Core Viewpoint - Dongfang Securities report indicates that Nanjing Steel achieved a net profit attributable to shareholders of 1.463 billion yuan in the first half of the year, representing a year-on-year increase of 18.63% and a significant quarter-on-quarter growth of 52.94%, highlighting the resilience of the company's performance [1] Financial Performance - In H1 2025, the average selling price of steel decreased by approximately 11% year-on-year, yet the gross margin increased by 2.02 percentage points [1] - The gross margin for Q2 2025 reached a record high of 14.52%, with high-end advanced steel products contributing significantly to profits [1] - The gross margin for H1 2025 increased by 2.32 percentage points, contributing 46.67% to the overall profit [1] Strategic Focus - The company continues to invest in research and development, focusing on advanced steel products to provide solutions for the upgrade of high-end manufacturing [1] - There is optimism regarding the application prospects of high-value-added steel in the shipbuilding and automotive industries, which are expected to maintain high levels of prosperity [1] Future Outlook - The advanced steel products are anticipated to continuously support profit growth, with expectations of stable profit enhancement in the future [1] - The company is expected to strengthen its dividend capability, with high dividends anticipated [1] - Based on comparable companies' 2025 price-to-book (PB) ratio of 1.22X, the target price is set at 5.70 yuan, maintaining a "buy" rating [1]

Report Title - Manganese Silicon Weekly Report (August 18 - August 22) [1] Report Industry Investment Rating - Not provided Core Viewpoints - In the cost aspect, the centralized pre - procurement of northern alloy plants is nearing completion, port activity has decreased, high - price offers from miners are reducing, and the "buy on rising" sentiment in the market has increased with strong wait - and - see mood and cautious procurement. Coke has been stable recently, and the current spot cost has little change [2]. - Regarding the supply side, the overall start - up of the north and south markets has little fluctuation. Factory inventory pressure is temporarily not large as manufacturers were active in hedging or selling before. Due to the weak operation of the silicon - manganese futures market and cost inversion, alloy plants are reluctant to lower prices, and many are not quoting prices, with a rising bearish sentiment in the market [2]. - From the demand side, affected by the decline of the silicon - manganese futures market, the new steel tender prices have dropped significantly after the HeSteel tender, with acceptance pricing concentrated around 5850 - 5900 yuan/ton, and the acceptance of silicon - manganese alloy is average. The approaching military parade production restrictions in northern steel mills are expected to temporarily suppress the demand for silicon - manganese alloy [2]. - Overall, the sentiment in the silicon - manganese market has cooled slightly recently. The silicon - manganese price stabilized after a mid - week decline, and the future price trend still depends on the futures market fluctuations and changes in supply - demand fundamentals. It is predicted that the market will continue to fluctuate in the short term [2]. Summary by Directory Manganese Silicon Supply - **Capacity**: Data on the monthly capacity of Chinese silicon - manganese enterprises and annual production in different regions such as Guangxi, Guizhou, Inner Mongolia, Ningxia, Yunnan, and other areas are presented [6][7] - **Production**: - Annual, weekly, and monthly production data of Chinese silicon - manganese are shown, along with the weekly start - up rate of silicon - manganese enterprises [7][10] - Monthly production in Inner Mongolia, Ningxia, and Guizhou, and daily average production in Inner Mongolia, Ningxia, Guizhou, and Guangxi are provided [11][12] Manganese Silicon Demand - **Procurement Volume**: Monthly procurement volumes of silicon - manganese 6517 by enterprises such as HeSteel Group, Shagang Co., Ltd., and Nanjing Iron & Steel Co., Ltd., as well as the weekly demand in China are presented [13] - **Steel Tender Procurement Price**: Monthly procurement prices of silicon - manganese 6517 by enterprises like Baoshan Iron & Steel Co., Ltd., Baowu Egang, and others are shown [15] - **Daily Average Hot Metal and Profit**: Weekly data on the daily average hot metal production and profitability of 247 steel enterprises in China are provided [17] Manganese Silicon Import and Export - Monthly import and export quantities of ferromanganese - silicon in China are presented [19] Manganese Silicon Inventory - Weekly inventory data of 63 sample silicon - manganese enterprises in China, and monthly average available days of inventory in China, the northern region, and the eastern region are provided [21] Manganese Silicon Cost - **Manganese Ore Import Volume**: Monthly import volumes of manganese ore from different sources and trade methods are presented [23] - **Manganese Ore Port Inventory and Available Days**: Weekly port inventory data of manganese ore in China, Qinzhou Port, and Tianjin Port, as well as the weekly average available days of inventory in China are provided [25] - **High - Grade Manganese Ore Port Inventory**: Weekly port inventory data of high - grade manganese ore from different origins in Qinzhou Port and Tianjin Port are presented [27] - **Tianjin Port Manganese Ore Price**: Daily price data of different types of manganese ore in Tianjin Port are provided [28] - **Regional Cost**: Daily cost data of silicon - manganese in regions such as Inner Mongolia, the northern region, Ningxia, the southern region, and Guangxi are presented [29] Manganese Silicon Profit - Daily profit data of silicon - manganese in regions such as the northern region, the southern region, Inner Mongolia, Ningxia, and Guangxi are presented [31]

Company Overview - Nanjing Steel Co., Ltd. is located in Liuhe District, Nanjing, Jiangsu Province, established on March 18, 1999, and listed on September 19, 2000. The company primarily engages in black metal smelting and rolling processing, with steel and steel billet sales as its main business [1][2]. Financial Performance - For the first half of 2025, Nanjing Steel reported operating revenue of 28.944 billion yuan, a year-on-year decrease of 14.06%. However, the net profit attributable to shareholders increased by 18.63% to 1.463 billion yuan [2]. - Cumulatively, the company has distributed 12.705 billion yuan in dividends since its A-share listing, with 4.223 billion yuan distributed over the past three years [3]. Stock Performance - As of August 25, Nanjing Steel's stock price increased by 5.75% year-to-date, with a 11.19% rise over the last five trading days, 6.10% over the last 20 days, and 14.32% over the last 60 days [1]. - The stock was trading at 4.87 yuan per share, with a market capitalization of 30.024 billion yuan [1]. Shareholder Structure - As of June 30, 2025, the number of shareholders increased to 63,700, a rise of 5.10%. The average circulating shares per person decreased by 4.85% to 96,856 shares [2]. - The top ten circulating shareholders include various institutional investors, with notable changes in holdings among them [3].

Price Summary - Steel prices have decreased this week, with Shanghai 20mm HRB400 rebar priced at 3270 CNY/ton, down 30 CNY/ton from last week [1][2] - High-line 8.0mm is priced at 3420 CNY/ton, down 50 CNY/ton [1][2] - Hot-rolled 3.0mm is at 3420 CNY/ton, down 40 CNY/ton [1][2] - Cold-rolled 1.0mm is priced at 3830 CNY/ton, down 50 CNY/ton [1][2] - Common medium plate 20mm is at 3470 CNY/ton, down 50 CNY/ton [1][2] - Domestic ore prices are stable to rising, while imported ore prices are stable to falling, and scrap steel prices have decreased [2] Profit Analysis - Steel profits have declined this week, with rebar, hot-rolled, and cold-rolled margins changing by -58 CNY/ton, -50 CNY/ton, and -42 CNY/ton respectively [2] - Electric arc furnace steel margins have decreased by -34 CNY/ton [2] Production and Inventory - Total production of five major steel products reached 8.78 million tons, an increase of 64,300 tons week-on-week [3] - Construction steel production decreased by 37,100 tons week-on-week, while plate production increased by 101,400 tons [3] - Rebar production decreased by 58,000 tons to 2.1465 million tons [3] - Total social inventory of five major steel products increased by 264,300 tons to 10.1621 million tons [3] - Steel mill inventory decreased by 13,000 tons to 4.2383 million tons [3] - Apparent consumption of rebar was estimated at 1.948 million tons, an increase of 48,600 tons week-on-week [3] Investment Recommendations - The expansion of U.S. steel and aluminum tariffs has put pressure on steel prices [4] - The U.S. Department of Commerce has extended tariffs to 407 categories of steel and aluminum derivatives, affecting most downstream steel manufacturing [4] - Seasonal demand weakness and a vacuum in supply-side policies have led to a significant narrowing of steel mill profits [4] - Long-term capacity management remains a key focus, with a combination of market-oriented and administrative measures expected to optimize crude steel supply [4] - Recommended stocks include: - General steel sector: Hualing Steel, Baosteel, Nanjing Steel [4] - Special steel sector: Xianglou New Materials, CITIC Special Steel, Yongjin Co. [4] - Pipe materials: Jiuli Special Materials, Youfa Group, Wujin Stainless Steel [4] - Suggested focus on high-temperature alloy stocks: Fushun Special Steel [4]

Investment Rating - The investment rating for the steel industry is "Positive" [2] Core Viewpoints - The steel sector has shown a weekly increase of 1.89%, underperforming the broader market, which rose by 4.18% [10] - The average daily pig iron production reached 2.4075 million tons, reflecting a week-on-week increase of 0.09 thousand tons and a year-on-year increase of 119.8 thousand tons [25] - The five major steel product consumption increased to 8.53 million tons, a week-on-week rise of 21.97 thousand tons, or 2.64% [30] - Social inventory of the five major steel products rose to 10.172 million tons, a week-on-week increase of 26.37 thousand tons, or 2.66% [43] - The comprehensive index for ordinary steel decreased to 3,525.7 yuan/ton, a week-on-week decline of 40.71 yuan/ton, or 1.14% [49] - The report suggests that the steel industry is expected to maintain a stable supply-demand balance, supported by government policies aimed at stabilizing growth in real estate and infrastructure sectors [3][4] Summary by Sections 1. Market Performance - The steel sector's performance was weaker than the overall market, with specific segments like special steel declining by 0.38% and long products increasing by 0.53% [10][12] 2. Core Data - Pig iron production increased to 7.661 million tons, a week-on-week rise of 5.92 thousand tons [24] - The capacity utilization rate for blast furnaces was 90.3%, up by 0.03 percentage points week-on-week [25] - The average daily pig iron production was 2.4075 million tons, reflecting a year-on-year increase of 11.98 thousand tons [25] 3. Inventory - Social inventory of five major steel products increased to 10.172 million tons, a week-on-week rise of 26.37 thousand tons [43] - Factory inventory decreased to 4.238 million tons, a week-on-week decline of 1.30 thousand tons [41] 4. Prices & Profits - The comprehensive index for ordinary steel was 3,525.7 yuan/ton, down 1.14% week-on-week [49] - The profit for rebar production was 67 yuan/ton, a significant decrease of 54 yuan/ton week-on-week [58] - The average cost of pig iron was 2,364 yuan/ton, reflecting a week-on-week increase of 15 yuan/ton [58] 5. Raw Materials - The price of Australian iron ore at Rizhao Port was 770 yuan/ton, down 0.52% week-on-week [72] - The price of coking coal remained stable at 1,630 yuan/ton [72] - The price of first-grade metallurgical coke increased to 1,825 yuan/ton, up by 55 yuan/ton week-on-week [72]

Investment Rating - The report maintains a "Buy" rating for the company with a target price of 5.70 CNY based on a price-to-book (PB) ratio of 1.22X for comparable companies [2][4]. Core Views - The company's high-end products are expected to continue enhancing profits, with a robust dividend policy highlighting its long-term investment value [1]. - The company reported a significant increase in net profit for the first half of 2025, achieving 1.463 billion CNY, a year-on-year growth of 18.63% and a quarter-on-quarter increase of 52.94%, demonstrating strong performance resilience [10]. - The product mix is improving, with a focus on high-value steel applications, particularly in shipbuilding and automotive sectors, which are projected to maintain high demand [10]. - The company plans to distribute a cash dividend of 0.1186 CNY per share for the first half of 2025, amounting to approximately 730 million CNY, representing 50% of the net profit attributable to shareholders [10]. Financial Summary - Revenue projections for 2025-2027 are adjusted to 62.048 billion CNY, 61.393 billion CNY, and 60.871 billion CNY respectively, with a slight growth forecast for 2025 [3]. - The company's gross margin is expected to improve from 10.6% in 2023 to 14.1% by 2027, indicating a positive trend in profitability [3]. - The net profit attributable to the parent company is forecasted to grow from 2.607 billion CNY in 2025 to 3.306 billion CNY in 2027, reflecting a strong growth trajectory [3].

Investment Rating - The report maintains a "Buy" recommendation for several steel companies, including Hualing Steel, Baosteel, Nanjing Steel, and others in the special steel and pipe sectors [5]. Core Insights - The expansion of U.S. steel and aluminum tariffs has put pressure on steel prices, leading to a notable contraction in steel mill profits [5]. - The report highlights that the long-term focus will remain on capacity management, with a combination of market-oriented and administrative measures expected to optimize crude steel supply [5]. - The report indicates that the seasonal decline in steel demand, coupled with a vacuum in supply-side policies, has resulted in a significant narrowing of steel mill profits [5]. Price Trends - As of August 22, 2025, steel prices have decreased, with Shanghai's 20mm HRB400 rebar priced at 3,270 CNY/ton, down 30 CNY/ton from the previous week [3][11]. - The prices for various steel products have shown a downward trend, with hot-rolled and cold-rolled steel also experiencing price reductions [3][11]. Production and Inventory - As of August 22, 2025, the production of five major steel products increased to 8.78 million tons, with total inventory rising by 264,300 tons to 10.1621 million tons [4]. - The apparent consumption of rebar was estimated at 1.948 million tons, reflecting a week-on-week increase of 48,600 tons [4]. Profitability - The report notes a decline in steel profitability, with margins for rebar, hot-rolled, and cold-rolled steel decreasing by 58 CNY/ton, 50 CNY/ton, and 42 CNY/ton respectively [3][5]. Recommendations - The report recommends specific companies for investment, including Hualing Steel, Baosteel, Nanjing Steel in the general steel sector, and Xianglou New Materials, CITIC Special Steel in the special steel sector [5].

Investment Rating - The industry is rated as "Buy" for key companies such as Hualing Steel, Nanjing Steel, Baosteel, and Xinguang Steel, indicating strong potential for price appreciation [8]. Core Viewpoints - The report suggests that the steel industry is experiencing a recovery phase, with expectations of improved fundamentals driven by supply-side reforms and demand recovery [14]. - The overall economic growth in the first half of the year was supported by both external and internal demand, with GDP growth reaching 5.3% [2]. - The report highlights that the steel sector is currently in a phase of capital surplus, which is expected to provide a favorable environment for market performance [2]. Supply Analysis - Daily average pig iron production has slightly increased to 2.408 million tons, with a marginal rise in long-process production [13]. - The capacity utilization rate for blast furnaces across 247 steel mills is reported at 90.3%, reflecting a year-on-year increase of 4.4% [18]. - The total inventory of five major steel products has increased by 1.8%, but the growth rate has narrowed compared to previous weeks [25]. Demand Analysis - Apparent consumption of five major steel products has improved, with a week-on-week increase of 2.6%, totaling 8.53 million tons [52]. - The demand for rebar has shown a recovery, with weekly consumption reaching 1.948 million tons, up by 2.6% [52]. Price and Profitability - The report notes a decline in steel prices, with the Myspic comprehensive steel price index decreasing by 1.1% week-on-week [73]. - The current cost of long-process rebar is reported at 3,428 CNY per ton, with a negative margin of 140 CNY per ton [73]. - The profitability of steel mills is under pressure, with a slight decrease in immediate gross margins observed [73]. Key Companies and Recommendations - The report recommends focusing on companies with strong safety margins and undervalued positions, including Hualing Steel, Nanjing Steel, and Baosteel [2]. - Companies benefiting from the energy sector, such as Jiuli Special Materials and Yongjin Co., are highlighted for their potential growth due to favorable market conditions [2].

Group 1 - Nanjing Iron and Steel Co., Ltd. has applied for a patent for a method using ultrasonic treatment technology to improve weld fatigue, with the application date being May 2025 [1] - The patent involves a multi-step process including weld information collection and analysis, adaptive ultrasonic treatment, effect evaluation and feedback, and post-treatment quality inspection [1] - The technology aims to enhance the effectiveness of weld fatigue improvement by allowing for real-time monitoring and adaptive adjustments during the treatment process, thus increasing stability and reliability [1] Group 2 - Nanjing Iron and Steel Co., Ltd. was established in 1999 and is primarily engaged in the black metal smelting and rolling processing industry [2] - The company has a registered capital of 616,509.1011 million RMB and has made investments in 58 enterprises [2] - Nanjing Iron and Steel has participated in 5,000 bidding projects and holds 4,626 patent records along with 18 trademark records [2]

| 日期 | 分配方案 | 派现金额合计（亿元） | 股息率（%） | | --- | --- | --- | --- | | 2025.06.30 | 10派0.5元（含税） | 0.30 | 0.75 | | 2024.12.31 | 10派1.1元（含税） | 0.65 | 1.76 | | 2024.09.30 | 10派0.5元（含税） | 0.30 | 0.82 | | 2024.06.30 | 10派0.2元（含税） | 0.12 | 0.32 | | 2023.12.31 | 10派1.2元（含税） | 0.71 | 1.69 | | 2022.12.31 | 10派0.5元（含税） | 0.30 | 0.67 | | 2021.12.31 | 10派0.5元（含税） | 0.30 | 0.51 | | 2020.12.31 | 10派1元（含税） | 0.60 | 1.50 | | 2013.12.31 | 10派1元（含税） | 0.60 | 0.99 | | 2013.06.30 | 10派1元（含税） | 0.60 | 0.86 | | 2010.12.31 | 10派1元（含税） | ...