Fangyuan Company: Expected to reduce losses in 2025, with the main body and debt credit rating maintained at BBB.

Fangyuan Group announced that it is expected that the net profit attributable to the owners of the parent company will be between -1.20 billion yuan and -0.80 billion yuan in 2025, with a significant narrowing of losses compared to the same period last year, which was -4.27 billion yuan. The loss in 2025 is mainly due to the suspension of production line upgrades in the first half of the year, while in the second half of the year, it is expected to turnaround due to the recovery of raw material prices, increased product sales, and cost adjustments. Zhongzheng Pengyuan notes that the company's operating performance improved in the second half of the year, but the sustainability of the performance remains to be seen, and it faces challenges such as high leverage and liquidity pressure. It has decided to maintain the credit rating of the company's main body and "Fangyuan Convertible Bonds" at BBB, with a stable outlook, valid until the maturity of the "Fangyuan Convertible Bonds".