According to Zhitong Finance App News, Hongcheng Environmental Technology (02265) announced that the Group expects to record profit attributable to the Company's owners between RMB 68 million and RMB 69 million for the six months ending June 30, 2026. This is an increase of about 86.8% to about 89.6% compared to the profit attributable to the Company's owners of RMB 36.4 million recorded in the same period in 2025. The Group is expected to record revenue of approximately RMB 188 million during the period, an increase of approximately 40.3% over revenue of approximately RMB 134 million for the same period in 2025.

The Board of Directors believes that the profit attributable to the owners of the Company and the increase in the Group's revenue are mainly due to: (i) the increase in the average sales price of sulfuric acid, the Group's main product during the period, which led to a significant increase in the Group's overall revenue and profit level; and (ii) the Group began producing and selling new downstream sulfuric acid products (i.e. sulfamic acid and magnesium fertilizer) in the fourth quarter of 2025, which brought additional revenue during the period. The Group's gross margin increased from approximately 59.2% for the six months ended June 30, 2025 to approximately 68.1% during the period.

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