TSC(SZ:000877) Xin Lang Cai Jing·2025-12-22 08:28Core Viewpoint - Tianshan Cement (000877.SZ) faces significant challenges amid industry adjustments, highlighted by its removal from the Shenzhen 100 Index and a drastic decline in market value and profitability [1][2][9]. Group 1: Index Removal and Market Reaction - On December 15, 2025, Tianshan Cement was officially removed from the Shenzhen 100 Index, alongside other companies, reflecting a loss of confidence in its long-term value [2][11]. - The removal from the index is seen as a culmination of Tianshan's declining market performance, with its market value shrinking over 70% from its peak [1][5][12]. Group 2: Financial Performance and Challenges - Tianshan Cement's net profit has declined for four consecutive years, with a reported loss of 5.98 billion yuan in 2024, marking a 130.45% year-on-year decline [5][12]. - In the first three quarters of 2025, the company reported a revenue of 549.38 billion yuan, a decrease of 10.64% year-on-year, and a net loss of 11.81 billion yuan [5][12][15]. - The company's core products, including cement and aggregates, have seen significant sales declines, with cement clinker sales down 12.8% in the first nine months of 2025 [6][13]. Group 3: Strategic Adjustments and Asset Management - In response to declining performance, Tianshan Cement announced plans to transfer production capacity for nine cement clinker production lines, interpreted as a strategic contraction [1][6][14]. - The company has also faced tax compliance issues, requiring a payment of approximately 61.85 million yuan, which will impact its already weakened profit margins [7][14]. - Despite these challenges, Tianshan Cement received a government compensation of 225 million yuan for land acquisition, providing some financial relief [7][15].