HBIS Co Ltd

HBIS announced that its board of directors has approved a proposal for the Chengde branch to invest in the construction of an energy-saving and carbon-reduction optimization project involving the renewal of inefficient energy system equipment, with a total investment of 1.302 billion yuan. The project mainly consists of three parts: renewal and optimization of energy-saving and carbon-reduction equipment for inefficient energy systems, upgrade and retrofitting of No. 8 fan from steam to electric drive, and renewal and optimization of power supply and distribution system equipment for energy saving and carbon reduction. Upon implementation, the project is expected to significantly improve the energy utilization efficiency of the Chengde branch.

HBIS released its 2026 interim report, with operating revenue of 65.878 billion yuan, down 0.65 percent year on year. Net profit attributable to the parent company was 638 million yuan, up 6.61 percent, while non-GAAP net profit was 380 million yuan, up 6.95 percent. Supported by product mix optimization and stringent cost control, the company achieved steady profit growth amid overall volume regulation and diverging demand in the steel industry. However, total profit included a sizable amount of non-recurring items such as compensation for breach of contract related to plant relocations out of the city, which weighed on the quality of profit growth to some extent. The core steel business contributed revenue of 62.997 billion yuan, accounting for 95.62 percent of the total. Plate products generated 46.852 billion yuan, more than 70 percent of the total. Revenue from bars, sections and wire rod rose 20.85 percent and 35.14 percent year on year respectively, while vanadium product revenue increased 21.07 percent. Revenue in South China grew 50.66 percent year on year, and Northeast China surged 135.71 percent. Non-operating income reached 310 million yuan, mainly from breach-of-contract compensation received by the Tangshan and Handan branches for relocations out of the city, and this portion of earnings is not sustainable. The company needs to guard against financial risks from raw material price fluctuations and a high debt ratio, with net cash outflow from financing activities widening to 3.645 billion yuan.

HBIS Co., Ltd. has released its 2026 interim report. The company's total operating revenue was 65.878 billion yuan, and net profit attributable to the parent company was 638 million yuan, an increase of 6.61% compared with the same period last year, marking a second consecutive year of growth. Net cash inflow from operating activities was 6.441 billion yuan, up 6.24% year on year. The company's asset-liability ratio was 74.66%, gross margin was 8.94%, and diluted earnings per share were 0.05 yuan, up 11.11% year on year. The number of shareholders was 233,900, and the top ten shareholders held 67.21% of the total share capital.

HBIS subsidiary HBIS Laoting Steel plans to invest 7.967 billion yuan in a new 5600mm hot-rolled heavy plate production line. The project was approved by the company's board of directors at its tenth meeting of the sixth session on July 23, with a construction investment of 7.967 billion yuan, funded by its own capital and self-raised funds. The project is located within the Laoting Steel plant area in Hebei's Laoting Economic Development Zone, primarily building a 5600mm hot-rolled heavy plate production line and supporting public auxiliary facilities. Upon completion, it will produce 2.42 million tonnes of qualified finished products annually without adding new steel capacity, with a planned construction period of 24 months. The product mix will focus on high-end products such as ship and offshore engineering plates, wind power tower plates, and low-alloy structural steel plates. The company stated that the project will help optimize its product structure and drive transformation and upgrading toward high-value-added products.