Jinyuan EP (000546) Q2 2024 earnings summary

Executive summary

• Revenue for H1 2024 reached ¥2.63 billion, up 187.38% year-over-year, with net profit attributable to shareholders at ¥173.83 million, reversing a loss in the prior year period.

• Main business segments are environmental protection (hazardous/solid waste treatment and resource utilization) and new energy materials (lithium extraction and processing).

• Significant growth in resource utilization business, while hazardous waste disposal faced price pressure and lower utilization rates.

Financial highlights

• Operating income: ¥2.63 billion, up 187.38% year-over-year.

• Net profit attributable to shareholders: ¥173.83 million, compared to a loss of ¥31.16 million last year.

• Basic and diluted EPS: ¥0.23, up from -¥0.04 year-over-year.

• Operating cash flow: -¥492.83 million, down 222.68% year-over-year.

• Total assets at period end: ¥5.90 billion, down 22.24% from year-end 2023.

Outlook and guidance

• Focus remains on expanding new energy materials, especially lithium resources, both domestically and internationally.

• Continued optimization of environmental business and cost controls to improve profitability.