Huasheng Shares (600156): Profit To Loss In The First Half Of The Year: 68 Million Yuan - 79 Million Yuan

Huasheng (600156) announced on the evening of July 14 that the net profit attributable to the owners of the parent company in the half year of 2022 is expected to be - 68 million yuan to - 79 million yuan, from profit to loss on a year-on-year basis. After deducting the non recurring profit of the parent company from RMB 51 million to RMB 60 million, the non recurring profit of the parent company is expected to be realized from the year of 2020 to half.

The main reasons are as follows: (1) due to the cautious attitude of the capital market to the economic situation, the fair value of Xiangcai shares held by the company decreased compared with the previous period, resulting in the loss of profits in the current period. （2） Affected by the epidemic situation, Hunan Huasheng Textile Technology Co., Ltd. invested and constructed by Hunan Huasheng Zhuzhou cedar Co., Ltd. failed to achieve the production and efficiency on schedule, which had a certain impact on the company's expected profits. （3） Hunan Huasheng Dongting Hemp Industry Co., Ltd., a holding subsidiary, stopped production, and part of the employees were resettled, resulting in related expenses, which had an impact on the current profits.