Liuzhou Iron & Steel issues trading volatility warning

Liuzhou Iron & Steel has issued an announcement addressing abnormal fluctuations in its stock trading, after experiencing a 46.59% cumulative price increase in just four trading days (July 1-4, 2025). The company emphasizes that this surge significantly outpaces the growth of both the steel industry and the broader market. Liuzhou Iron & Steel urges investors to exercise caution, citing several risk factors, including its recent fiscal year performance, where it reported a CNY -4.33 billion net loss attributable to shareholders in 2024, on revenue of CNY 70.132 billion. The company notes a relatively small proportion of public shareholders (16.99% as of June 30, 2025), which could lead to irrational speculation. It also points to a higher price-to-book ratio compared to peers, with the company's rolling price-to-book ratio at 1.53, while the steel industry average is 0.96.