China Tungsten and Hightech Materials Co Ltd

The nonferrous metals sector on the Shenzhen Stock Exchange delivered a strong performance in the first half of 2026. As of August 24, among the 30 companies that had disclosed interim reports, 18 reported earnings growth exceeding 50 percent, and 16 exceeded 100 percent. Hongqiao Holdings achieved revenue of 86.504 billion yuan, up 11.95 percent year on year, with net profit attributable to shareholders of 15.645 billion yuan, up 77.02 percent. Yunnan Aluminium expects net profit attributable to shareholders of 7.5 billion to 7.8 billion yuan, up 170.98 percent to 181.82 percent. Shenhuo Coalfield Power posted net profit attributable to shareholders of 4.781 billion yuan, up 151.06 percent. Tianshan Aluminum reported net profit attributable to shareholders of 4.177 billion yuan, up 100.44 percent. Tongling Nonferrous Metals expects net profit attributable to shareholders of 2.65 billion to 3.15 billion yuan, up 84.13 percent to 118.87 percent. Shanjin International Gold posted net profit attributable to shareholders of 2.416 billion yuan, up 51.43 percent. China Tungsten and Hightech Materials reported net profit attributable to shareholders of 2.076 billion yuan, up 280.53 percent. Continued strength in precious metals prices such as gold and silver, tight supply and demand for industrial metals including copper, aluminum, tin and tungsten, and recovering demand for new energy metals such as lithium and rare earths combined to drive a substantial improvement in industry profitability. Many companies are optimistic about the second half of the year, believing the aluminum industry is likely to maintain a tight supply-demand balance and that electrolytic aluminum prices are expected to remain elevated and volatile.

The Nanchang branch of Jinzhou Company, a controlling subsidiary of China Tungsten and Hightech Materials, plans to implement phase two of the precision micro-tool manufacturing base project, with an estimated total investment of 147 million yuan, a construction period of one year, and full production in the second year. The project will add annual capacity of 18 million units of product 131, 28 million medium-sized drill bits, and 430 million semi-finished front-process products. Funding will come from 112 million yuan of self-owned funds and 35 million yuan of bank borrowings. After completion, the project will increase the production capacity needed for Jinzhou Company's micro-drill production and consolidate its market position, and will not have a material impact on the company's financial condition and operating results in the short term.

On the evening of August 23, several listed companies on the Shanghai and Shenzhen stock exchanges released announcements. China Tungsten and Hightech disclosed its half-year report, with operating revenue of 16.385 billion yuan in the first half of 2026, up 108.51 percent year on year, and net profit attributable to shareholders of the listed company of 2.076 billion yuan, up 280.53 percent. China Petroleum and Chemical Corporation, or Sinopec, reported total operating revenue of 1.436561 trillion yuan in the first half, up 2 percent, and net profit of 25.627 billion yuan, up 19.3 percent, and plans to distribute a cash dividend of 1.05 yuan per 10 shares. Jiayuan Technology will suspend trading for one day starting August 24 because it received an advance notice of administrative penalty from the China Securities Regulatory Commission, and will resume trading on August 25 with other risk warnings implemented, with its stock abbreviation changed to ST Jiayuan. In addition, Huigu New Materials plans to use 225 million yuan of over-raised funds to invest in the first phase of the Zhuhai Huigu functional materials construction project, with a total estimated investment of 450 million yuan. Huitong Technology won the bid for the fifth section of Xinlun Chemical Fiber's annual production of 300,000 tons of polyester chemical fiber project, with a winning bid price of 366 million yuan.

On the evening of August 23, multiple A-share companies released impressive first-half reports, with earnings doubling or even growing several times over. Wankai New Materials achieved first-half operating revenue of 9.652 billion yuan, up 17.52 percent year on year, and net profit attributable to shareholders of 562 million yuan, surging 910.09 percent. China Tungsten and Hightech Materials posted first-half operating revenue of 16.385 billion yuan, up 108.51 percent, with net profit attributable to shareholders of 2.076 billion yuan, rising 280.53 percent. Yuegui Co. reported first-half operating revenue of 2.343 billion yuan, up 72.37 percent, and net profit attributable to shareholders of 663 million yuan, up 182.76 percent. In addition, Vanadium Titanium Resources and Zhiguang Electric successfully turned losses into profits, while net profit at Shangfeng Materials, Oriental Energy, and Dymatic Chemicals more than doubled. As of the evening of August 23, more than 1,700 A-share companies had completed their first-half report disclosures, with 60 percent reporting year-on-year net profit growth and 18.8 percent achieving a doubling of net profit.

China Tungsten and Hightech Materials released its semi-annual operating data for 2026. Net profit attributable to shareholders of the listed company was 2.076 billion yuan, up 280.53% year on year. During the reporting period, the company achieved operating revenue of 16.385 billion yuan, up 108.51% year on year. The company also confirmed that it will not distribute cash dividends, bonus shares, or convert capital reserve into share capital for the first half of 2026.

China Tungsten and Hightech Materials released its 2026 semi-annual report, achieving operating revenue of 16.385 billion yuan, up 108.51% year on year, and net profit attributable to shareholders of the listed company of 2.076 billion yuan, up 280.53% year on year. The company plans not to distribute cash dividends, not to issue bonus shares, and not to convert capital reserve into share capital. Second-quarter net profit was 1.155 billion yuan, first-quarter net profit was 921 million yuan, and second-quarter net profit rose 25% quarter on quarter.

On August 6, the minor metals sector rose 3.12% intraday, with Yunnan Germanium hitting its daily limit up, and China Tungsten and Hightech and Dongfang Tantalum among the top gainers. A Changjiang Securities research note pointed out that the minor metals sector is shifting from valuation contraction to a fundamentals-driven uptrend. Tantalum is benefiting from rising demand for polymer tantalum capacitors driven by high power consumption in AI chips. Nvidia's GB200 has already adopted them at scale, and per-unit tantalum capacitor usage in the GB300 and Rubin platforms is expected to increase further, marking an industry inflection point. Molybdenum, a critical metal for oil and gas and military applications, is also seeing long-term growth potential from the trend of replacing tungsten with molybdenum in semiconductors, in addition to cyclical restocking logic.

OKE Precision Cutting Tools has released its earnings forecast, estimating first-half net profit attributable to the parent company at 360 million to 420 million yuan, representing a year-on-year increase of approximately 46,300 to 54,100 times, primarily due to the low base of only 775,400 yuan in the same period last year. The company stated that it seized the opportunity of rising demand for high-end cutting tools, upgraded its product structure, achieved year-on-year growth in sales of CNC cutting tools, and absorbed the impact of rising raw material prices such as tungsten carbide through product price adjustments. In the first quarter of this year, the company's net profit was 204 million yuan, with limited sequential growth in the second quarter. Other companies in the tungsten industry chain also benefited from price increases, with China Tungsten and Hightech Materials forecasting first-half net profit growth of 261 percent to 298 percent. Although tungsten prices have recently pulled back, institutions remain optimistic about the long-term trend, but related indices and stocks in the secondary market have experienced corrections after significant earlier gains.