investment income recognized by the company. Tianqi Lithium stated it will continue to advance its strategy of resource security and industry chain extension, and has formulated a shareholder return plan for 2026 to 2028, committing to at least one cash dividend every three consecutive years, with cumulative dividends no less than 30% of the average annual distributable profit over the past three years.