Summary by Moomoo AI
HENAN JINYUAN HYDROCHEMICAL CO., LTD. (“JINYUAN HYDROGENATION”) ISSUED A PROFIT WARNING ON FEBRUARY 26, 2024, AND ANNOUNCED THAT PROFIT FOR THE YEAR ENDED DECEMBER 31, 2023 WILL BE REDUCED BY APPROXIMATELY HALF COMPARED TO THE PREVIOUS FISCAL YEAR. The drop in expectations continues a trend disclosed by the company in the IPO on December 12, 2023, when the report noted that profit for the first half of the 2023 fiscal year had fallen by more than 40% compared to the same period last year. Jinyuan Hydrogenation noted that the profit decline was mainly due to a sharp drop in the average selling price of liquefied natural gas due to the geopolitical conflict in Eastern Europe and a decrease of about 8% in the average sales price of hydrogen-phenylated chemicals. However, the company expects an additional 20 million tonnes of hydrophenylated chemical production per annum, which is fully operational in FY 2024, to help boost profits for FY 2024. Jinyuan Hydride will announce full year results at the end of March 2024.