Amidst internal and external challenges, Ningbo Shanshan Co.,Ltd. achieved a 10-fold increase in net profit in the first half of the year, leaving the market wondering how this was accomplished.
The "Shanshan Group," founded by renowned Zhejiang entrepreneur Zheng Yonggang, has finally received long-awaited good news after two years of turbulence.
Despite being deeply embroiled in family disputes and parent company restructuring, the only listed company under the "Shanshan Group" achieved an astonishing 10-fold net profit growth in the first half of 2025. Ningbo Shanshan Co.,Ltd. (600884.SH)'s turnaround story has caught the attention of the entire capital market.
Recently, Ningbo Shanshan Co.,Ltd. released its 2025 interim report with jaw-dropping results: the company achieved operating revenue of 9.858 billion yuan in the first half, up 11.78% year-on-year. Net profit reached 207 million yuan, a surge of 1079.59% year-on-year. Net profit excluding non-recurring items also reached 169 million yuan, up 605.24% year-on-year.
Behind Ningbo Shanshan Co.,Ltd.'s "eye-catching" performance are two core businesses: anode materials and polarizers, both showing strong resilience in the first half, contributing a combined net profit of 415 million yuan. Meanwhile, the overall loss scale of the company's non-core businesses also narrowed in the first half.
As of the end of June 2025, Ningbo Shanshan Co.,Ltd.'s total assets reached 45.077 billion yuan, with net assets of 21.854 billion yuan, up 1.27% from year-end. Although this represents a gap of over 20 billion yuan from the peak total assets of 66 billion yuan, given the difficult circumstances, these results are commendable.
In August this year, Shanshan Technology, a subsidiary of Ningbo Shanshan Co.,Ltd., signed a multi-billion yuan long-term cooperation agreement with Chuneng New Energy for anode materials, shocking the industry.
Additionally, the overseas project in Finland with 100,000 tons of anode capacity has completed environmental assessment disclosure, bringing capacity release one step closer.
Investors are voting with real money. Following the interim report release, Ningbo Shanshan Co.,Ltd.'s stock price has stabilized around 12 yuan per share, showing renewed confidence in this new energy materials giant that has weathered many storms. As of September 5, Ningbo Shanshan Co.,Ltd. closed at 12.3 yuan per share with a total market cap of 27.7 billion yuan.
**From Family Feuds to Governance Restructuring**
Ningbo Shanshan Co.,Ltd.'s performance growth was hard-earned. In February 2023, founder Zheng Yonggang suddenly died of a heart attack without leaving clear arrangements for corporate succession, triggering internal family power struggles.
A control battle lasting over two years ensued between second son Zheng Ju (son of Zheng Yonggang and former wife Zhou Jiqing) and widow Zhou Ting (who had three children with Zheng Yonggang).
One month after Zheng Yonggang's death, at an extraordinary shareholders' meeting, Zheng Ju, the "post-90s" second son born to Zheng Yonggang and his former wife, was unanimously elected chairman of Ningbo Shanshan Co.,Ltd.
Due to the eldest son's "poor health," Zheng Ju, born in 1991, had always been groomed as successor. Since high school, Zheng Yonggang had sent him to study in the UK. During his studies there, Zheng Yonggang required his son to live frugally, taking the subway for transportation, and even accompanied his son on the London Underground during visits.
After university graduation, Zheng Ju formally joined Shanshan Enterprise and continued pursuing a finance EMBA at Tsinghua University's PBC School of Finance.
From 2015 onward, Zheng Ju became active at major "Shanshan Group" events. In December 2015, at the completion ceremony of Hunan Shanshan's new office building, Zheng Ju attended as President of Shanshan Holdings. After 2018, Zheng Ju began taking on more management roles within the group and shouldering greater responsibilities. After Zheng Yonggang's death, Zheng Ju formally "inherited" the position.
However, this "legal succession" met strong opposition from Zheng Yonggang's widow, Zhou Ting, a "post-80s" financial anchor. She appeared at the meeting as legal guardian of three minor children, questioned the shareholders' meeting's legality, and subsequently filed civil litigation, freezing 51% equity in Ningbo Qinggang, the key platform controlling Shanshan Holdings. This move first exposed the "Shanshan Group's" wealthy family dispute to the public.
After months of maneuvering, both sides reached a settlement in May 2023: Zheng Ju remained chairman while Zhou Ting joined the board.
However, this surface calm was suddenly broken in November 2024—Zheng Ju suddenly resigned as chairman "due to work reasons," and Zhou Ting formally took control of the Shanshan Group, becoming the new chairman.
The dispute finally settled in June 2025 when, due to joint guarantee liability, Ningbo Intermediate Court forcibly executed 1.81 million shares held by Zheng Ju, reducing his holdings to zero. Zheng Ju completely exited Ningbo Shanshan Co.,Ltd.
More problematically, he was forcibly executed for over 27.77 million yuan due to contract disputes with Chongqing Boya Commercial Factoring Group and was listed as a dishonest person subject to enforcement for "having the ability to perform but refusing to do so." From wealthy heir to "deadbeat," Zheng Ju had no valuable "chips" left in this family struggle.
After this turmoil, Ningbo Shanshan Co.,Ltd.'s corporate governance structure gradually stabilized.
**Cutting Losses and Resolving Debts**
However, the "Shanshan Group" that "stepmother" Zhou Ting fought to reclaim was no longer the 66-billion-yuan commercial empire of its peak, but a precarious "mess" with problems on all sides.
Zhou Ting was born in 1982 with the stage name "Weidi." She holds dual master's degrees from Zhejiang University and Cheung Kong Graduate School of Business EMBA, and formerly served as TV anchor for CBN and producer of "Two Sessions Voice." Zhou Ting hosted programs including "Shanghai Morning," "Current Affairs Truth," "World Expo Express," "Financial Midpoint," "Latest News," and "Financial Guide."
Shanshan's founder Zheng Yonggang met and fell in love with Zhou Ting when she was a guest on her program, eventually marrying her. After marriage, they had a pair of twins and a son, totaling three children.
Before Zhou Ting formally took control of the "Shanshan Group" on November 1, 2024, the "Shanshan Group's" holdings in Yongshan Lithium (603399.SZ) were judicially auctioned. Fujian businessman Wu Huaxin's Yongrong Zhisheng spent 804 million yuan to "raise a placard" for Yongshan Lithium. Subsequently, on November 13, 2024, Yongshan Lithium announced that the company's actual controller would change from Zheng Yonggang to Wu Huaxin.
Yongshan Lithium was actually renamed from "Jixiang Shares" that Zheng Yonggang had painstakingly acquired. After completing the acquisition, in January 2022, Jixiang Shares conducted capital operations to acquire equity in Hunan Yongshan Lithium Co., Ltd., beginning layout in lithium salt business. This was originally an extremely important component in Zheng Yonggang's upstream and downstream strategy and a high-potential quality asset in his portfolio.
However, due to controlling shareholder Ningbo Jutai's inability to repay debts, resulting in enforcement of 361 million yuan, the held Yongshan Lithium equity was judicially auctioned. For the "Shanshan Group," this at least resolved 361 million yuan in debt.
Additionally, in February 2025, 48.29 million shares held by Shanshan Holdings' concert party Yinzhou Jielun were transferred to creditors, reducing the controlling shareholder camp's shareholding ratio from 50.51% to 48.37%. On June 25, 13 million shares held by Shanshan Holdings were also judicially disposed of, acquired by renowned "retail investor" Wei Wei at 8.42 yuan per share for a total of 109 million yuan.
As of June 2025, Shanshan Holdings and its concert parties' shareholding ratio had dropped to 26.36%. Although control over the listed company decreased, the effect on resolving "Shanshan Group" debts and reducing historical burdens was positive and beneficial.
**Improved Corporate Governance and Management Stability**
After Zhou Ting's succession, the only place where she could implement decisive measures was the listed company Ningbo Shanshan Co.,Ltd.
In November 2024, Zhou Ting assumed the position of chairman of Ningbo Shanshan Co.,Ltd. After taking office, this female chairman without enterprise management experience immediately faced skepticism, but she ignored external criticism and made "visiting banks, meeting clients, strengthening internal controls, and stabilizing teams" her primary work, traveling extensively.
Particularly at the crucial juncture of debt restructuring, she proactively communicated with creditors, securing buffer space while successfully introducing syndicate loans, buying time for the listed company's independent operations.
In first-half internal meetings, Zhou Ting repeatedly emphasized "uniting efforts, consolidating core competitiveness, reducing costs and increasing efficiency." From audit controls to production line optimization, from client relations to cost management, the entire company's operational efficiency improved significantly.
**Risk Isolation and Independent Operations**
After Zhou Ting took control of the "Shanshan Group," a major milestone occurred in February 2025 when Ningbo Shanshan Co.,Ltd.'s controlling shareholder Shanshan Group was ordered into restructuring. Shanshan Group's total interest-bearing liabilities reached 12.621 billion yuan, with short-term debt of 12.037 billion yuan.
Zhihe Law Firm partner Jin Yong believes that under the current legal framework, bankruptcy restructuring represents a meaningful solution for Shanshan Group's debt predicament, like an opportunity for corporate rebirth. Through bankruptcy restructuring procedures, within legally permitted scope, it can maximize suppression of further expansion of Shanshan Group's existing debt. During restructuring plan implementation, new strategic investment is highly likely to be introduced while conducting effective resource integration. This undoubtedly represents a valuable opportunity for existing shareholders and creditors to reorganize development and escape difficulties.
The investor selection team for Shanshan Group and Pengze Trading's substantive merger restructuring case is legally conducting selection work based on "Restructuring Investment Plans" submitted by prospective investors, currently communicating and negotiating with interested investors.
Reports indicate that Shenzhen Textile A + Shenzhen State-owned Assets joint consortium, CATL, Ningbo Industrial Investment Group and others have submitted due diligence applications, possibly forming a "industrial capital-led + local state-owned asset protection + financial capital arbitrage" hybrid model.
Ningbo Shanshan Co.,Ltd. emphasizes that the company maintains independence from its controlling shareholder in assets, business, and finance, and the controlling shareholder's restructuring has not caused major substantial impact on daily production and operations.
**Industry Recovery and Internal Resilience**
How could Ningbo Shanshan Co.,Ltd. achieve performance reversal amid difficulties? The company stated it was "a result driven jointly by industry warming and our own competitive advantages."
The company noted that from an industry perspective, new energy vehicles continued high growth momentum in the first half, while energy storage saw installation rushes, driving high-speed growth in lithium battery demand. As upstream anode material suppliers, they naturally benefited. The industry environment provided strong support for business development.
According to data from Xinluo Information, a graphite industry consultation and trading platform, Ningbo Shanshan Co.,Ltd.'s artificial graphite anode material production remained at the industry's top. Simultaneously, according to SMM data compiled by Shanghai Metals Market, Ningbo Shanshan Co.,Ltd.'s first-half anode shipments remained industry-leading, accounting for 21% of total industry anode shipments. Fast-charging product market share continued leading, while new silicon-carbon products and hard carbon anode materials successfully entered downstream customers and achieved volume supply.
Additionally, despite yen exchange rate volatility and raw material price increases, the other main business, polarizers, still achieved sales volume growth and profit optimization, with the company maintaining performance in cost control and product upgrades.
According to data from semiconductor supply chain consulting firm CINNO Research, Ningbo Shanshan Co.,Ltd.'s large-size LCD polarizer shipment area share in the first half of 2025 was approximately 34%, with LCD TV and monitor polarizer market shares both ranking first globally.
With both main businesses profitable, Ningbo Shanshan Co.,Ltd. demonstrated resilience against internal and external risks after risk isolation, relatively stable corporate governance and management. The company also believes that when facing difficulties, it maintained strategic focus on dual main businesses of anode materials and polarizers. Simultaneously, management flexibly responded to challenges based on internal and external environments, ensuring operational stability and sustainable development.
Although the journey has been considerably difficult, the company expresses full confidence in the future. It will continue focusing on dual main business strategy, continuously enhancing core competitiveness and responding to challenges. It will also maintain open, transparent and timely information disclosure to help shareholders and investors understand company development prospects and further enhance market confidence.
At Zheng Yonggang's memorial service, Zhejiang business leaders including Guo Guangchang, Wang Junjin, Chen Ailian, and Li Rucheng gathered to pay respects, while Jack Ma and Li Shufu sent wreaths. Whether that once united and mutually supportive Zhejiang business community will have someone step forward to participate in parent company Shanshan Group's restructuring remains unknown.
However, the outstanding "interim report card" delivered by Ningbo Shanshan Co.,Ltd. serves as a strong stimulant, corresponding to Zhou Ting's "never give up, never lie down" statement at the Shanshan Group restructuring hearing on February 7.
Currently, after the death of key figure Zheng Yonggang and two years of turmoil and uncertainty, the "Shanshan Group" and "Shanshan people" are still actively self-rescuing and have achieved a decent interim report performance. If current trends continue, Ningbo Shanshan Co.,Ltd. is very likely to become the "trump card" for the "Shanshan Group's" desperate rebound.
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