China Resources Building Materials Technology Holdings Issues Significant Profit Warning for Q1 2026

Key Highlights from the Profit Warning Announcement

• Expected Loss for Q1 2026: The Group anticipates a loss attributable to owners of the Company between RMB170.0 million and RMB200.0 million for the three months ended 31 March 2026.
• Comparison to Q1 2025: This represents a significant reversal from the profit of RMB107.0 million recorded in the same period last year.
• Key Reason for Loss: The loss is primarily due to lower selling prices of the Group’s cement products and concrete, which led to a decline in both consolidated gross profit and gross margin.
• Nature of Announcement: The figures are based on preliminary unaudited consolidated management accounts and other information currently available, and have not been audited or reviewed by the company’s independent auditor or audit committee.
• Potential for Further Adjustments: The results may be subject to further adjustments or amendments when the official unaudited quarterly financial results are released.

Details Investors and Shareholders Should Note

This announcement is considered inside information under the Hong Kong Listing Rules and the Securities and Futures Ordinance.
It is crucial for current and potential investors to be aware of the following potentially price-sensitive details:

• Material Deterioration of Financial Performance: The swing from a profit of RMB107.0 million to a projected loss of up to RMB200.0 million is substantial and could materially impact the Company’s share price.
• Market Conditions: The primary factor cited is the significant reduction in selling prices for the Group’s key products—cement and concrete—indicating possible ongoing market weakness or increased competition.
• Further Announcements Possible: The Company may issue additional announcements should more information become available or if there are further developments requiring disclosure under the Listing Rules.
• Exercise Caution: The Board advises shareholders and investors to exercise caution when dealing in the shares of the Company in light of this information.
• Board of Directors: The announcement is authorized by the Board, chaired by Mr. Jing Shiqing, and includes a comprehensive listing of all executive, non-executive, and independent non-executive directors.

Summary and Potential Share Price Impact

This profit warning represents a major downward revision to the Company’s short-term outlook and could have a significant negative effect on investor sentiment and the Company’s share price. The sharp year-on-year reversal, stemming from weaker industry pricing and lower gross margins, signals a challenging operating environment for China Resources Building Materials Technology Holdings Limited.

Investors should monitor further disclosures from the Company, as the final quarterly results may differ from the preliminary estimates provided in this announcement.

Disclaimer: This article is based on the Company’s official announcement and publicly available information. The profit warning figures are preliminary and unaudited; final results may differ. Investors are advised to exercise caution and consult with their financial advisors before making any investment decisions based on this news.

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