On August 11, Wanhua Chemical released its 1H 2025 financial report. The company posted revenue of CNY 90.90 billion, down 6.4 % year-on-year; net profit attributable to shareholders was CNY 6.12 billion, down 25.1 %; recurring net profit was CNY 6.24 billion, down 22.9 %; and net cash from operating activities was CNY 10.53 billion, up 2.3 %.
In the second quarter, revenue reached CNY 47.83 billion (-6.0 % YoY); net profit attributable to shareholders was CNY 3.04 billion (-24.3 % YoY); and recurring net profit was CNY 3.20 billion (-19.3 % YoY).
In the report, the company noted that despite weak global demand and geopolitical tensions, the chemical industry remained stable overall. Wanhua continued to optimize the structure of its polyurethane, petrochemicals, specialty chemicals and advanced materials businesses. Within polyurethane, demand from new-energy and high-end manufacturing segments was robust, while overseas energy-efficient construction markets underperformed.
In petrochemicals, concentrated capacity additions created supply-demand imbalances, pushing prices lower and compressing margins. Specialty chemicals and advanced materials benefited from supportive national policies and achieved steady growth with promising prospects. Under the management theme of “Year of Transformation,” the company reorganized structures and mindsets, strengthened cost control and resource-allocation efficiency, and responded actively to market shifts to sustain optimization.
Wanhua remains innovation-driven to upgrade its portfolio. It is advancing next-generation MDI technology, expanding capacity and implementing energy-saving projects to achieve best-in-class cost competitiveness. In-house technologies are being commercialized rapidly: the MS unit started up successfully on the first attempt, enriching the optical product line; tert-butylamine reached industrial scale, extending the specialty amine chain; sulfone polymers have produced on-spec material, rounding out Wanhua’s engineering-plastics solutions; bio-based 1,3-butanediol has been qualified by cosmetics customers. Battery-material R&D continues to accelerate: fourth-generation lithium iron phosphate is already in mass production, and the fifth generation has completed its initial release. A differentiation strategy yielded multiple high-value-added POE, polyolefin, nylon 12 and modified-material grades, penetrating niche markets and boosting new-business capabilities. AI-enabled research projects are progressing in an orderly manner; the National Key Laboratory for High-Performance Organic Optical Polymers and Advanced Manufacturing Technologies remains focused on strategic needs, deepening external collaboration and building mutually beneficial ecosystems with industry partners. In 2025, the company filed 469 domestic and international invention patents and was granted 269, accelerating overseas patent deployment to support global expansion of new businesses.
Source: Wanhua Chemical, translated by PUdaily
