Shanxi Lu'an Environmental Energy Development (601699) H1 2025 earnings summary

Executive summary

• Revenue for H1 2025 was ¥14.07 billion, down 20.31% year-over-year due to lower coal prices.

• Net profit attributable to shareholders was ¥1.35 billion, a 39.44% decrease year-over-year.

• Operating cash flow was negative ¥860.84 million, compared to a positive ¥2.85 billion in H1 2024.

• The company maintained strong core competitiveness in coal mining, with significant resource reserves and advanced production capacity.

Financial highlights

• Operating income: ¥14.07 billion, down 20.31% year-over-year.

• Net profit attributable to shareholders: ¥1.35 billion, down 39.44% year-over-year.

• Basic and diluted EPS: ¥0.45, down 39.19% year-over-year.

• Gross margin on coal sales: 38.4% (¥5.01 billion gross profit on ¥13.04 billion sales).

• Non-recurring profit items contributed ¥201 million to net profit.

Outlook and guidance

• The board will focus on safety, cost control, and production efficiency in H2 2025.

• Plans include optimizing production, deepening cost reduction, and upgrading industrial structure to ensure annual targets.