Jiujiang Shanshui Technology Co.Ltd

At the open on September 30, Shanshui Technology's share price surged rapidly in a straight line and quickly sealed a 20 percent daily limit-up, recording three consecutive limit-ups. As of the midday break, it traded at 35.93 yuan per share, up 20.01 percent, with about 47,000 lots of buy orders queued at the limit-up price. The core catalyst for this rally is the improving prosperity of the dye industry chain. Since June this year, dyes and upstream intermediates have entered a price increase cycle, and with the textile industry's traditional peak stocking season in September and October, market expectations for dye intermediate demand have been heating up. Data from BaiChuan YingFu shows that since September 2026, domestic disperse dye market quotes have remained firmly at a high of 30 yuan per kilogram. Compared with the starting point of this round of price increases at 23 yuan per kilogram on June 22, prices have risen by a cumulative 7 yuan per kilogram, a cumulative increase of more than 30 percent. Reactive dyes have shown even stronger price gains, with current market quotes reaching 45 yuan per kilogram, also starting their upward move from mid-to-late June, for a cumulative increase of 55 percent. Shanshui Technology is mainly engaged in the research, development, production and sales of dye intermediates, pesticide intermediates and pharmaceutical intermediates. Its core products, including 6-nitro and chloropyridine series, directly benefit from the price increases. In the first half of 2026, the company achieved revenue of 477 million yuan, up 56.35 percent year on year, and net profit attributable to the parent company of 85.16 million yuan, up 78.25 percent year on year. The company said that during the reporting period, production capacity for chloropyridine series products from its IPO-funded projects was released in an orderly manner, output grew steadily, and sales volume increased compared with the same period last year. At the same time, economies of scale gradually emerged, driving down unit costs and significantly improving gross margin. It is worth noting that the company had previously issued an announcement on abnormal stock trading fluctuations, saying that the price and sales volume of its 6-nitro product move inversely to a certain extent, and the impact on company performance is currently expected to be limited. It urged investors to invest rationally and pay attention to investment risks.

Shanshui Technology released its 2026 interim report. The company's total operating revenue was 477 million yuan, and net profit attributable to the parent company was 85.1598 million yuan. Net cash inflow from operating activities was 38.5089 million yuan. The latest asset-liability ratio was 10.79 percent, up 1.22 percentage points from the previous quarter. The company's latest gross margin was 34.44 percent, latest return on equity was 4.26 percent, and diluted earnings per share was 0.41 yuan. The latest total asset turnover was 0.21 times, and the latest inventory turnover was 2.02 times, down 5.03 percent from the same period last year. The company had 10,700 shareholders, and the top ten shareholders held 147 million shares, accounting for 68.35 percent of total share capital.

Shanshui Technology issued a performance forecast, expecting net profit attributable to shareholders of the listed company for the first half of 2026 to be between 77 million yuan and 95 million yuan, representing a year-on-year increase of 61.17% to 98.84%. The profit growth is mainly due to the orderly release of production capacity for the chloropyridine series products from the IPO-funded project, leading to higher sales volumes and improved gross margins driven by economies of scale. The company's first-quarter net profit was 38 million yuan, implying that second-quarter net profit is expected to grow by 2% to 50% quarter-on-quarter.