Yichen Industrial (01596) made a profit. It is expected that the consolidated net profit for the first half of the year will be about 48.7 million yuan, turning a year-on-year loss into profit

According to the Zhitong Finance App, Yichen Industrial (01596) issued an announcement. It is expected that the Group will obtain consolidated net profit of approximately RMB 47.7 million for the six months ending June 30, 2025, and a consolidated net loss of approximately RMB 42.2 million for the six months ending June 30, 2024, reflecting a change of loss to a profit of approximately RMB 90.9 million.

The Board of Directors believes that the improvement in the Group's financial performance is mainly due to: (i) there was no confirmation of fair value change losses relating to transactional financial assets in the six months ended June 30, 2025, and investment losses obtained from the disposal of transactional financial assets. The reason was that the Company had disposed of all securities held by Hong Kong listed companies in 2024, and for the six months ended June 30, 2024, the related loss was approximately RMB 58.1 million; (ii) the Group's gross profit increased by approximately RMB 25.2 million in the six months ended June 30, 2025, mainly due to railway projects Driven by changes in project construction progress and customer structure.