Sinochem International (600500) H1 2025 earnings summary

Executive summary

• Revenue for H1 2025 was RMB 24.4 billion, down 5.83% year-over-year; net loss attributable to shareholders was RMB -885.8 million.

• Operating cash flow improved 68.81% year-over-year to RMB 933 million.

• The company faced a challenging chemical market with falling prices and demand, but improved cost control and operational efficiency.

• No interim dividend or capital increase from reserves was proposed.

Financial highlights

• Gross margin in core chemical intermediates rose 1 percentage point year-over-year; high-performance materials margin rose 5 percentage points.

• Basic and diluted EPS were both -0.25; ROE was -7.25%.

• Total assets at period end were RMB 54.28 billion, up 6.11% from year-end 2024.

• Net assets attributable to shareholders fell 5.76% to RMB 11.86 billion.

• EBITDA/total debt ratio was 0.02; interest coverage ratio was -2.02.

Outlook and guidance

• The company will continue strict cost control, optimize resource allocation, and focus on production efficiency in H2 2025.

• Plans to strengthen safety, energy management, and digital marketing, and accelerate R&D and overseas market expansion.