GANFENG LITHIUM swings to RMB1.61 billion profit in 2025; revenue climbs 21.7%

GANFENG LITHIUM GROUP CO., LTD. (GANFENG LITHIUM) released its audited results for the year ended 31 December 2025.

Revenue and profit rebound • Revenue rose 21.7% to RMB22.80 billion, driven by higher selling prices and volumes of lithium salts and batteries. • Gross profit jumped 69.7% to RMB3.61 billion, lifting gross margin to 15.8% from 11.4%. • Net profit attributable to shareholders reached RMB1.61 billion, reversing the RMB2.07 billion loss recorded in 2024. • Basic earnings per share were RMB0.80 (2024: loss of RMB1.03).

Segment breakdown • Lithium compounds & metals contributed 56.3% of revenue (RMB12.84 billion) with a 15.3% margin. • Lithium batteries accounted for 35.7% (RMB8.14 billion) with a 13.6% margin. • Other products, including phosphate, potassium and NMC precursors, delivered 8.0% of sales. • Mainland China remained the core market, representing 93.5% of total revenue.

Cost structure and expenses • Cost of sales increased 15.6% to RMB19.19 billion; raw materials consumed made up 77.2% of total cost. • R&D expenditure grew 14.4% to RMB1.04 billion, equivalent to 4.6% of revenue. • Finance costs rose 35.2% to RMB1.47 billion, reflecting higher interest expenses on bank loans.

Cash flow and balance-sheet highlights • Net operating cash inflow was RMB2.94 billion; net investing cash outflow declined to RMB4.41 billion as capex fell to RMB9.69 billion from RMB17.47 billion. • Cash and cash equivalents stood at RMB7.87 billion, up RMB2.23 billion year-on-year. • Interest-bearing borrowings totalled RMB32.75 billion, while net assets reached RMB51.84 billion. • Gearing ratio (total liabilities/total assets) edged up to 54%.

Dividend proposal The Board recommends a final cash dividend of RMB0.15 per share, subject to approval at the AGM scheduled for 20 May 2026.

Other key points • Capital commitments for plant and equipment amounted to RMB2.57 billion. • No significant contingent liabilities were reported other than ongoing arbitration related to the Sonora project in Mexico. • All code provisions of the Hong Kong Corporate Governance Code were complied with during the year, following Board and Supervisory Committee re-elections in April 2025.

Looking ahead, GANFENG LITHIUM plans to continue expanding lithium resource capacity, advance battery technology—including solid-state developments—and deepen its recycling and energy-storage businesses while maintaining disciplined capital spending.