Lanhua Sci-Tech projects 90% profit decline in first half

Shanxi Lanhua Sci-Tech Venture forecasts net profit of RMB 40-60 million for the first half of 2025, down 89-93% from the same period last year.

The company attributes the downturn to decreased market demand and falling prices for its main products, coal and urea. Investment income also fell significantly as associate company Shanxi Yamei Daning Energy ceased operations in mid-May due to the expiration of its business term.

However, a non-recurring gain of RMB 213 million from the return of a long-term equity investment provided some offset.