New Risk • May 12
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 8.0% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 54% per year over the past 5 years. Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (8.0% average weekly change). Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (1.1% net profit margin). New Risk • Apr 28
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 55% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 54% per year over the past 5 years. Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (1.1% net profit margin). Reported Earnings • Apr 19
First quarter 2026 earnings released: EPS: CN¥0.03 (vs CN¥0.05 in 1Q 2025) First quarter 2026 results: EPS: CN¥0.03 (down from CN¥0.05 in 1Q 2025). Revenue: CN¥1.51b (down 6.2% from 1Q 2025). Net income: CN¥34.1m (down 40% from 1Q 2025). Profit margin: 2.3% (down from 3.5% in 1Q 2025). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 61% per year but the company’s share price has only increased by 11% per year, which means it is significantly lagging earnings growth. Announcement • Mar 30
Jiangsu SOPO Chemical Co. Ltd. to Report Q1, 2026 Results on Apr 18, 2026 Jiangsu SOPO Chemical Co. Ltd. announced that they will report Q1, 2026 results on Apr 18, 2026 Announcement • Dec 26
Jiangsu SOPO Chemical Co. Ltd. to Report Fiscal Year 2025 Results on Apr 18, 2026 Jiangsu SOPO Chemical Co. Ltd. announced that they will report fiscal year 2025 results on Apr 18, 2026 Reported Earnings • Oct 28
Third quarter 2025 earnings released: EPS: CN¥0.021 (vs CN¥0.078 in 3Q 2024) Third quarter 2025 results: EPS: CN¥0.021 (down from CN¥0.078 in 3Q 2024). Revenue: CN¥1.50b (down 14% from 3Q 2024). Net income: CN¥24.0m (down 73% from 3Q 2024). Profit margin: 1.6% (down from 5.1% in 3Q 2024). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 12% per year but the company’s share price has only fallen by 5% per year, which means it has not declined as severely as earnings. Announcement • Sep 30
Jiangsu SOPO Chemical Co. Ltd. to Report Q3, 2025 Results on Oct 28, 2025 Jiangsu SOPO Chemical Co. Ltd. announced that they will report Q3, 2025 results on Oct 28, 2025 Reported Earnings • Aug 14
Second quarter 2025 earnings released: EPS: CN¥0.039 (vs CN¥0.079 in 2Q 2024) Second quarter 2025 results: EPS: CN¥0.039 (down from CN¥0.079 in 2Q 2024). Revenue: CN¥1.54b (down 8.8% from 2Q 2024). Net income: CN¥44.8m (down 51% from 2Q 2024). Profit margin: 2.9% (down from 5.4% in 2Q 2024). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 51% per year but the company’s share price has only fallen by 10% per year, which means it has not declined as severely as earnings. Announcement • Jun 30
Jiangsu SOPO Chemical Co. Ltd. to Report First Half, 2025 Results on Aug 13, 2025 Jiangsu SOPO Chemical Co. Ltd. announced that they will report first half, 2025 results on Aug 13, 2025 Buy Or Sell Opportunity • May 06
Now 22% overvalued after recent price rise Over the last 90 days, the stock has risen 21% to CN¥8.51. The fair value is estimated to be CN¥6.99, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 11% over the last 3 years. Earnings per share has declined by 79%. Valuation Update With 7 Day Price Move • Apr 28
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to CN¥8.34, the stock trades at a trailing P/E ratio of 39.4x. Average trailing P/E is 36x in the Chemicals industry in China. Total loss to shareholders of 14% over the past three years. Reported Earnings • Apr 16
First quarter 2025 earnings released: EPS: CN¥0.05 (vs CN¥0.022 in 1Q 2024) First quarter 2025 results: EPS: CN¥0.05 (up from CN¥0.022 in 1Q 2024). Revenue: CN¥1.61b (up 7.6% from 1Q 2024). Net income: CN¥57.1m (up 123% from 1Q 2024). Profit margin: 3.5% (up from 1.7% in 1Q 2024). The increase in margin was driven by higher revenue. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 67 percentage points per year, which is a significant difference in performance. Announcement • Apr 16
Jiangsu SOPO Chemical Co. Ltd., Annual General Meeting, May 23, 2025 Jiangsu SOPO Chemical Co. Ltd., Annual General Meeting, May 23, 2025, at 14:00 China Standard Time. Location: 2F, No. 101, Qiusuo Road, Jingkou District, Zhenjiang, Jiangsu China Announcement • Mar 28
Jiangsu SOPO Chemical Co. Ltd. to Report Q1, 2025 Results on Apr 16, 2025 Jiangsu SOPO Chemical Co. Ltd. announced that they will report Q1, 2025 results on Apr 16, 2025 Valuation Update With 7 Day Price Move • Mar 27
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥8.65, the stock trades at a trailing P/E ratio of 26.7x. Average trailing P/E is 38x in the Chemicals industry in China. Total loss to shareholders of 27% over the past three years. Announcement • Dec 27
Jiangsu SOPO Chemical Co. Ltd. to Report Fiscal Year 2024 Results on Apr 16, 2025 Jiangsu SOPO Chemical Co. Ltd. announced that they will report fiscal year 2024 results on Apr 16, 2025 Reported Earnings • Oct 18
Third quarter 2024 earnings released: EPS: CN¥0.078 (vs CN¥0.092 in 3Q 2023) Third quarter 2024 results: EPS: CN¥0.078 (down from CN¥0.092 in 3Q 2023). Revenue: CN¥1.75b (up 19% from 3Q 2023). Net income: CN¥90.0m (down 16% from 3Q 2023). Profit margin: 5.1% (down from 7.3% in 3Q 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 69 percentage points per year, which is a significant difference in performance. Announcement • Sep 30
Jiangsu SOPO Chemical Co. Ltd. to Report Q3, 2024 Results on Oct 18, 2024 Jiangsu SOPO Chemical Co. Ltd. announced that they will report Q3, 2024 results on Oct 18, 2024 Valuation Update With 7 Day Price Move • Sep 30
Investor sentiment improves as stock rises 20% After last week's 20% share price gain to CN¥7.21, the stock trades at a trailing P/E ratio of 21.2x. Average trailing P/E is 30x in the Chemicals industry in China. Total loss to shareholders of 55% over the past three years. Reported Earnings • Aug 20
Second quarter 2024 earnings released: EPS: CN¥0.079 (vs CN¥0.13 loss in 2Q 2023) Second quarter 2024 results: EPS: CN¥0.079 (up from CN¥0.13 loss in 2Q 2023). Revenue: CN¥1.69b (up 53% from 2Q 2023). Net income: CN¥91.5m (up CN¥237.9m from 2Q 2023). Profit margin: 5.4% (up from net loss in 2Q 2023). The move to profitability was driven by higher revenue. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 55 percentage points per year, which is a significant difference in performance. Announcement • Jun 29
Jiangsu SOPO Chemical Co. Ltd. to Report First Half, 2024 Results on Aug 20, 2024 Jiangsu SOPO Chemical Co. Ltd. announced that they will report first half, 2024 results on Aug 20, 2024 Announcement • Jun 06
Jiangsu SOPO Chemical Co. Ltd., Annual General Meeting, Jun 26, 2024 Jiangsu SOPO Chemical Co. Ltd., Annual General Meeting, Jun 26, 2024, at 14:00 China Standard Time. Location: 2F, No. 101, Qiusuo Road, Jingkou District, Zhenjiang, Jiangsu China Board Change • Jun 04
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 5 non-independent directors. Independent Director Wei Jian Zhao was the last independent director to join the board, commencing their role in 2020. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Apr 18
Full year 2023 earnings released: EPS: CN¥0.015 (vs CN¥0.43 in FY 2022) Full year 2023 results: EPS: CN¥0.015 (down from CN¥0.43 in FY 2022). Revenue: CN¥5.39b (down 25% from FY 2022). Net income: CN¥17.9m (down 97% from FY 2022). Profit margin: 0.3% (down from 7.0% in FY 2022). Over the last 3 years on average, earnings per share has fallen by 59% per year but the company’s share price has only fallen by 22% per year, which means it has not declined as severely as earnings. Announcement • Mar 30
Jiangsu SOPO Chemical Co. Ltd. to Report Q1, 2024 Results on Apr 16, 2024 Jiangsu SOPO Chemical Co. Ltd. announced that they will report Q1, 2024 results on Apr 16, 2024 Announcement • Feb 08
Jiangsu SOPO Chemical Co. Ltd. (SHSE:600746) announces an Equity Buyback for CNY 90 million worth of its shares. Jiangsu SOPO Chemical Co. Ltd. (SHSE:600746) announces a share repurchase program. Under the program, the company will repurchase its own A shares for a total of CNY 90 million. The shares will be purchased at a price not exceeding CNY 9.91 per share. The purpose of the program is to improve the company's long-term incentive mechanism, promote the company's stable, healthy and sustainable development, and effectively protect the legitimate rights and interests of all shareholders. The repurchased shares will be used for the implementation of ESOP or equity incentive plan. If the company fails to use up the repurchased shares within 3 years after the announcement of the share repurchase implementation results and share changes, the unused repurchased shares will be cancelled. The program will be funded from company's own funds or self-raised funds. The program will be valid for 12 months. Announcement • Dec 29
Jiangsu SOPO Chemical Co. Ltd. to Report Fiscal Year 2023 Results on Apr 16, 2024 Jiangsu SOPO Chemical Co. Ltd. announced that they will report fiscal year 2023 results on Apr 16, 2024 Reported Earnings • Oct 26
Third quarter 2023 earnings released: EPS: CN¥0.092 (vs CN¥0.027 loss in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.092 (up from CN¥0.027 loss in 3Q 2022). Revenue: CN¥1.47b (down 11% from 3Q 2022). Net income: CN¥107.0m (up CN¥138.1m from 3Q 2022). Profit margin: 7.3% (up from net loss in 3Q 2022). The move to profitability was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 35% per year but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. Announcement • Sep 30
Jiangsu SOPO Chemical Co. Ltd. to Report Q3, 2023 Results on Oct 26, 2023 Jiangsu SOPO Chemical Co. Ltd. announced that they will report Q3, 2023 results on Oct 26, 2023 Reported Earnings • Aug 22
Second quarter 2023 earnings released: CN¥0.13 loss per share (vs CN¥0.28 profit in 2Q 2022) Second quarter 2023 results: CN¥0.13 loss per share (down from CN¥0.28 profit in 2Q 2022). Revenue: CN¥1.11b (down 52% from 2Q 2022). Net loss: CN¥146.4m (down 144% from profit in 2Q 2022). Over the last 3 years on average, earnings per share has fallen by 6% per year and the company’s share price has also fallen by 6% per year. Announcement • Jun 28
Jiangsu SOPO Chemical Co. Ltd. to Report First Half, 2023 Results on Aug 22, 2023 Jiangsu SOPO Chemical Co. Ltd. announced that they will report first half, 2023 results on Aug 22, 2023 Reported Earnings • Apr 08
Full year 2022 earnings released: EPS: CN¥0.43 (vs CN¥2.11 in FY 2021) Full year 2022 results: EPS: CN¥0.43 (down from CN¥2.11 in FY 2021). Revenue: CN¥7.17b (down 10% from FY 2021). Net income: CN¥505.1m (down 79% from FY 2021). Profit margin: 7.0% (down from 30% in FY 2021). The decrease in margin was primarily driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 57% per year but the company’s share price has only increased by 10% per year, which means it is significantly lagging earnings growth. Reported Earnings • Oct 26
Third quarter 2022 earnings released: CN¥0.027 loss per share (vs CN¥0.55 profit in 3Q 2021) Third quarter 2022 results: CN¥0.027 loss per share (down from CN¥0.55 profit in 3Q 2021). Revenue: CN¥1.66b (down 15% from 3Q 2021). Net loss: CN¥31.1m (down 105% from profit in 3Q 2021). Revenue is forecast to grow 4.0% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Chemicals industry in China. Over the last 3 years on average, earnings per share has increased by 81% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Reported Earnings • Aug 17
Second quarter 2022 earnings released: EPS: CN¥0.28 (vs CN¥0.82 in 2Q 2021) Second quarter 2022 results: EPS: CN¥0.28 (down from CN¥0.82 in 2Q 2021). Revenue: CN¥2.28b (up 1.8% from 2Q 2021). Net income: CN¥333.2m (down 65% from 2Q 2021). Profit margin: 15% (down from 43% in 2Q 2021). The decrease in margin was driven by higher expenses. Over the next year, revenue is forecast to grow 10%, compared to a 42% growth forecast for the Chemicals industry in China. Over the last 3 years on average, earnings per share has increased by 101% per year but the company’s share price has only increased by 19% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • May 30
Investor sentiment improved over the past week After last week's 16% share price gain to CN¥12.11, the stock trades at a trailing P/E ratio of 6.2x. Average trailing P/E is 25x in the Chemicals industry in China. Total returns to shareholders of 120% over the past three years. Valuation Update With 7 Day Price Move • Apr 29
Investor sentiment deteriorated over the past week After last week's 19% share price decline to CN¥10.87, the stock trades at a trailing P/E ratio of 5.6x. Average trailing P/E is 23x in the Chemicals industry in China. Total returns to shareholders of 50% over the past three years. Reported Earnings • Apr 27
First quarter 2022 earnings released: EPS: CN¥0.35 (vs CN¥0.52 in 1Q 2021) First quarter 2022 results: EPS: CN¥0.35 (down from CN¥0.52 in 1Q 2021). Revenue: CN¥2.07b (up 23% from 1Q 2021). Net income: CN¥407.6m (down 25% from 1Q 2021). Profit margin: 20% (down from 33% in 1Q 2021). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 118% per year but the company’s share price has only increased by 14% per year, which means it is significantly lagging earnings growth. Board Change • Apr 27
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 9 experienced directors. 1 highly experienced director. 3 independent directors (4 non-independent directors). Independent Director Yu Sheng Kong was the last independent director to join the board, commencing their role in 2017. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Reported Earnings • Mar 16
Full year 2021 earnings: EPS in line with expectations, revenues disappoint Full year 2021 results: EPS: CN¥2.11 (up from CN¥0.22 in FY 2020). Revenue: CN¥8.00b (up 111% from FY 2020). Net income: CN¥2.40b (up CN¥2.17b from FY 2020). Profit margin: 30% (up from 6.1% in FY 2020). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 6.3%. Earnings per share (EPS) surpassed estimates. Over the last 3 years on average, earnings per share has increased by 131% per year but the company’s share price has only increased by 18% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Nov 23
Investor sentiment improved over the past week After last week's 19% share price gain to CN¥15.41, the stock trades at a trailing P/E ratio of 7.7x. Average trailing P/E is 34x in the Chemicals industry in China. Total returns to shareholders of 167% over the past three years. Reported Earnings • Oct 23
Third quarter 2021 earnings released: EPS CN¥0.55 (vs CN¥0.043 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: CN¥1.94b (up 90% from 3Q 2020). Net income: CN¥646.3m (up CN¥601.5m from 3Q 2020). Profit margin: 33% (up from 4.4% in 3Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 140% per year but the company’s share price has only increased by 40% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Sep 29
Investor sentiment deteriorated over the past week After last week's 20% share price decline to CN¥17.09, the stock trades at a trailing P/E ratio of 11.6x. Average trailing P/E is 31x in the Chemicals industry in China. Total returns to shareholders of 154% over the past three years. Valuation Update With 7 Day Price Move • Aug 27
Investor sentiment improved over the past week After last week's 16% share price gain to CN¥24.41, the stock trades at a trailing P/E ratio of 15.3x. Average trailing P/E is 32x in the Chemicals industry in China. Total returns to shareholders of 357% over the past three years. Reported Earnings • Aug 18
Second quarter 2021 earnings released: EPS CN¥0.82 (vs CN¥0.039 loss in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: CN¥2.24b (up 238% from 2Q 2020). Net income: CN¥958.8m (up CN¥998.4m from 2Q 2020). Profit margin: 43% (up from net loss in 2Q 2020). The move to profitability was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 140% per year but the company’s share price has only increased by 62% per year, which means it is significantly lagging earnings growth. Announcement • Aug 17
Jiangsu SOPO Chemical Co. Ltd. (SHSE:600746) signed a share transfer agreement to acquire Jiangsu Dongpu New Materials Technology Co., Ltd. from Zhenjiang State-owned Investment Holding Group Company Limited for approximately CNY 360 million. Jiangsu SOPO Chemical Co. Ltd. (SHSE:600746) signed a share transfer agreement to acquire Jiangsu Dongpu New Materials Technology Co., Ltd. from Zhenjiang State-owned Investment Holding Group Company Limited for approximately CNY 360 million on August 13, 2021. The consideration shall be paid within 15 working days after the agreement becomes effective. As of March 31, 2021, total asset and net asset of Jiangsu Dongpu New Materials Technology Co., Ltd. was CNY 920 million and CNY 191 million respectively. The transaction was approved in the 4th Meeting of 9th Directorate of Jiangsu SOPO Chemical Co. Ltd. held on August 16, 2021, and does not need the shareholders approval. Valuation Update With 7 Day Price Move • Aug 10
Investor sentiment improved over the past week After last week's 24% share price gain to CN¥22.48, the stock trades at a trailing P/E ratio of 32.2x. Average trailing P/E is 31x in the Chemicals industry in China. Total returns to shareholders of 270% over the past three years. Valuation Update With 7 Day Price Move • Jul 12
Investor sentiment improved over the past week After last week's 18% share price gain to CN¥17.56, the stock trades at a trailing P/E ratio of 25.2x. Average trailing P/E is 30x in the Chemicals industry in China. Total returns to shareholders of 234% over the past three years. Valuation Update With 7 Day Price Move • Jun 11
Investor sentiment improved over the past week After last week's 20% share price gain to CN¥16.51, the stock trades at a trailing P/E ratio of 23.7x. Average trailing P/E is 30x in the Chemicals industry in China. Total returns to shareholders of 175% over the past three years. Reported Earnings • Apr 25
First quarter 2021 earnings released: EPS CN¥0.52 (vs CN¥0.048 in 1Q 2020) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2021 results: Revenue: CN¥1.68b (up 100% from 1Q 2020). Net income: CN¥545.6m (up CN¥497.5m from 1Q 2020). Profit margin: 33% (up from 5.7% in 1Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 108% per year but the company’s share price has only increased by 30% per year, which means it is significantly lagging earnings growth. Is New 90 Day High Low • Feb 10
New 90-day high: CN¥9.57 The company is up 47% from its price of CN¥6.50 on 12 November 2020. The Chinese market is up 8.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Chemicals industry, which is up 21% over the same period. Is New 90 Day High Low • Jan 11
New 90-day low: CN¥5.90 The company is down 5.0% from its price of CN¥6.20 on 13 October 2020. The Chinese market is up 5.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Chemicals industry, which is up 12% over the same period. Is New 90 Day High Low • Nov 24
New 90-day high: CN¥7.12 The company is up 1.0% from its price of CN¥7.04 on 26 August 2020. The Chinese market is flat over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Chemicals industry, which is up 7.0% over the same period. Is New 90 Day High Low • Oct 30
New 90-day low: CN¥5.92 The company is down 24% from its price of CN¥7.75 on 31 July 2020. The Chinese market is down 2.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Chemicals industry, which is up 2.0% over the same period. Is New 90 Day High Low • Sep 30
New 90-day low: CN¥5.99 The company is down 10.0% from its price of CN¥6.65 on 02 July 2020. The Chinese market is up 7.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Chemicals industry, which is up 15% over the same period. Announcement • Aug 13
Jiangsu SOPO Chemical Co. Ltd. announced that it expects to receive CNY 1 billion in funding Jiangsu SOPO Chemical Co. Ltd. (SHSE:600746) announced a private placement of not more than 314,504,490 A shares at a price not be lower than 80% of the median market price of the company’s shares as of 20 previous days to issuance date for gross proceeds of not more than CNY 1,000,000,000 on August 12, 2020. The transaction will include not more than 35 specific investors. The transaction has been approved in the 23rd meeting of the eighth session of the board of directors and the 20th meeting of the eighth board of supervisors of the company. The transaction is subject to approval in the company's shareholders meeting, by the competent state-owned approval authority and by the China Securities Regulatory Commission. The shares to be issued are subject to a lock-up period of 6 months from the date of issuance. Announcement • Jul 09
Jiangsu SOPO Chemical Co. Ltd. to Report First Half, 2020 Results on Aug 26, 2020 Jiangsu SOPO Chemical Co. Ltd. announced that they will report first half, 2020 results on Aug 26, 2020 
