Thread Content
Half of 2025 has passed, and listed companies have begun to release their semi-annual performance forecasts. As of July 10, 146 listed companies on the A-share market had released their semi-annual performance forecasts for 2025. Approximately 80% of these companies predicted positive results (including increased profits, modest increases, or a turnaround from losses). Among them, 21 companies expected an increase in profits; the chemical industry showed strong performance both at the sub-sector level and among individual stocks. The sector of chemical companies with projected growth is mainly concentrated in areas such as refrigerants, pesticides, and chemical pharmaceuticals. All companies in the refrigerant sector, including Juhua Shares, Haohua Technology, and Yonghe Shares, have forecasted increased profits. Driven by the further reduction in production quotas for second-generation fluorinated refrigerants (HCFCs) and the continued implementation of quota management policies for third-generation fluorinated refrigerants (HFCs), constraints on the supply side of the industry have intensified. Coupled with steady growth in demand on the downstream side, this has contributed to a continuous improvement in the market supply-demand balance, prompting sustained upward trends in the prices of fluorinated refrigerants. Since the beginning of this year, the price of the pesticide mesotrione has been rising continuously. As of June, the price of the parent substance of oxadiazon ranged from 120,000 to 160,000 yuan per ton; the price for some orders has already exceeded 160,000 yuan per ton. It is expected that this high level will continue in the short term. As a leading manufacturer, Syngenta expects its semi-annual net profit to range from 130 million to 150 million yuan, representing a year-on-year increase of 24.43 times to 28.35 times, making it the company with the most significant increase in projected profits among those reporting semi-annual results. Lier Chemical’s net profit for the first half of the year is expected to increase by 185%–196% on a year-on-year basis, while Jiangshan Co., Ltd.’s net profit for the same period is expected to rise by 75.65%–110.78% year-on-year. Both companies benefited from the increase in sales volumes and prices of certain of their products during this period. Driven by factors such as efforts in innovation and an expansion of overseas operations, several listed chemical pharmaceutical companies have achieved growth in their performance, with the peptide industry chain emerging as a sector that has seen particularly strong performance. Shengnuo Biology expects its net profit attributable to the parent company for the first half of the year to range from 77.0275 million to 94.1448 million yuan, representing a year-on-year increase of 253.54% to 332.1%. Netai Biotech has also benefited from a significant increase in sales revenue from peptide active pharmaceutical ingredients; it is expected that its net profit attributable to the parent company for the first half of the year will be between 300 million and 330 million yuan, representing a year-on-year increase of 32.06% to 45.27%. A research report by Dongxing Securities suggests that the prosperity of China’s chemical industry is likely to start recovering from its lowest levels, with an improvement expected in the industry’s supply and demand dynamics. In the first half of the year, the chemical product price index declined slightly, with the chemical industry remaining in a period of low prosperity. At the same time, positive changes have emerged in the chemical industry from the perspectives of supply, demand, and inventory. Overall, against the backdrop of an expected improvement in the industry’s supply and demand dynamics, there are signs of a recovery at the bottom for the prosperity of China’s chemical industry. In terms of the capital market, performance in the first half of 2025 has become a focus of market attention; chemical stocks such as Lier Chemical, Brother Technology, Duonuo Biology, Chuanjinuo, Meinohua, and Wanwei High-Tech have recently reached new highs. OpenSource Securities points out that, in the context of efforts to counter \"involution,\" a new round of supply-side structural reforms is on the horizon. The supply and demand dynamics in the chemical industry are likely to improve further, with leading companies in this sector able to gain more market share thanks to more standardized management systems and better energy consumption control.