HC ENV TECH(02265) announces that the expected annual net profit attributable to shareholders is 88 million to 89 million yuan, an increase of approximately 46.7% to 48.3% compared to the previous year.

HC ENV TECH (02265) announces that the Group is expected to achieve a profit attributable to owners of the Company of approximately RMB 88 million to RMB 89 million for the year ending December 31, 2025 (the year), representing an increase of approximately 46.7% to 48.3% compared to the profit attributable to owners of the Company of approximately RMB 60 million for the year ending December 31, 2024. The Group is expected to generate revenue of approximately RMB 325 million for the year, an increase of approximately 39.1% compared to revenue of approximately RMB 234 million for the same period in 2024. The Board of Directors believes that the increase in profit attributable to owners of the Company and Group revenue is primarily attributable to: the increase in selling prices of the Group's main products, sulfur concentrate and sulfuric acid, driving a significant improvement in the overall income and profitability of the Group. The Group's gross profit margin increased from approximately 56.3% for the year ending December 31, 2024 to approximately 59.7% for the year, and the Group began production and sales of new downstream products (namely ammonium sulfamate and magnesium sulfate fertilizer) in the fourth quarter of the year, contributing to the increase in revenue for the year. However, the increase in administrative expenses and research and development expenses during the year partially offset the year-on-year increase in profit attributable to owners of the Company.