Zhenhai Petrochemical Engineering: Impairment reversals boost profits

Zhenhai Petrochemical Engineering Co., Ltd. announced a net reversal of asset (credit) impairment provisions totaling 10,030,935.71 yuan for the first nine months of 2025. This includes a reversal of bad debt provisions for accounts receivable of 7,655,356.43 yuan, a provision for other accounts receivable bad debt of 92,293.06 yuan, and a reversal of contract asset impairment provisions of 2,467,872.34 yuan. The net effect of these adjustments significantly increased the company's total profit for the period by 10,030,935.71 yuan.

The board of directors approved the Q3 2025 financial report and the impairment reversal announcement on October 22, 2025. The company confirmed that these provisions and reversals align with accounting standards and accurately reflect the financial performance and condition for January-September 2025.

This positive financial adjustment contributed to a 36.30% increase in net profit attributable to shareholders for the current period, reaching 25,731,624.16 yuan. The comprehensive impact of the impairment reversals and increased gross profit from general contracting projects led to a 149.14% increase in non-recurring net profit attributable to shareholders.