China's Dongyue Group H1 profit rises on refrigerant business strength

Dongyue

20/08/2026 14:13

Overview
China chemical maker's interim revenue grew yr/yr, gross profit margin improved
Net income attributable to owners rose yr/yr for the six months ended June 2026
Company reported higher gross profit and margin for the period

Outlook
The Group will streamline R&D platforms in H2 and accelerate product industrialisation in AI, semiconductors and new energy
 
Dongyue Group will upgrade chemical inventory management and sewage systems in H2 to strengthen safety and environmental controls

Result Drivers
REFRIGERANT QUOTA RESTRICTIONS – Higher R32 and R410a prices, mainly related to quota restrictions, drove refrigerants profit up 21% yr/yr to RMB1.25 bln
 
ORGANIC SILICONE RECOVERY – Improved supply-demand conditions, refined management and cost controls lifted organic silicone profit to RMB235.8 mln from RMB8.8 mln
 
FLUOROPOLYMER DEMAND – Growth in AI, semiconductor and new-energy industries lifted demand and prices, raising fluoropolymer profit 69% to RMB438.6 mln

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
H1 Revenue
 
RMB 8.06 bln
 
H1 Net Income Attributable
 
RMB 1.03 bln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the specialty chemicals peer group is "buy"
Wall Street's median 12-month price target for Dongyue Group Ltd is HK$21.43, about 73.8% above its August 20 closing price of HK$12.33
The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 8 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)