Honghua Group (00196) announced interim results, loss attributable to shareholders of RMB 28.922 million, year-on-year profit to loss

According to the Zhitong Finance App, Honghua Group (00196) announced its 2026 interim results, with revenue of about 2.51 billion yuan, a year-on-year decrease of 3.5%; loss attributable to the company's shareholders was 28.922 million yuan, a year-on-year profit and loss; loss of 0.32 points per share.

According to the announcement, the main reasons for the decline in performance include: first, the direct impact of the military conflict between the US and Israel on the Group's Middle East market, and the phased suspension of drilling engineering service operations; a direct impact on the land drilling rig business, which accounts for nearly half of the Group's revenue, leading to delays in project repayments and an increase in supply chain costs; second, the dollar settlement share of the Group's overseas projects was high, causing exchange losses during the reporting period; third, the fracturing business was affected by cyclical adjustments in the domestic market, and revenue declined sharply year on year.