Hainan Rubber secures significant insurance payouts after typhoon, disease

Hainan Rubber Industry Group announced that Typhoon "Swordfish" caused an estimated 0.28 million mu of rubber plantation to be scrapped and 360,000 rubber trees to be damaged. This is expected to result in a 0.25 million ton reduction in dry rubber production for 2025. The company promptly initiated disaster recovery efforts, and all affected base branches have since resumed operations. Insurance claims for the typhoon damage are underway, with an initial RMB 5 million pre-payment for rubber tree cost insurance already received.

In separate announcements, the company also reported receiving significant insurance payouts for disease and pest-related losses. For April-May 2025, Hainan Rubber received a RMB 54,202,559.89 payout for rubber income insurance, accounted under other income, and RMB 9,566,373.00 for rubber tree physical damage insurance, which will reduce biological assets.

Additionally, Hainan Rubber received RMB 4,363,823.00 in sapling compensation for land acquisition projects in Danzhou City, recognized as non-operating income when conditions are met. These financial inflows are expected to cushion the impact of the typhoon and other agricultural losses on the company's 2025 operating performance.