Linzhou Heavy Machinery Group Co Ltd

Linzhou Heavy Machinery released its 2026 interim report, showing total operating revenue of 405 million yuan, down 30.53 percent year on year. Net profit attributable to the parent company was negative 60.29 million yuan, a decrease of 111 million yuan compared with the same period last year, down 219.29 percent year on year, swinging from profit to loss. Net cash inflow from operating activities was 27.33 million yuan, down 82.18 percent year on year. The company's asset-liability ratio was 84.66 percent, gross margin was 13.36 percent, return on equity was negative 11.39 percent, and diluted earnings per share was negative 0.08 yuan.

Linzhou Heavy Machinery disclosed its earnings forecast, expecting a net loss attributable to the parent of 36 million to 55 million yuan in the first half of 2026, compared with a profit of 50.543 million yuan in the same period last year. The net loss after deducting non-recurring items is expected to be 90 million to 115 million yuan, compared with a profit of 47.8712 million yuan in the same period last year. The company said the main reason for the change in performance is the low prosperity of downstream industries, with product prices remaining low, leading to a decline in revenue and a decrease in gross profit margin.