en.Wedoany.com Reported - Maanshan Iron & Steel Company Limited (00323.HK) announced that, based on preliminary calculations by the financial department, it expects a net profit attributable to shareholders of the listed company of approximately RMB -72 million for the first half of 2026, representing a reduction in loss of approximately RMB 3 million compared to the same period last year; the net profit attributable to shareholders of the listed company after deducting non-recurring gains and losses is expected to be approximately RMB -226 million, representing an increase in loss of approximately RMB 118 million compared to the same period last year.

In the first half of 2026, China's domestic steel industry exhibited a pattern of strong supply and weak demand. The average steel price index declined year-on-year, while prices of major raw materials and fuels remained persistently high. The market purchase-sale price spread narrowed year-on-year, increasing operational pressure on steel enterprises. Facing a complex market environment, the company focused on improving quality and efficiency, advancing key tasks such as collaborative support, cost reduction, and product structure optimization, leading to continuous improvement in production and operational performance. The company strengthened cost-conscious management, deeply promoting improvement projects for hot metal costs, logistics costs, energy costs, and quality costs, effectively reducing per-ton steel costs and steadily enhancing operational efficiency. At the same time, it continuously optimized the product structure, increasing the sales proportion of high-value-added "2+2+N" products, further enhancing product quality and market competitiveness.

During this period, the company's controlled subsidiary, Maanshan Iron & Steel Co., Ltd., is expected to achieve a net profit of approximately RMB 103 million, and Anhui Changjiang Iron & Steel Co., Ltd. is expected to achieve a net profit of approximately RMB 151 million, both showing year-on-year growth. However, due to the impact of the court's ruling to initiate bankruptcy liquidation proceedings against Xinyang Steel Jingang Energy Co., Ltd. (Xinyang Jingang), a subsidiary of the company's associate Henan Jinma Energy Company Limited (Jinma Energy), the company recognized corresponding investment losses under the equity method, resulting in a loss for the first half of the year.