Henan Jinma Energy Co Ltd

Maanshan Iron & Steel disclosed an earnings forecast, expecting a net loss attributable to shareholders of the parent company of 72 million yuan in the first half of 2026, compared with a loss of 75 million yuan in the same period last year. The net loss after deducting non-recurring items is expected to be 226 million yuan, compared with a loss of 108 million yuan a year earlier. The company said that the domestic steel industry is facing strong supply and weak demand, with the steel price index falling year on year, while raw fuel prices remain high, narrowing the purchase and sales price spread. However, through cost reduction and product mix optimization, the controlled subsidiary Maanshan Iron & Steel Company Limited is expected to achieve a net profit of about 103 million yuan, and Anhui Changjiang Iron & Steel Company Limited is expected to achieve a net profit of about 151 million yuan, both showing year-on-year growth. Nevertheless, due to the impact of a court ruling that Xinyang Iron & Steel Jingang Energy Company Limited, a subsidiary of the associate Henan Jinma Energy Company Limited, has entered bankruptcy liquidation proceedings, the company recognized corresponding investment losses under the equity method, resulting in an overall loss in the first half. During the reporting period, non-recurring gains and losses are estimated at about 154 million yuan, an increase year on year, mainly because Jinma Energy ceased to recognize the accumulated losses in previous consolidated statements that exceeded the actual obligations due to the bankruptcy of Xinyang Jingang, and included them in disposal gains and losses.