China Hainan Rubber Industry Group Co Ltd

Hainan Rubber released its 2026 interim report. During the reporting period, total operating revenue was 15.123 billion yuan, and net profit attributable to the parent company was negative 130 million yuan, an improvement of 45.5678 million yuan compared with the same period last year, marking a second consecutive year of narrowing losses. Net cash inflow from operating activities was 1.006 billion yuan, the asset-liability ratio fell to 70.69%, gross margin rose to 3.38%, and return on equity was negative 1.32%. Diluted earnings per share were negative 0.03 yuan, an increase of 0.01 yuan compared with the same period last year. The company had 97,200 shareholders, and the top ten shareholders held 69.13% of the total share capital.

Hainan Rubber disclosed its earnings forecast, expecting a net loss attributable to the parent of 90 million to 135 million yuan in the first half of 2026, compared with a loss of 176 million yuan in the same period last year. The net loss after deducting non-recurring items is expected to be 255 million to 380 million yuan, compared with a loss of 219 million yuan a year earlier. The company said that due to international trade barriers and geopolitical conflicts, downstream demand for natural rubber has weakened, prices are at a cyclical low, product sales volumes and prices fell short of expectations, and the premium for products meeting EUDR requirements has declined. High temperatures and drought in major producing areas pushed up procurement costs, leading to a decline in gross profit for rubber products. During the period, gains were realized from government land acquisition compensation and changes in the fair value of derivative financial instruments, but non-recurring gains were insufficient to cover operating losses.