CNGR posts 78.4% jump in H1 2026 profit to RMB1.31 billion; declares RMB0.38 dividend per share

Bulletin Express
Aug 24

CNGR Advanced Material Co. reported robust first-half 2026 results, with revenue climbing 57.51% year on year to RMB33.58 billion and profit attributable to shareholders up 78.40% to RMB1.31 billion. Basic earnings per share rose 57.0% to RMB1.24. The board declared an interim cash dividend of RMB3.8 per 10 shares (RMB0.38 per share, tax inclusive), pending shareholder approval.

Gross profit expanded 69.7% to RMB4.31 billion, lifting the margin to 12.8% from 11.9% a year earlier. Cost of sales accounted for 87.1% of revenue, while R&D spending increased 8.1% to RMB588.90 million. Selling and marketing expenses rose to RMB69.98 million; administrative expenses grew 39.3% to RMB886.89 million. Net finance costs eased 15.3% to RMB441.45 million.

New-energy battery materials contributed 49.5% of turnover (RMB16.63 billion), led by nickel-based products at RMB12.93 billion. Cobalt-based and phosphorus-based materials generated RMB2.64 billion and RMB1.04 billion respectively, while new-energy metal products—predominantly nickel intermediates and electrolytic nickel—added RMB10.11 billion, or 30.1% of total revenue. Mainland China accounted for 60.3% of sales; overseas markets supplied the remaining 39.7%.

Total assets reached RMB89.73 billion at 30 June 2026, up 9.9% from end-2025, driven by higher inventories (RMB17.04 billion, +16.2%) and cash balances (RMB11.88 billion, +38.7%). Net gearing increased to 91.3% as interest-bearing borrowings rose to RMB30.20 billion. The current ratio stood at 1.27 times.

Operational highlights included the commissioning of nickel smelting lines in Indonesia, kiloton-scale output from the Morocco base, and shipments exceeding 250,000 tonnes across nickel-, cobalt-, phosphorus- and sodium-based materials. The company underlined its advancing global footprint, resource integration and technology development, noting progress in solid-state battery precursors, high-voltage cobalt materials and high-compaction lithium iron phosphate.

Post-period, CNGR’s board proposed reallocating HK$1.20 billion of unutilised Hong Kong IPO proceeds from a planned South Korea nickel-based material project to its Guizhou phosphate mine and integrated phosphorus project, subject to shareholder approval. It also moved to amend the Articles of Association to reflect share-capital changes following the July 2026 vesting of 2.21 million restricted A shares.

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