Shuifa Energas Gas Co Ltd

Shuifa Gas released its 2026 interim report. The company's total operating revenue was 1.117 billion yuan, and net profit attributable to the parent was 40.33 million yuan, an increase of 101 million yuan compared with the same reporting period last year, turning loss into profit year-on-year. Net cash inflow from operating activities was 34.31 million yuan, the asset-liability ratio was 48.92%, the gross margin was 15.67%, and diluted earnings per share was 0.08 yuan.

Hongtong Gas and Shuifa Gas disclosed their 2026 semi-annual reports on the same day, with second-quarter net profit attributable to shareholders rising 2055.25% and 565.53% quarter-on-quarter respectively. Hongtong Gas reported first-half revenue of 1.335 billion yuan, down 10.20% year-on-year, and net profit attributable to shareholders of 98.9563 million yuan, up 35.77% year-on-year. Shuifa Gas reported first-half revenue of 1.117 billion yuan, down 6.08% year-on-year, and net profit attributable to shareholders of 40.3321 million yuan, turning from a loss to a profit year-on-year. Both companies saw revenue decline but profit surge, mainly due to a rapid spike in LNG prices in the second quarter, locking in low-cost gas sources, and reversals of impairments. Among the top ten shareholders, Morgan Stanley increased its holdings in both companies, raising its stake in Hongtong Gas by 831,300 shares to 938,600 shares, and increasing its stake in Shuifa Gas by more than 2 million shares.

In early trading on July 13, industrial gas concept stocks opened sharply higher. Shuifa Gas hit its daily limit up at the open. Jinhong Gas and Huate Gas were among the top gainers, while Kemet Gas and Hangyang also surged to their daily limits. On the news front, the Ministry of Commerce and the General Administration of Customs announced on July 10 temporary export controls on helium. The traditional Chinese medicine sector was active, with Yiling Pharmaceutical, Kangyuan Pharmaceutical, and Taiji Group among the top gainers. Longshenrongfa rose over 16 percent, and Harbin Pharmaceutical and Lifang Pharmaceutical hit their daily limits. This followed the State Council's approval of the 15th Five-Year Plan for the Revitalization and Development of Traditional Chinese Medicine. In Hong Kong, the market opened lower but then moved higher, with the Hang Seng Tech Index briefly gaining over 1 percent.

China's Ministry of Commerce and the General Administration of Customs issued a notice on July 10, imposing temporary export ban management on helium, triggering a sharp opening surge for industrial gas concept stocks on the morning of July 13. Jinhong Gas and Huate Gas led the gains, Shuifa Gas hit the daily limit at the open, Jovo Energy locked in its second consecutive daily limit, and stocks such as KMT Gas and Hangzhou Oxygen also hit their daily limits. Helium is hailed as the 'golden gas' and is indispensable in semiconductor manufacturing. With demand surging recently, Zhang Zhijun, deputy manager of the production department at Shanghai Youjiali Specialty Gases, said daily output has doubled compared with the start of the year. The China Industrial Gases Industry Association noted in a statement that this move is an important measure to safeguard helium resource security and promote high-quality development of the industry, and will help maintain the stability of the global gas supply chain.