Aowei Holdings (01370) expects shareholders to account for a loss of no more than 20 million yuan in the interim

According to the Zhitong Finance App, Aowei Holdings (01370) issued an announcement. It is expected that in the six months ending June 30, 2026, the loss due to the company's equity holders will not be more than RMB 20 million. Compared with the loss of RMB 75.6 million in the same period last year, the expected loss will decrease by about 73.5% year-on-year. The year-on-year narrowing of losses during the reporting period was mainly due to (1) the increase in the sales price of iron powder during the reporting period, and the Group continued to strengthen cost control and reduce various expenses such as raw material procurement and transportation, leading to an increase in gross margin; (2) the gravel aggregate business of Laiyuan County Jiheng Mining Co., Ltd. is gradually recovering, and production and sales have increased in the past half of the year; (3) impairment losses (net amount after deduction) under the Group's expected credit loss model changed from large accruals in the same period last year to depreciation in the current period.