Shida Shinghwa Advanced Material(SH:603026) Da Zhong Ri Bao·2025-07-04 04:24Core Viewpoint - The company, Shida Shenghua (603026.SH), announced multiple updates including personnel changes, a profit warning for the first half of 2025, and an extension of the validity period for its A-share issuance plan to specific investors [1][2][6]. Group 1: A-Share Issuance Plan - The board of directors approved a 12-month extension for the validity period of the 2022 A-share issuance plan, which requires shareholder approval [2][4]. - The initial plan aimed to raise up to 4.5 billion yuan for seven projects, including a 500,000-ton electrolyte production facility [4][5]. - The plan faced multiple delays and revisions, with the fundraising amount reduced to 1.99 billion yuan and the cancellation of the electrolyte projects due to feasibility concerns [5]. Group 2: Financial Performance - The company expects a net loss of 52 million to 60 million yuan for the first half of 2025, a significant decrease compared to the previous year [6]. - Revenue and net profit have declined for three consecutive years, with revenues of 8.316 billion yuan, 5.635 billion yuan, and 5.547 billion yuan from 2022 to 2024, reflecting year-on-year changes of -17.86%, -32.24%, and -1.56% respectively [10]. - The main business areas include electrolytes, carbonates, and methyl tert-butyl ether, all of which are currently facing challenges such as overcapacity and declining prices [10]. Group 3: Strategic Partnerships - The company has established a strategic cooperation agreement with CATL, a leading lithium-ion battery manufacturer, to supply an estimated 100,000 tons of electrolyte by December 31, 2025 [10][11]. - This partnership is expected to positively impact the company's operational performance and enhance its market position in the lithium battery materials sector [11].