Jinxun Resources Posts 1H26 Profit Surge of 70.55%, Declares RMB0.30 Interim Dividend

Bulletin Express
Yesterday

Jinxun Resources reported interim revenue of RMB1.45 billion for the six months ended 30 June 2026, up 49.94% year-on-year. Gross profit nearly doubled to RMB484.94 million, lifting the gross margin to 33.55% from 26.76%. Net profit attributable to shareholders rose 70.55% to RMB230.20 million, driving net margin to 15.93% versus 14.00% a year earlier.

Copper operations remained the core earnings engine, contributing 80.41% of group turnover and generating a 37.04% gross margin, up 7.28 percentage points. Copper cathode sales increased to 13,246.63 tons (1H25: 12,952.90 tons), aided by higher London Metal Exchange prices. Revenue from trading of non-ferrous metals more than doubled to RMB274.52 million, with its margin expanding to 20.19% (1H25: 6.36%).

Operating costs rose 36.08% to RMB960.40 million, while selling, administrative and R&D expenses grew 34.4%, 59.2% and 36.5% respectively, reflecting larger scale and higher investment in technology. Finance costs jumped to RMB19.21 million, mainly on foreign-exchange losses linked to US-dollar depreciation.

The balance sheet strengthened following the company’s January 2026 Hong Kong listing, which raised net proceeds of RMB1.09 billion. Cash and cash equivalents climbed 193.81% to RMB867.25 million, supporting a reduction in accounts payable by 44.59% to RMB338.03 million. Total borrowings rose to RMB424.38 million; nevertheless, the gearing ratio stood at 20.48%. Net current assets reached RMB985.71 million.

Capital expenditure amounted to RMB269.53 million, channelled mainly into the Phase-II 30,000 tpa copper cathode hydrometallurgical smelting project in DR Congo and a technical upgrade in Zambia. Construction in progress more than tripled to RMB340.42 million.

The board recommended an interim cash dividend of RMB0.30 per share (HK$0.346472 per H share), subject to shareholder approval at an upcoming EGM.

Management reiterated plans to accelerate capacity expansions in DR Congo and Zambia, pursue upstream acquisitions to secure ore supply, and enhance R&D capabilities in Kunming. No material post-balance-sheet events were reported.

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