Core Viewpoint - China Qinfa (00866) has issued a profit warning, expecting a net loss of no more than RMB 98 million for the year, a significant decline from a net profit of approximately RMB 556 million in 2024, primarily due to the divestment of its Shanxi coal business [5]. Group 1: Financial Performance - The company anticipates a net loss of up to RMB 98 million for the current year, contrasting sharply with the previous year's profit of about RMB 556 million [5]. - The divestment of the Shanxi coal business has resulted in an operational loss of no more than RMB 226 million, indicating that the company has largely cleared its historical loss-making assets [5]. Group 2: Future Outlook - Following the divestment, the company will focus entirely on its Indonesian coal business, which is characterized by superior resource endowments and significant growth potential [5]. - The SDE coal mine is projected to double its raw coal production by 2025, with a more than ninefold increase in washed coal production, demonstrating a clear and certain growth path for future capacity [5].