Dongyue Group Posts 31.8% Jump in H1 2026 Net Profit Attributable to Shareholders on Higher Fluorosilicone Prices

Dongyue Group reported a robust first-half 2026 performance, with profit attributable to owners climbing 31.80% year on year to RMB 1.03 billion. Net profit for the period reached RMB 1.63 billion, compared with RMB 1.06 billion a year earlier.

\n\nRevenue advanced 7.99% to RMB 8.06 billion, driven by broad-based price increases across key fluorosilicone products. Group gross margin improved to 37.18% from 29.11%, while the consolidated segment results margin expanded to 24.48% (H1 2025: 19.08%).

\n\nSegment performance remained highly differentiated. The Refrigerants division led earnings, generating RMB 1.25 billion in profit, up 20.99%, on 12.06% higher sales of RMB 2.57 billion as R32 and R410a prices strengthened. Polymers revenue rose 10.35% to RMB 2.14 billion, with segment profit jumping 69.21% to RMB 0.44 billion. Organic Silicone sales increased 12.69% to RMB 2.61 billion, and profit surged to RMB 0.24 billion from a low base a year earlier. Dichloromethane & Liquid Alkali revenue fell 26.82% to RMB 0.47 billion, dragging segment profit down 72.11% to RMB 0.06 billion.

\n\nResearch and development spending grew 14.98% to represent 5.27% of revenue. During the six-month period the company secured 12 additional patents, bringing the total portfolio to 478, and completed key projects including a New Energy Center and a 49,000-tonne annual capacity expansion for R32 refrigerant.

\n\nOperating cash flow improved to RMB 2.09 billion (H1 2025: RMB 1.51 billion). Capital expenditure reached RMB 0.85 billion, mostly dedicated to new plant construction and equipment. Cash and cash equivalents stood at RMB 6.07 billion on 30 June 2026, up from RMB 5.01 billion at year-end 2025, leaving the group in a net cash position of RMB 6.07 billion and a net cash-to-equity ratio of 28.32%.

\n\nThe board has already paid the previously declared 2025 final dividend of HK$0.30 per share, amounting to RMB 0.47 billion.

\n\nLooking ahead to the second half, management intends to streamline R&D resources toward high-growth applications such as AI, semiconductors and new energy, intensify new-product marketing, and further tighten safety and environmental controls. The company also plans to strengthen risk management across safety, R&D, finance and compliance to safeguard its growth trajectory.