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Recently, the legal team of Lawyer Liu Peng from Shanghai Huzi Law Firm submitted compensation claims on behalf of 30 investors to the court for case filing, which is currently pending court review, and eligible investors can still join. The provisional eligibility period is for those who bought shares between February 1, 2026 and April 8, 2026 (inclusive) and sold or continued to hold shares after April 9, 2026 at a loss.
Looking back at this case, on January 31, 2026, the company first disclosed its "2025 Annual Earnings Forecast," projecting a net loss attributable to shareholders of the listed company of between 600 million yuan and 800 million yuan for 2025. At that time, the market already had certain expectations for the company's performance. However, just over two months later, on the evening of April 8, 2026, China Zhonghua Geotechnical Engineering released its "2025 Annual Earnings Forecast Correction Announcement," substantially revising the loss scale downward to between 950 million yuan and 1.4 billion yuan, while also for the first time projecting that owners' equity attributable to the parent company at the end of 2025 would be negative (between -130 million yuan and -580 million yuan).
On April 18, 2026, the company's disclosed annual report confirmed the worst expectations: the audited net profit attributable to the parent company for 2025 was -951 million yuan, and net assets at period-end were -132 million yuan. Subsequently, the company's shares were subject to delisting risk warning starting from April 21, 2026, and the stock abbreviation was changed to "*ST Zhonghua Geotechnical."
This earnings "reversal" incident quickly triggered regulatory intervention. On June 11, 2026, the Shenzhen Stock Exchange issued a public reprimand decision against *ST Zhonghua Geotechnical and relevant responsible persons, pointing out that the company failed to forecast the negative net assets situation in its earnings forecast at the beginning of the year and failed to timely disclose the delisting risk warning announcement as required, seriously violating the "Stock Listing Rules."
Lawyer Liu Peng from Shanghai Huzi Law Firm stated that the major discrepancy between China Zhonghua Geotechnical Engineering's earnings forecast and the final annual report data, particularly the omission of the key indicator of net assets turning from positive to negative, may constitute securities misrepresentation. Given the company's current severe financial condition, it is recommended that injured investors join the claim as soon as possible to avoid affecting final compensation due to the statute of limitations or deterioration of the company's asset situation.
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