BBMG Corporation released its 2026 interim report on August 28. Affected by deep adjustments in its two main businesses, cement and real estate, the company continued to post losses with a widening deficit, but operating cash flow turned significantly positive. During the reporting period, the company achieved operating revenue of 35.916 billion yuan, down 21.18 percent year on year. Net profit attributable to the parent company was negative 2.172 billion yuan, with the loss widening 45.22 percent year on year. Net profit after deducting non-recurring items was negative 2.429 billion yuan, with the loss widening 10.42 percent year on year. Net cash flow from operating activities was 2.678 billion yuan, a sharp turnaround from negative 1.538 billion yuan in the same period last year, mainly because the prior-year period saw large cash outflows from new land reserves, while this period the company focused on boosting sales and tightening cash collection. In terms of business structure, the green new building materials segment achieved main business revenue of 33.060 billion yuan, down 18.4 percent year on year, with total profit of negative 1.550 billion yuan, swinging from profit to loss year on year. Cement and clinker sales volume was 34.89 million tonnes, down 6.7 percent year on year, and the comprehensive gross margin was 12.39 percent, down 8.32 percentage points year on year. The property development and operation segment achieved main business revenue of 2.940 billion yuan, down 43.7 percent year on year, with total profit of negative 1.120 billion yuan, a year-on-year increase in losses of 370 million yuan. By accelerating the sell-down of projects such as Beijing Huaxi Yunjin, the company achieved cash collections of 7.920 billion yuan, up 21.9 percent year on year, and contract liabilities rose to 10.859 billion yuan. Looking ahead, the supply-demand imbalance in the cement industry is unlikely to ease fundamentally in the short term, the overall real estate market remains in a bottoming-out phase, and the company faces risks from raw material price fluctuations, rising environmental compliance costs, and accounts receivable recovery.
BBMG Corp Class ALosses widened 45.22% YoY with revenue down 21.18%, though operating cash flow turned positive.
