Core Viewpoint - China Qinfa (00866) reported a significant increase in revenue for the first half of 2025, but also faced a substantial loss attributed to resource depletion in its Shanxi mining operations [1] Financial Performance - The company achieved revenue of RMB 1.089 billion, representing a year-on-year increase of 120.79% [1] - The loss attributable to shareholders was RMB 126 million, compared to a profit of RMB 43.02 million in the same period last year [1] Operational Challenges - The primary reason for the loss was the termination of operations at certain mines in Shanxi due to resource depletion [1] - The company plans to divest these underperforming assets from the listed entity in the second half of the year, which is expected to have a positive impact on future performance [1] Future Outlook - Analysts at Guosheng Securities anticipate a recovery in performance for the second half of the year, as the company will operate with a lighter asset load [1] - The company is projected to achieve attributable net profits of RMB 160 million, RMB 680 million, and RMB 1.15 billion for the years 2025, 2026, and 2027, respectively [1]

Group 1 - The core viewpoint of the article highlights that China Qinfa (00866) has seen a nearly 4% increase in stock price, currently trading at 2.52 HKD with a transaction volume of 18.84 million HKD [1] - China Qinfa reported a revenue of 1.089 billion RMB for the mid-2025 period, reflecting a year-on-year increase of 120.79% [1] - The company recorded a loss attributable to shareholders of 126 million RMB, compared to a profit of 43.02 million RMB in the same period last year [1] Group 2 - Guosheng Securities indicated that the company's losses are primarily due to the depletion of resources in certain mines in Shanxi, which have ceased operations and will be divested from the listed company in the second half of the year, thus not negatively impacting future performance [1] - The company is expected to recover its performance in the second half of the year, aided by the anticipated contribution from the Phase II production of SDE in 2026 [1] - Guosheng Securities forecasts that the company will achieve net profits attributable to shareholders of 160 million RMB, 680 million RMB, and 1.15 billion RMB for the years 2025, 2026, and 2027, respectively [1]

Overview - The report provides insights into the performance of various companies across different industries, highlighting key financial metrics and growth prospects for the first half of 2025 [1][2]. Key Insights - The coal industry shows signs of recovery with companies like 潞安环能 and 山煤国际 reporting improved performance in Q2 2025, driven by increased production and cost optimization [34][40]. - The electric equipment sector is witnessing stability in pricing due to the phosphoric iron lithium development initiative, which aims to support sustainable growth in the industry [5]. - The construction and decoration industry, represented by companies like 中国建筑 and 矩阵股份, is experiencing accelerated growth in Q2 2025, with improved cash flow and profitability [10][14]. - The agricultural sector, particularly 温氏股份, is seeing a rebound in chicken prices, which is expected to enhance profitability in the latter half of 2025 [12]. - The media and entertainment industry, with companies like 风语筑 and 荣信文化, is leveraging AI and digital transformation to enhance revenue streams and improve financial performance [18][27]. Company Summaries Coal Industry - 潞安环能 reported a Q2 2025 revenue of 71.01 billion yuan, a decrease of 21.05% year-on-year, but with a significant improvement in production and cost management [34]. - 山煤国际's Q2 2025 revenue was 51.58 billion yuan, down 33.03% year-on-year, but the company is optimistic about recovery due to rising coal prices in the second half of the year [40]. Electric Equipment - The phosphoric iron lithium initiative aims to stabilize prices and improve profitability for companies in the sector, with a focus on sustainable development [5]. Construction and Decoration - 中国建筑 achieved a Q2 2025 net profit of 466 billion yuan, reflecting a 1% increase year-on-year, supported by improved cash flow and reduced impairment losses [10]. - 矩阵股份 reported a significant increase in net profit, with a 103% growth in non-recurring profit, driven by enhanced asset quality and cash flow [14]. Agriculture - 温氏股份 sold 1,793.19 million pigs in H1 2025, a 25% increase year-on-year, with a notable drop in costs leading to improved profitability [12]. Media and Entertainment - 风语筑's H1 2025 revenue grew by 33.97% to 7.75 billion yuan, marking a turnaround to profitability, while 荣信文化 is focusing on AI-driven marketing strategies to enhance growth [18][27]. Financial Projections - The report includes projections for various companies, indicating expected growth in net profits for 2025-2027 across multiple sectors, with specific figures provided for companies like 海尔智家 and 龙净环保 [28][30].

Core Viewpoint - The company reported a significant loss in the first half of 2025, primarily due to the termination of operations in certain coal mines in Shanxi and foreign exchange losses, but plans to divest non-performing assets to improve financial health and focus on Indonesian coal mining operations [1][2]. Group 1: Financial Performance - In H1 2025, the company achieved operating revenue of 1.089 billion yuan, an increase of 596 million yuan year-on-year, but reported a net loss of 163 million yuan compared to a profit of 60.8 million yuan in the same period last year [1]. - The loss was mainly attributed to the termination of operations in certain Shanxi mines, which resulted in a loss of 194 million yuan, while continuing operations generated a profit of 31 million yuan [1]. - Foreign exchange losses due to the depreciation of the Indonesian rupiah against the yuan and US dollar amounted to approximately 70.8 million yuan [1]. Group 2: Asset Divestiture and Strategy - On June 5, the company announced the sale of 100% equity in Perpetual Goodluck Limited to its controlling shareholder for 30 million yuan, which includes five coal mines in Shanxi [1]. - The divestiture is expected to yield approximately 196 million yuan in gains, as the target company's net assets were negative 169 million yuan, thus removing liabilities from the balance sheet [1]. - The company aims to optimize financial metrics by eliminating losses from the terminated business and will focus on developing its Indonesian coal mines [1]. Group 3: Indonesian Operations and Growth - As of June 30, 2025, the company acquired 100% equity in WM for approximately 61.273 million yuan, which holds a 15% coal sales interest in the SDE mine, and 100% equity in TBM for about 48.58 million yuan, which owns 70% of the TSE mine [2]. - The company also acquired 100% equity in TMI for approximately 24.2 million yuan, which holds a 30% stake in the TSE mine, further increasing its production capacity and profitability [2]. - SDE coal mine's raw coal production reached 2.05 million tons in H1 2025, a significant increase from 755,000 tons in the same period last year, with plans for further capacity expansion [2]. Group 4: Future Outlook - The company expects to recover its performance in the second half of 2025 and anticipates significant contributions from the SDE Phase II project in 2026 [3]. - Projected net profits for 2025-2027 are estimated at 160 million yuan, 680 million yuan, and 1.15 billion yuan, with corresponding price-to-earnings ratios of 36.2X, 8.3X, and 4.9X [3].

Investment Rating - The investment rating for the company is "Buy" (maintained) [5] Core Views - The company reported a revenue of 1.089 billion RMB for the first half of 2025, an increase of 596 million RMB year-on-year, but incurred a net loss of 163 million RMB compared to a profit of 60.8 million RMB in the same period last year. The loss is primarily due to the cessation of operations at certain mines in Shanxi due to resource depletion, which will no longer negatively impact the company's performance as these will be divested [1][2] - The company is optimizing its financial metrics by removing loss-making operations from its consolidated financial statements, allowing it to focus on coal mining development in Indonesia [2] - The production from the SDE coal mine continues to grow, and the company is deepening its business in Indonesia [3] Financial Projections - The company is expected to recover its performance in the second half of the year, with projected net profits for 2025-2027 being 160 million RMB, 680 million RMB, and 1.15 billion RMB respectively, corresponding to P/E ratios of 36.2X, 8.3X, and 4.9X [4] - The company has made several acquisitions to increase its stake in Indonesian coal mines, enhancing its profitability [9] - The SDE coal mine's raw coal production reached 2.05 million tons in the first half of 2025, significantly up from 755,000 tons in the same period last year, with a daily production peak of 27,000 tons [9] Financial Metrics - The company’s total revenue for 2025 is projected to be 2.134 billion RMB, with a year-on-year decline of 17.9%, followed by a recovery in 2026 with a projected revenue of 3.087 billion RMB, and 5.198 billion RMB in 2027 [10] - The net profit for 2025 is expected to be 156 million RMB, with a significant increase to 684 million RMB in 2026 and 1.152 billion RMB in 2027 [10] - The company’s asset-liability ratio is projected to improve, with a decrease from 95.9% in 2023 to 55.3% in 2025 [11]

Core Viewpoint - Qinfa (00866) reported a significant increase in revenue but faced a substantial loss attributable to shareholders in the first half of 2025 [1] Financial Performance - The company achieved revenue of RMB 1.089 billion, representing a year-on-year increase of 120.79% [1] - The loss attributable to shareholders was RMB 126 million, compared to a profit of RMB 43.02 million in the same period last year [1] - Earnings per share showed a loss of 5.08 cents [1] Operational Breakdown - For the first half of 2025, the net loss amounted to RMB 163 million, with a profit from continuing operations of RMB 31 million [1] - The loss from discontinued operations was RMB 194 million, while the net profit for the same period in 2024 was RMB 60.8 million [1] - Continuing operations reported a loss of RMB 43 million, while discontinued operations had a profit of RMB 104 million in 2024 [1]

Core Viewpoint - The company reported significant growth in its ongoing business revenue and profit for the first half of 2025 compared to the same period in 2024, indicating a positive trend in its financial performance [1] Financial Performance - The ongoing business revenue for the first half of 2025 reached RMB 1,089 million, an increase of RMB 596 million compared to the same period in 2024 [1] - The profit attributable to equity holders from ongoing business was RMB 24 million, up by RMB 67 million from 2024 [1] - The EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) for ongoing business was RMB 165 million, reflecting an increase of RMB 136 million year-on-year [1] Strategic Focus - The company will continue to focus on the development of its core business, with a strategic emphasis on the efficient and safe operation of the SDE coal mine [1] - There is a commitment to enhance the quality of operations in Indonesia, aiming for high-quality development [1] Capacity Expansion - The company plans to accelerate the construction of the SDE coal mine, incorporating new technology and equipment to optimize mining performance [1] - Infrastructure improvements, including roads and ports, are also part of the strategy to enhance logistics efficiency and reduce costs [1] - During June of the current year, the SDE mine achieved a single-day coal production exceeding 20,000 tons, with a peak daily output of 27,000 tons [1]

Core Viewpoint - China Qinfa (00866) reported a significant increase in revenue but faced a net loss for the first half of 2025, indicating challenges in profitability despite revenue growth [1] Financial Performance - The company achieved revenue of RMB 1.089 billion, representing a year-on-year increase of 120.79% [1] - The loss attributable to shareholders was RMB 126 million, compared to a profit of RMB 43.02 million in the same period last year [1] - The loss per share was 5.08 cents [1] Business Segments - For the first half of 2025, the net loss was RMB 163 million, with a profit from continuing operations of RMB 31 million [1] - The discontinued operations incurred a loss of RMB 194 million, while the same period in 2024 showed a net profit of RMB 60.8 million, with continuing operations reporting a loss of RMB 43 million and discontinued operations a profit of RMB 104 million [1]

[Company Information and Financial Highlights](index=1&type=section&id=Company%20Information%20and%20Financial%20Highlights) This section provides an overview of the company and its key financial highlights [Company Overview](index=1&type=section&id=Company%20Overview) China Qinfa Group Limited (00866) announced H1 2025 interim results, with no interim dividend recommended - Company Name: CHINA QINFA GROUP LIMITED, Stock Code: **00866**[2](index=2&type=chunk) - The Board does not recommend the payment of any interim dividend for the six months ended **June 30, 2025**[3](index=3&type=chunk) [Financial Highlights](index=1&type=section&id=Financial%20Highlights) H1 2025 saw significant revenue growth from continuing operations, but overall net loss widened due to discontinued operations, while profitability of continuing operations improved with basic earnings per share turning positive Financial Highlights for H1 2025 | Metric | H1 2025 (RMB million) | H1 2024 (RMB million) | Change | | :--- | :--- | :--- | :--- | | Revenue from continuing operations | 1,089 | 493 | Increase 596 | | Net loss/(profit) | (162.7) | 60.8 | Loss widened | | - Profit from continuing operations | 31.0 | (43.0) | Turnaround to profit | | - Loss/(profit) from discontinued operations | (193.7) | 103.8 | Loss widened | | Profit from continuing operations attributable to equity holders of the Company | 24 | (43) | Increase 67 | | Basic earnings/(loss) per share from continuing operations | RMB **0.85** cents | RMB (**1.83**) cents | Turnaround to profit | | EBITDA from continuing operations | 165 | 29 | Increase 136 | [Condensed Consolidated Financial Statements](index=2&type=section&id=Condensed%20Consolidated%20Financial%20Statements) This section presents the condensed consolidated financial statements, including the statement of comprehensive income and statement of financial position [Condensed Consolidated Statement of Comprehensive Income](index=2&type=section&id=Condensed%20Consolidated%20Statement%20of%20Comprehensive%20Income) For the six months ended June 30, 2025, revenue from continuing operations significantly increased, leading to higher gross profit, but overall net loss for the period was driven by losses from discontinued operations, with foreign currency translation differences also negatively impacting comprehensive income Key Data from Condensed Consolidated Statement of Comprehensive Income | Metric (RMB thousand) | H1 2025 | H1 2024 (Restated) | | :--- | :--- | :--- | | Revenue from continuing operations | 1,089,414 | 493,413 | | Cost of sales | (852,258) | (354,225) | | Gross profit | 237,156 | 139,188 | | Operating profit/(loss) | 76,855 | (5,195) | | Net finance (costs)/income | (34,461) | 6,011 | | Profit before tax | 42,394 | 816 | | Income tax expense | (11,412) | (43,839) | | Profit/(loss) for the period from continuing operations | 30,982 | (43,023) | | Loss/(profit) for the period from discontinued operations | (193,734) | 103,830 | | Loss/(profit) for the period | (162,752) | 60,807 | | Exchange differences arising from translation of foreign operations | (30,993) | 16,898 | | Total comprehensive loss/(income) for the period | (193,745) | 77,705 | | Loss/(profit) for the period attributable to equity holders of the Company | (126,076) | 43,022 | | Loss/(profit) for the period attributable to non-controlling interests | (36,676) | 17,785 | Basic and Diluted Earnings/(Loss) Per Share | Metric | H1 2025 | H1 2024 (Restated) | | :--- | :--- | :--- | | Basic (loss)/earnings per share (continuing and discontinued) | RMB (**5.08**) cents | RMB **1.62** cents | | Diluted (loss)/earnings per share (continuing and discontinued) | RMB (**5.08**) cents | RMB **1.62** cents | | Basic earnings/(loss) per share (continuing operations) | RMB **0.85** cents | RMB (**1.83**) cents | | Diluted earnings/(loss) per share (continuing operations) | RMB **0.85** cents | RMB (**1.83**) cents | [Condensed Consolidated Statement of Financial Position](index=5&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, both non-current assets and current liabilities decreased, net current assets turned positive from negative, and net assets slightly decreased, with assets and liabilities of discontinued operations separately presented Key Data from Condensed Consolidated Statement of Financial Position | Metric (RMB thousand) | June 30, 2025 (Unaudited) | December 31, 2024 (Audited) | | :--- | :--- | :--- | | Non-current assets | 3,711,709 | 6,553,745 | | Current assets | 5,789,135 | 2,075,584 | | Assets classified as held for sale | 3,525,856 | – | | Current liabilities | (4,969,273) | (4,170,532) | | Liabilities directly associated with assets classified as held for sale | (3,612,242) | – | | Net current assets/(liabilities) | 819,862 | (2,094,948) | | Total assets less current liabilities | 4,531,571 | 4,458,797 | | Non-current liabilities | (1,286,270) | (972,552) | | Net assets | 3,245,301 | 3,486,245 | | Total equity attributable to equity holders of the Company | 1,766,218 | 1,971,799 | | Non-controlling interests | 1,479,083 | 1,514,446 | | Total equity | 3,245,301 | 3,486,245 | [Notes to the Financial Statements](index=7&type=section&id=Notes%20to%20the%20Financial%20Statements) This section provides detailed notes to the financial statements, covering accounting policies, estimates, segment reporting, and specific financial line items [Company Background and Basis of Preparation](index=7&type=section&id=Company%20Background%20and%20Basis%20of%20Preparation) China Qinfa Group Limited, incorporated in the Cayman Islands, primarily engages in coal mining and trading in China and Indonesia, with its condensed consolidated financial statements prepared under IAS 34 and Listing Rules on a going concern basis - The Company was incorporated in the Cayman Islands on **March 4, 2008**, and listed on the Main Board of the Hong Kong Stock Exchange on **July 3, 2009**[11](index=11&type=chunk) - The Group's principal business activities include coal mining, coal trading, coal washing, coal storage, and coal blending in China and Indonesia[11](index=11&type=chunk) - The condensed consolidated financial statements are prepared in accordance with International Accounting Standard **34** and the Listing Rules of the Stock Exchange, and on a going concern basis[13](index=13&type=chunk)[16](index=16&type=chunk) [Changes in Accounting Policies](index=8&type=section&id=Changes%20in%20Accounting%20Policies) During this interim period, the Group first adopted the revised IAS 21 "Lack of Exchangeability," which had no significant impact on its financial position or performance - The Group first adopted the revised International Accounting Standard **21** 'Lack of Exchangeability,' which became effective for annual periods beginning on or after **January 1, 2025**[17](index=17&type=chunk) - The application of the revised International Financial Reporting Standards had no significant impact on the Group's financial position and performance during the current and prior periods[17](index=17&type=chunk) [Estimates](index=8&type=section&id=Estimates) The preparation of condensed consolidated financial statements involves management judgments, estimates, and assumptions, which are consistent with those used in the consolidated financial statements for the year ended December 31, 2024 - The preparation of condensed consolidated financial statements requires management to make judgments, estimates, and assumptions that affect the reported amounts of accounting policies, assets and liabilities, and income and expenses[18](index=18&type=chunk) - The significant judgments made by management in applying accounting policies and the key sources of estimation uncertainty are the same as those applied to the consolidated financial statements for the year ended **December 31, 2024**[18](index=18&type=chunk) [Segment Reporting](index=8&type=section&id=Segment%20Reporting) The Group has only one reportable segment, the coal business, operating primarily in China and Indonesia, with a coal mining business segment in mainland China classified as a discontinued operation in H1 2025 - The Group has only one reportable segment (coal business), primarily operating in China and Indonesia, and derives the vast majority of its revenue from external customers in China and Indonesia[19](index=19&type=chunk) - During the period, a coal mining business segment operating in mainland China was classified as a discontinued operation[21](index=21&type=chunk) [Segment Results, Assets and Liabilities](index=9&type=section&id=Segment%20Results,%20Assets%20and%20Liabilities) The coal business segment saw significant growth in external customer revenue and profit before tax in H1 2025, but segment assets and liabilities decreased Coal Business Segment Performance | Metric (RMB thousand) | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Revenue from external customers | 1,089,414 | 493,413 | | Reportable segment profit before tax | 87,751 | 389 | Coal Business Segment Assets and Liabilities | Metric (RMB thousand) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Reportable segment assets | 5,948,704 | 8,531,314 | | Reportable segment liabilities | (5,665,088) | (7,332,228) | [Reconciliation of Reportable Segment Revenue, Profit Before Tax, Assets and Liabilities](index=10&type=section&id=Reconciliation%20of%20Reportable%20Segment%20Revenue,%20Profit%20Before%20Tax,%20Assets%20and%20Liabilities) The reconciliation shows that unallocated head office and corporate expenses and net finance costs significantly impacted consolidated profit before tax, while the classification of assets and liabilities related to discontinued operations also affected consolidated totals Reconciliation of Profit Before Tax | Metric (RMB thousand) | H1 2025 | H1 2024 (Restated) | | :--- | :--- | :--- | | Reportable segment profit before tax | 87,751 | 389 | | Unallocated head office and corporate expenses | (10,896) | (5,584) | | Net finance (costs)/income | (34,461) | 6,011 | | Consolidated profit before tax | 42,394 | 816 | Reconciliation of Assets | Metric (RMB thousand) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total reportable segment assets | 5,948,704 | 8,531,314 | | Assets related to discontinued operations | 3,525,856 | – | | Total consolidated assets | 9,500,844 | 8,629,329 | Reconciliation of Liabilities | Metric (RMB thousand) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total reportable segment liabilities | 5,665,088 | 7,332,228 | | Liabilities related to discontinued operations | 3,612,242 | – | | Total consolidated liabilities | 6,255,543 | 5,143,084 | [Geographical Information](index=11&type=section&id=Geographical%20Information) All of the Group's external customer revenue is derived from China and Indonesia, with the geographical location of non-current assets showing a significant increase in Indonesia and a notable decrease in China (including Hong Kong) - All of the Group's external customer revenue is derived from the countries where the Group's entities are located (i.e., China and Indonesia)[28](index=28&type=chunk) Geographical Location of Non-current Assets | Region (RMB thousand) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | China (including Hong Kong) | 190,800 | 4,241,743 | | Indonesia | 3,520,909 | 2,312,002 | | Consolidated non-current assets | 3,711,709 | 6,553,745 | [Revenue](index=12&type=section&id=Revenue) Revenue from the sale of goods for continuing operations is recognized when control of the goods is transferred upon delivery, completing the performance obligation - Revenue from the sale of goods for continuing operations is recognized when control of the goods is transferred at a point in time, and the performance obligation is satisfied upon delivery of the goods[31](index=31&type=chunk) [Other Income, Gains and Losses](index=12&type=section&id=Other%20Income,%20Gains%20and%20Losses) Other income, gains, and losses from continuing operations primarily consist of net exchange losses and government grants, with net exchange losses decreasing in H1 2025 Other Income, Gains and Losses from Continuing Operations | Metric (RMB thousand) | H1 2025 | H1 2024 (Restated) | | :--- | :--- | :--- | | Net exchange losses | 70,821 | 74,013 | | Government grants | (1,502) | (1,579) | | Others | (3,651) | (72) | | Total | 65,668 | 72,345 | - Government grants are primarily financial subsidies received under government grant programs for business development, conditional on the entity maintaining its principal place of business within a designated area for **ten** years[32](index=32&type=chunk) [Profit Before Tax](index=13&type=section&id=Profit%20Before%20Tax) Profit before tax from continuing operations is stated after deducting depreciation and amortization expenses, with a significant increase in depreciation of property, plant, and equipment Deductions from Profit Before Tax | Metric (RMB thousand) | H1 2025 | H1 2024 (Restated) | | :--- | :--- | :--- | | Depreciation of property, plant and equipment | 83,024 | 29,644 | | Depreciation of right-of-use assets | 3,473 | 3,030 | | Amortization of coal mining rights | 1,242 | – | [Income Tax Expense](index=13&type=section&id=Income%20Tax%20Expense) Income tax expense from continuing operations primarily includes China corporate income tax, Indonesia withholding income tax, and Indonesia final income tax, with a significant decrease in H1 2025 Income Tax Expense from Continuing Operations | Metric (RMB thousand) | H1 2025 | H1 2024 (Restated) | | :--- | :--- | :--- | | China corporate income tax | 555 | 51,688 | | Indonesia withholding income tax | 8,994 | – | | Indonesia final income

Investment Rating - The report maintains an "Overweight" rating for the coal mining industry [5]. Core Viewpoints - The Asian metallurgical coal market is expected to continue its recovery in Q3 2025, supported by post-monsoon inventory replenishment in India and potential rebounds in the Chinese domestic market [2]. - Despite supply pressures from adverse weather and safety issues in Australian mining, the overall outlook for the metallurgical coal market remains positive [2]. Summary by Sections Industry Overview - Global energy prices have shown mixed trends, with Brent crude oil futures at $67.73 per barrel, up by $1.88 (+2.85%) from the previous week, while WTI crude oil futures increased by $0.86 (+1.37%) to $63.66 per barrel [1]. - Natural gas prices in Northeast Asia rose to $11.705 per million British thermal units, an increase of $0.847 (+7.80%) [1]. Coal Price Trends - European ARA port coal prices increased by $3.0 to $101.8 per ton (+3.1%), while Newcastle port coal prices rose slightly by $0.2 to $112.3 per ton (+0.2%) [1]. - The IPE South African Richards Bay coal futures settled at $89.7 per ton, down by $0.5 (-0.4%) [1]. Investment Recommendations - Key recommendations include major coal enterprises such as China Coal Energy (H+A) and China Shenhua (H+A), with a focus on companies showing potential for turnaround like China Qinfa [3]. - High-performing stocks include Shaanxi Coal and Electricity, China Energy Investment, and Huai Bei Mining, while companies like Yancoal and Jinkong Coal are noted for their flexibility and potential for growth [3]. Market Dynamics - The report highlights a significant trend where China is transitioning from a coal importer to an exporter, driven by a surplus in the domestic market [8]. - The forecast for Q3 2025 anticipates that the price of high-quality low-volatile hard coking coal will average $178 per ton, with expectations of $181 per ton in the second half of 2025 [8].