Henan Dayou Energy shares surge 68% as company warns of risks

Henan Dayou Energy Co. Ltd. announced a stock trading anomaly, with its shares cumulatively rising over 20% across three consecutive trading days (October 15-17, 2025). This follows a 68.37% increase in the company's stock price from October 10 to October 17, 2025. During the same period, the Shanghai Stock Exchange Index fell 2.39%, and the coal mining and processing industry index rose 7.93%. The company warns investors of potential irrational speculation.

The company’s operational performance also presents risks. For the first half of 2025, Henan Dayou Energy reported an operating income of CNY 1.92 bn, a decrease of CNY 680m year-over-year. Net profit attributable to shareholders was a loss of CNY 851m, a decline of CNY 362m from the previous year. Non-recurring net profit attributable to shareholders also saw a loss of CNY 868m, a decrease of CNY 382m.

The company confirmed normal production and operations. It noted a strategic restructuring of its indirect controlling shareholder, Henan Energy Group Co. Ltd., with China Pingmei Shenma Holdings Group Co. Ltd. This restructuring is not expected to impact the company's operations, and its ultimate control remains unchanged under the Henan Provincial State-owned Assets Supervision and Administration Commission.