Huafon Chemical: net profit estimated to reduce 37.7%-42.9% YOY in H1 2022

Huafon Chemical announced that the net profit attributable to shareholders of listed companies is expected to be 2.2-2.4 billion yuan in 2022, down 37.7%-42.9% from the same period last year; the net profit after deducting non-recurring profits and losses is anticipated to be 2.15 -2.35 billion yuan, down 38.62%-43.84% on annual basis.
 

In the first half of 2022, the price of the company's main raw materials rose sharply on the year, the production cost rose sharply compared with the same period last year, but the company's profitability declined greatly on annual basis. Among which, demand for spandex was weak. Price of spandex headed south while the cost ascended. The profit of spandex dropped the most apparently. As a result, the company's operating performance is expected to decline compared with the same period last year in the first half of 2022.