Maanshan Iron & Steel Co., Ltd. (00323) expects net loss to mother for the first half of the year to narrow year-on-year to about 72 million yuan

According to Zhitong Finance App, Maanshan Iron & Steel Co., Ltd. (00323) announced that in the first half of 2026, the company expects to achieve a net loss attributable to shareholders of listed companies of about RMB 0.72 million, a reduction of about RMB 0.3 billion compared with the same period last year; net loss attributable to shareholders of listed companies after deducting non-recurring profit and loss is about RMB 226 million, an increase of about RMB 118 million compared with the same period last year.

In the first half of 2026, strong supply and demand in the domestic steel industry was weak, the average value of the steel price index fell year on year, the price of major raw fuels continued to operate at a high level, the difference between purchase and sale in the market decreased year on year, and the pressure on steel companies to produce and operate increased. Faced with a complex and severe market environment, the company insists on improving quality and efficiency as the center, and firmly promotes key tasks such as collaborative support, cost pressure reduction, and product structure optimization, and continues to improve production and operation performance. The company strengthened accounting management, further promoted iron and water costs, logistics costs, energy costs, and quality cost improvement projects, effectively reduced the cost of tons of steel, and steadily improved operational efficiency; at the same time, it continued to optimize the product structure, increase the sales share of “2+2+N” high-value-added products, and further enhance product quality and market competitiveness.

In the current period, Maanshan Iron & Steel Co., Ltd., the holding subsidiary of the company, is expected to achieve net profit of about RMB 103 million, and Anhui Changjiang Iron & Steel Co., Ltd. achieved net profit of about RMB 151 million, both increasing year-on-year. However, due to the impact of Xinyang Iron and Steel Golden Port Energy Co., Ltd. (Xinyang Jingang), a subsidiary of the participating company Henan Jinma Energy Co., Ltd. (Jinma Energy), being decided by the court to enter bankruptcy and liquidation proceedings, the company confirmed corresponding investment losses in accordance with the Equity Law, which led to a loss in performance for the first half of the year.

During the reporting period, the company's non-recurring profit and loss is expected to be approximately RMB 154 million, an increase over the previous year. The main reason is that Xinyang Gold Port, a subsidiary of the shareholding company Jinma Energy, entered bankruptcy proceedings and was taken over by the bankruptcy administrator and is no longer included in the scope of the Jinma Energy consolidated statement. Jinma Energy confirmed in the previous year's consolidated statement that exceeds its actual obligation to Xinyang Gold Port was terminated and confirmed in the current period and included as a result of disposal gains and losses.