When facing thousands of listed company announcements every day, which ones should you read? What are the key points to take away from the dozens or hundreds of pages of material announcements? Are the many professional terms in the announcements bullish or bearish? Check out Caixin's "Quick Read Announcement" column, where our reporters across the country will provide you with accurate, fast and professional interpretations on the night of the announcement.

According to the financial report, in the first half of this year, Jiangsu Shagang achieved a revenue of 7.659 billion yuan, a year-on-year decrease of 0.83% (adjusted below); net profit attributable to shareholders of the listed company was 0.104 billion yuan, a year-on-year decrease of 11.82%; attributable non-net profit was 24.89 million yuan, a year-on-year increase of 0.58%, showing that the company still strives to maintain profitability in a difficult market environment.

Due to the continuous shock and downward trend of steel market prices, Jiangsu Shagang (002075.SZ) continued its downward trend in performance in the past two years, with revenue and net income in the first half of this year decreasing year-on-year.

In the first half of the year, the gross profit margin of the company's steel sector was 5.11%, a decrease of 1.26 percentage points from the same period last year. In terms of products, the gross profit margins of high-quality steel, steel for autos and construction machinery, and billets were all lower than last year, and the company's product line as a whole faced certain market pressure.

Jiangsu Shagang stated that in the first half of the year, the global economic recovery process was slow and uneven, and external demand remained sluggish. Affected by factors such as insufficient domestic demand and a slowdown in investment growth, the steel industry is in a state of "high output, high cost, low price, and low efficiency", and the industry has experienced widespread losses; the commercial vehicle gear industry has been affected by policy guidance, industry fluctuations, and changes in market demand structure, which to a certain extent also affects the company's gear products.

It is worth noting that in April 2024, Jiangsu Shagang completed the acquisition of 67% equity of Shandong Yinglun Machinery Co., Ltd. ("Shandong Yinglun") to seek strategic adjustment opportunities, with a transaction price of 0.354 billion yuan. This move further optimized the company's development pattern and formed a business model combining high-quality steel and gears.

According to the financial report, Shandong Yinglun, which operates the gear business, achieved revenue of 0.122 billion yuan and net profit of 0.023 billion yuan in the first half of the year. The company will be included in the scope of the listed company's merger statement in 2024.

The company mainly produces and sells special steel for black metal smelting and rolling processing, with existing production lines that combine long and short processes, supporting finishing processes, advanced equipment and technology, and an annual output of 3.2 million tons of special steel. The company is engaged in the production and sales of commercial vehicle engine gears, ship engine gears, new energy gears, and transmission gears, with advanced equipment and technology and an annual output of 2.1 million gears.

On August 20, Caixin reported (Reporter Wu Chao) due to the continuous shock and downward trend of steel market prices, Jiangsu Shagang (002075.SZ) continued its downward trend in performance in the past two years, with revenue and net income in the first half of this year decreasing year-on-year.