Paper Products

Nippon Paper announced on the 10th that it has established a "Damage Investigation Committee" to determine the cause of the damage and collapse of the smokestack at its Yatsushiro Mill, which was hit by the July 28 Kumamoto earthquake. The committee is made up of experts in earthquake engineering. At the Yatsushiro Mill, the earthquake caused the smokestack to collapse, resulting in nine deaths and other severe damage. Removal of part of the smokestack began in late August, but a fire broke out during demolition work on the 3rd of this month, and the prospect for resuming operations remains unclear.

Nippon Paper announced on the 10th that it has established a Damage Investigation Committee to determine the cause of the damage and collapse of a chimney at its Yatsushiro Mill, which was hit by the July 28 Kumamoto earthquake. The committee is made up of experts in earthquake engineering and related fields. At the Yatsushiro Mill, the earthquake caused the chimney to collapse, resulting in nine deaths and other severe damage. Removal of part of the chimney began in late August, but a fire broke out during demolition work on the 3rd of this month, and the prospect for resuming operations remains unclear.

Nippon Paper has said it cannot foresee when operations at its Yatsushiro Mill in Yatsushiro, Kumamoto Prefecture, which was damaged by the July 28 Kumamoto earthquake, will resume, and has changed its full-year earnings outlook to undecided. The mill is the only newsprint production base in Kyushu, accounting for just under 10% of domestic share (2025), but the company has begun supply from its Iwanuma Mill, and Oji Paper, Daio Paper, and Chuo Pulp Industry have started alternative production. The earthquake killed nine people, caused severe damage including damage to three chimneys and the collapse of office buildings, and a fire also broke out on September 3. In the Great East Japan Earthquake, it took about a year and a half to fully restore three mills in the Tohoku region, including the Ishinomaki Mill, and the restart of the Yatsushiro Mill is expected to require huge costs. The company had planned to invest about 31 billion yen to increase production of toilet paper and other products, but the disaster has forced it to navigate the difficult course of restarting the mill and rebuilding its production system.

Bohui Paper has released its 2026 interim report. Total operating revenue was 9.454 billion yuan, down 1.15% year on year. Net profit attributable to the parent company was 77.0631 million yuan, a decrease of 14.39% from the same period last year. Net cash inflow from operating activities was 1.621 billion yuan. The asset-liability ratio was 69.77%, gross margin was 9.57%, return on equity was 1.03%, and diluted earnings per share was 0.06 yuan. The company had 39,500 shareholders, and the top ten shareholders held 62.22% of the total share capital.

Annie's Co released its interim 2026 report, with total operating revenue of 185 million yuan and net profit attributable to the parent of 1.4296 million yuan, down 27.16% from the same period last year. Net cash flow from operating activities was negative 58.724 million yuan, down 1225.55% year-on-year. The company's asset-liability ratio was 34.46%, gross margin was 13.71%, ROE was 0.20%, and diluted earnings per share was 0.00 yuan. The number of shareholders was 52,900, and the top ten shareholders held 25.33% of total share capital.

Yibin Paper released its 2026 interim report. During the reporting period, the company's total operating revenue was 1.023 billion yuan, down 16.87% year on year. Net profit attributable to the parent company was a loss of 43.63 million yuan, swinging from profit to loss year on year, a decline of 297.75%. Net cash inflow from operating activities was a negative 6.31 million yuan, down 101.97% year on year. The company's asset-liability ratio was 87.05%, gross margin was 19.55%, return on equity was negative 20.84%, and diluted earnings per share was negative 0.25 yuan. The number of shareholders was 20,100, and the top ten shareholders held 56.00% of total share capital.

ST Chenming released its 2026 interim report. Total operating revenue was 6.865 billion yuan, up 225.90% year-on-year. Net profit attributable to the parent was a loss of 786 million yuan, an improvement of 3.071 billion yuan compared with the same period last year, narrowing the loss. Net cash inflow from operating activities was 322 million yuan. The asset-liability ratio was 96.09%. Gross margin was negative 7.19%, up 1.42 percentage points from the previous quarter, rising for five consecutive quarters. Diluted earnings per share were negative 0.27 yuan, an improvement of 1.04 yuan from the same period last year. The number of shareholders was 93,700, and the top ten shareholders held 44.01% of total share capital.

Songyang Resources released its 2026 interim report. Total operating revenue was 280 million yuan, net profit attributable to the parent company was a loss of 29.2372 million yuan, and net cash flow from operating activities was a negative 11.4633 million yuan. The company's latest asset-liability ratio was 75.42 percent, up 1.84 percentage points from the previous quarter and up 9.14 percentage points from the same period last year. Gross margin was negative 0.19 percent, return on equity was negative 13.41 percent, and diluted earnings per share was negative 0.14 yuan. The number of shareholders was 14,700, and the top ten shareholders held 34.97 percent of total share capital.

Yueyang Forest Paper released its 2026 interim report. Total operating revenue was 3.954 billion yuan, down 11.69 percent year-on-year. Net profit attributable to the parent company was negative 9.7512 million yuan, swinging from profit to loss year-on-year, a decline of 106.83 percent. Net cash inflow from operating activities was 741 million yuan, an increase of 993 million yuan year-on-year. The company's asset-liability ratio was 61.99 percent, gross margin was 8.69 percent, return on equity was negative 0.13 percent, and diluted earnings per share was negative 0.01 yuan. The number of shareholders was 48,700, and the top ten shareholders held 52.00 percent of total share capital.

HuaWang Technology disclosed its 2026 semi-annual report on August 27. In the first half, it achieved total operating revenue of 1.457 billion yuan, down 10.42% year-on-year; net profit attributable to the parent company was 131 million yuan, down 15.66% year-on-year; and non-GAAP net profit was 111 million yuan, down 27.67% year-on-year. The company plans to distribute a cash dividend of 2 yuan, tax included, for every 10 shares to all shareholders. Net cash flow from operating activities was 145 million yuan, up 31.82% year-on-year. As of the end of the first half, the company's inventory book value was 813 million yuan, accounting for 20.74% of net assets.

Huawang Technology released its 2026 interim report. Total operating revenue was 1.457 billion yuan, down 10.42% from the same period last year. Net profit attributable to the parent company was 131 million yuan, down 15.66% year-on-year. Net cash inflow from operating activities was 145 million yuan. The asset-liability ratio was 32.67%, gross margin was 15.56%, and diluted earnings per share was 0.24 yuan, down 14.29% year-on-year. The company had 15,200 shareholders, and the top ten shareholders held 54.43% of total share capital.

Minfeng Special Paper has released its 2026 interim report. The company's total operating revenue was 608 million yuan, up 1.13% year on year. Net profit attributable to the parent company was 6.77 million yuan, down 55.11% year on year. Net cash flow from operating activities was 4.65 million yuan, down 71.75% year on year. The company's asset-liability ratio was 49.37%, gross margin was 13.98%, return on equity was 0.45%, and diluted earnings per share was 0.02 yuan. The number of shareholders was 15,400, and the top ten shareholders held 44.06% of the total share capital.

HuaWang Technology released its 2026 interim report on August 26. Revenue and profit both declined during the reporting period, but operating cash flow improved significantly, and the company announced a substantial cash dividend plan. The financial report shows the company achieved operating revenue of 1.457 billion yuan, down 10.42% year-on-year; net profit attributable to the parent company was 131 million yuan, down 15.66% year-on-year; and non-GAAP net profit was 111 million yuan, down 27.67% year-on-year. Net cash flow from operating activities was 145 million yuan, up 31.82% year-on-year. The company plans to distribute a cash dividend of 2.00 yuan per 10 shares before tax to all shareholders, totaling 111 million yuan, accounting for 84.78% of the first-half net profit attributable to the parent company. The decline in performance was mainly affected by weak downstream demand for home furnishing consumption, increased exchange losses due to currency fluctuations, and reduced government subsidies. Through cost reduction and efficiency improvement, the company's operating costs fell more than revenue, easing profit pressure. Looking ahead, the decorative base paper industry is characterized by optimizing existing capacity and improving the quality of new capacity. With its green manufacturing advantages and global footprint, the company is expected to benefit from increasing industry concentration.

Yueyang Forest & Paper disclosed its 2026 semi-annual report on August 27. In the first half of the year, it achieved total operating revenue of 3.954 billion yuan, down 11.69 percent year on year. Net profit attributable to the parent company was a loss of 9.7512 million yuan, compared with a profit of 143 million yuan in the same period last year. Net profit after deducting non-recurring items was a loss of 13.0898 million yuan, compared with a profit of 123 million yuan a year earlier. Net cash flow from operating activities was 741 million yuan, versus negative 252 million yuan in the prior-year period. During the reporting period, basic earnings per share were negative 0.01 yuan, and the weighted average return on equity was negative 0.13 percent. The company's main businesses are pulp and paper manufacturing, as well as ecological landscaping, forestry, and carbon sink operations.

Yueyang Forest Paper released its 2026 interim report on August 26. Affected by lower prices for major products and one-off costs from organizational changes, the company swung to a loss in the reporting period, but operating cash flow improved significantly. During the period, the company achieved operating revenue of 3.954 billion yuan, down 11.69 percent year on year. Net profit attributable to shareholders was negative 10 million yuan, down 106.83 percent year on year. Net profit excluding non-recurring items was negative 13 million yuan, down 110.65 percent year on year. Net cash flow from operating activities was 741 million yuan, a sharp improvement from negative 252 million yuan in the same period last year, mainly due to stronger collection of accounts receivable and changes in the scale of bill settlement business. The company's main business covers pulp and papermaking, ecological landscaping, and carbon sink development, with pulp and paper production capacity of 2.4 million tonnes per year. Subsidiary Juntai Technology was squeezed by an approximately 18 percent year-on-year decline in pulp product prices and rising costs, with net profit falling sharply by 61.31 percent year on year to 86 million yuan. In addition, the company implemented organizational and personnel changes, and recognized severance benefits that caused administrative expenses to rise 17.36 percent year on year. Looking ahead, the company relies on its integrated forestry, pulp, and paper layout and advantages in centralized raw material procurement, and is expected to remain resilient amid industry consolidation. However, raw material price fluctuations, slower-than-expected recovery in downstream demand, and industry capacity expansion remain the main risks.

Qingshan Paper released its 2026 interim report, with net profit attributable to the parent company of 40.2298 million yuan, a decrease of 28.26% compared with the same period last year. The company's total operating revenue was 1.233 billion yuan, up 1.90% year-on-year; net cash inflow from operating activities was 252 million yuan, an increase of 318 million yuan compared with the same period last year. The company's latest asset-liability ratio was 29.87%, gross margin was 19.50%, ROE was 1.01%, and diluted earnings per share was 0.02 yuan.

Shanying International released its 2026 interim report, with net profit attributable to the parent company at negative 682 million yuan, swinging from profit to loss. Total operating revenue was 14.259 billion yuan, and net profit attributable to the parent company decreased by 724 million yuan compared with the same period last year, down 1730.29 percent year on year. Net cash inflow from operating activities was 1.644 billion yuan, the asset-liability ratio was 71.15 percent, gross margin was 4.55 percent, and diluted earnings per share was negative 0.11 yuan.

Minfeng Special Paper disclosed its 2026 semi-annual report. The company achieved total operating revenue of 608 million yuan, up 1.13 percent year on year. Net profit attributable to the parent company was 6.7666 million yuan, down 55.11 percent year on year. Non-recurring net profit was 3.1611 million yuan, down 78.98 percent year on year. Net cash flow from operating activities was 4.6493 million yuan, down 71.75 percent year on year. The company plans to distribute a cash dividend of 0.1 yuan per 10 shares, tax included. During the reporting period, basic earnings per share were 0.019 yuan, and the weighted average return on equity was 0.45 percent.

Shanying International disclosed its 2026 interim report, with first-half operating revenue of 14.259 billion yuan, up 3.01% year on year, but net profit attributable to the parent swung from profit to loss, recording a loss of 682 million yuan, compared with a profit of 41.8154 million yuan in the same period last year. Net profit attributable to the parent after deducting non-recurring items was a loss of 724 million yuan, down 1000.36% year on year. In the second quarter, the company's operating revenue was 8.04 billion yuan, up 13.7% year on year, while net profit attributable to the parent was a loss of 184 million yuan, down 2147.7% year on year. The company's gross margin for the first half was 4.55%, down 4.95 percentage points year on year, with the papermaking business gross margin at only 1.01%.

Shanying International disclosed its 2026 semi-annual report. In the first half, total operating revenue reached 14.259 billion yuan, up 3.01 percent year on year, but net profit attributable to the parent swung from profit to loss, with a loss of 682 million yuan, compared with a profit of 41.8154 million yuan in the same period last year. Net profit after deducting non-recurring items was a loss of 724 million yuan, compared with a loss of 65.7799 million yuan a year earlier. Net cash flow from operating activities was 1.644 billion yuan, up 18.88 percent year on year. Basic earnings per share were negative 0.11 yuan, and the weighted average return on equity was negative 4.55 percent. As of August 21, 2026, 12.76 percent of the company's shares were pledged. The largest shareholder, Fujian Taisheng Industrial Co., Ltd., pledged 726 million shares, accounting for 54.1 percent of its holdings.

Shanying International disclosed its 2026 semi-annual report. In the first half, non-GAAP net profit attributable to the parent company was a loss of 724 million yuan, down 1000.36% year-on-year. The company achieved operating revenue of 14.259 billion yuan, up 3.01% year-on-year, while net profit attributable to the parent company was a loss of 682 million yuan, compared with a profit of 42 million yuan in the same period last year. The main reason for the loss was rising raw material costs in the papermaking segment squeezing gross margin. The gross margin of the papermaking business fell from 8.05% in the same period last year to 1.01%, containerboard gross margin dropped to 2.02%, and corrugated paper gross margin turned negative to minus 1.65%. However, operations showed marginal improvement. In the second quarter, net profit attributable to the parent company narrowed its loss by 313 million yuan compared with the first quarter, a quarter-on-quarter reduction of 62.95%. In June alone, the company overall achieved a turnaround to profitability. Paper sales volume reached 3.7411 million tonnes, up 7.68% year-on-year, with a production-to-sales ratio of 103.17%.

Qingshan Paper released its 2026 interim report. In the first half, operating revenue reached 1.233 billion yuan, up 1.9% year on year, but net profit attributable to the parent was only 40.2298 million yuan, down 28.26% year on year. Net operating cash flow was as high as 252 million yuan, surging 480.13% year on year, mainly due to reduced cash paid for goods and employee compensation. Accounts receivable surged 163.56% to 231 million yuan, far outpacing revenue growth. The company explained that customer payments had not yet come due within the credit period. In addition, investment in the capital-raising project for increasing stake in Narcissus Pharmaceutical was only 4.0219 million yuan, with an investment progress ratio of just 0.82%. The 490 million yuan in raised funds remained idle, and the project was suspended in April 2025.

Huatai Co., Ltd. released its 2026 interim report, with net profit attributable to the parent company of 18.8906 million yuan, down 72.07% from the same period last year. Total operating revenue was 6.211 billion yuan, down 3.10% year-on-year. Net cash flow from operating activities was negative 69.8886 million yuan. The company's latest asset-liability ratio was 43.69%, gross margin was 7.69%, return on equity was 0.21%, and diluted earnings per share was 0.01 yuan.