Hanking Gold International reported a RMB55.69 million net loss for the six months ended 30 June 2026, reversing a profit of RMB104.54 million in the prior-year period. Revenue fell 35.13% year on year to RMB911.59 million, while EBITDA declined 68.08% to RMB91.63 million. Net margin turned to –6.11% from 7.44%.
Segment results
• Iron Ore Business: Revenue slipped 26.46% to RMB329.45 million on a 30.13% contraction in sales volume to 364,000 tonnes. Gross profit fell 26.98% to RMB198.16 million; gross margin remained robust at 60.15%.
• High-Purity Iron Business: Revenue declined 38.75% to RMB779.22 million as sales volume dropped 39.96% to 284,000 tonnes. Gross profit plunged 83.84% to RMB14.99 million; gross margin narrowed to 1.92% following intermittent production halts for ultra-low-emission upgrades.
• Gold Business in Australia: No operating revenue yet; segment posted a RMB48.68 million loss reflecting project development expenses.
Liquidity and leverage
Available cash (cash, time deposits and undiscounted acceptance bills) rose 76.56% from year-end to RMB1.67 billion, boosted by a HKD773 million (RMB692 million) share placement in January. Net borrowings and bills payables stood at RMB0.99 billion, taking the net gearing ratio down to 19.53% from 24.81% at 31 December 2025.
Operations and projects
• Mt Bundy Gold Project (Northern Territory): Construction formally started; site clearance completed, 258-room camp under installation, ball mill procured, and AUD120.98 million EPC/EPCM contracts awarded in August. First gold pour targeted for Q1 2028.
• Cygnet Gold Project (Western Australia): Pre-feasibility study finished; underground mining approval obtained in June. Definitive feasibility and further drilling under way, with first gold pour planned by end-2029.
• Iron Ore: H1 concentrate output of 368,000 tonnes (–28.96%) after land-approval delays; 2026 production target adjusted to 830,000 tonnes.
• High-Purity Iron: Output of 264,000 tonnes (–43.95%); full-year target revised to 700,000 tonnes post-upgrade.
Capital actions
• January placement of 206 million new shares raised HKD773 million.
• June issuance of 203.65 million shares (worth HKD814.60 million) completed the acquisition of the remaining 9.56% minority stake in Hanking Gold Limited, making the gold platform a wholly-owned unit.
Outlook
Management will prioritise funding and construction of Australian gold assets while stabilising iron-related operations in China. No interim dividend was declared to conserve capital for Mt Bundy development.
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