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China Rock and Earth: Expected net loss of $12 million–$18 million in the first half of 2026

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Sinochem Zhongyan Dadi Co., Ltd. announced that it expects net profit attributable to shareholders of the listed company to be a loss of RMB 12 million–18 million from January 1, 2026 to June 30, 2026, compared with a profit of RMB 20.7473 million in the same period last year. During the reporting period, the approval, pre-planning, and preparation cycle for the Company’s infrastructure and energy projects was long. The launch time for new projects was relatively late, and most newly constructed projects were still in the pre-planning and site-preparation stages and had not yet entered the concentrated construction period, so they were unable to generate large-scale operating revenue. New orders and project commencement progress fell short of expectations, leading to a decline in the Company’s operating revenue year over year. Some projects’ on-site construction conditions changed, extending the construction cycle somewhat, which drove a stage-wise increase in project management and supporting construction costs, and in turn led to a decline in gross margin.
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