Shandong Iron & Steel (600022) Q1 2025 earnings summary

Executive summary

• Revenue for Q1 2025 was RMB 19.26 billion, down 15.66% year-over-year; net profit reached RMB 107.72 million, a significant turnaround from a net loss of RMB 788.72 million in Q1 2024.

• Net profit attributable to shareholders was negative RMB 14.41 million, a substantial reduction in loss compared to negative RMB 637.56 million last year.

• Steel output increased 5.74% year-over-year to 4.04 million tons, while sales volume rose 1.76%.

• Average steel price dropped 11.11% year-over-year to RMB 3,498/ton (excl. tax).

Financial highlights

• Operating cash flow was RMB 1.52 billion, up 0.43% year-over-year.

• Total assets at quarter-end were RMB 67.79 billion, up 3.8% from year-end 2024.

• Net assets attributable to shareholders stood at RMB 18.70 billion.

• Basic and diluted EPS were both -0.0014 yuan, compared to -0.0596 yuan a year ago.

Outlook and guidance

• Continued focus on cost reduction, efficiency improvement, and value creation through reforms in procurement, manufacturing, and marketing.

• Ongoing digitalization and AI initiatives to enhance smart manufacturing and operational efficiency.