United Strength Energy (02337.HK) announced on August 21 that the estimated net profit for the six months ending June 30, 2024 is expected to be no less than RMB 29 million, an increase of not less than about 300% compared to the net profit of about RMB 7 million for the six months ending June 30, 2023.

According to the current information available to the Board of Directors, the Board believes that the expected increase in net profit is mainly due to the increase in demand in the petroleum product market, leading to an increase in petroleum product sales. The reasons include (i) expanding customer base in the finished oil business; (ii) distribution of consumer vouchers by local governments; and (iii) resumption of economic activities in the northeastern region of China after the COVID-19 pandemic in the first half of 2024.