Hongqiang Shares disclosed its earnings forecast, expecting a net loss attributable to shareholders of 12 million to 18 million yuan in the first half of 2026, compared with a profit of 7.2212 million yuan in the same period last year. The net loss after deducting non-recurring items is expected to be 13.5 million to 20 million yuan, compared with a loss of 2.7781 million yuan in the same period last year. The company stated that the change in performance was mainly due to the Daya Bay project still being in the capacity ramp-up phase, with large fixed cost amortization, coupled with periodic fluctuations in raw material supply caused by geopolitical conflicts in the Middle East, resulting in plant load falling short of expectations. Currently, the company is promoting product upgrades and market development, accelerating capacity release to turn losses into profits as soon as possible.
Guangdong Redwall New Materials Co LtdGeopolitical conflicts in the Middle East caused periodic fluctuations in raw material supply, leading to lower plant load and a net loss.