Shandong Hualu-Hengsheng Chemical (600426) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue was RMB 7.77 billion, down 2.59% year-over-year; net profit attributable to shareholders was RMB 707 million, down 33.65% year-over-year.

• Decline in profit mainly due to lower product prices during the period.

Financial highlights

• Operating cash flow for Q1 was RMB 930 million, down 17.72% year-over-year.

• Basic and diluted EPS were both RMB 0.334, down 33.47% year-over-year.

• Total assets at quarter-end were RMB 48.07 billion, up 3.02% from year-end 2024.

• Net assets attributable to shareholders reached RMB 31.74 billion, up 2.31% from year-end 2024.

Key financial ratios and metrics

• Weighted average ROE for Q1 was 2.25%, down 1.37 percentage points year-over-year.

• Gross margin declined as operating costs rose to RMB 6.87 billion from RMB 6.57 billion year-over-year.