Annual revenue surpasses 100 billion yuan for the first time! Shandong Gold's net profit in 2025 exceeds 4.7 billion yuan but still falls short of institutional expectations, with net profit attributable to the parent company decreasing by over 30% quarter-over-quarter in the fourth quarter.

Every reporter｜Cai Ding Every editor｜Xu Shaohang

Shandong Gold (SH600547, stock price 38.03 yuan, market value 175.3 billion yuan) disclosed its 2025 annual report on the evening of March 26. The company achieved a revenue of 104.287 billion yuan in 2025, a year-on-year increase of 26.38%; achieved a net profit attributable to the parent company of 4.739 billion yuan, a year-on-year increase of 60.57%; achieved a net profit of 4.993 billion yuan after deducting non-recurring gains and losses, a year-on-year increase of 66.91%; basic earnings per share were 0.94 yuan/share. The company plans to distribute a cash dividend of 1.8 yuan per 10 shares (tax included).

Image source: Shandong Gold annual report

According to data compiled by the Wind financial terminal, four institutions participating in the forecast have a consensus estimate for Shandong Gold’s net profit attributable to the parent company in 2025 of approximately 5.616 billion yuan. Therefore, according to the company’s disclosed data of 4.739 billion yuan, the company’s performance fell short of some institutions’ expectations.

In addition, the annual report shows that during the reporting period, due to the decline in the fair value of other non-current financial assets held by its subsidiaries at the end of the period, Shandong Gold’s fair value change income dropped sharply from -253 million yuan in the previous year to -1.496 billion yuan, among which, the investment in Donghai Securities held by Shandong Gold’s subsidiary Shanjin Jin控 incurred a fair value change loss of nearly 1.173 billion yuan.

Looking vertically, the revenue of 104.287 billion yuan and the net profit attributable to the parent company of 4.739 billion yuan both set a new annual record for Shandong Gold, and the revenue broke the 100 billion yuan mark for the first time in a single year. However, looking at it quarterly, Shandong Gold’s revenue and net profit attributable to the parent company in the fourth quarter of 2025 both recorded a quarter-on-quarter decline: revenue decreased by 24.11% to 20.504 billion yuan, and net profit attributable to the parent company decreased by 31.77% to 783 million yuan.

Image source: Wind

While achieving growth in 2025, Shandong Gold demonstrated a strong cash generation capability: the net cash flow generated from operating activities during the reporting period reached 21.493 billion yuan, a year-on-year increase of 61.12%. In addition, Shandong Gold’s weighted average return on equity (ROE) in 2025 reached 15.59%, an increase of 4.74 percentage points year-on-year, significantly improving capital operation efficiency.

Image source: Shandong Gold annual report

In terms of gold production, Shandong Gold’s mineral gold output in 2025 reached 48.89 tons, an increase of 2.72 tons (an increase of 5.89%). Among them, the company’s domestic mines produced 36.31 tons of gold, maintaining its leading position among domestic gold mining listed companies; the overseas mines produced 12.58 tons of gold, a substantial increase of 60.2%, accounting for 13.98% of the total gold output from overseas mines of major gold groups, as overseas layouts enter a capacity release period.

In terms of exploration and reserve increase, Shandong Gold invested 810 million yuan in exploration throughout the year, achieving an additional gold resource of 81 tons, significantly exceeding the production consumption (with new resource amounts of 8.3 tons, 7.5 tons, and 17.6 tons added in Sanshandao, Jiaojia, and Qinghai Dachaidan respectively). As of the end of 2025, the company held gold resource reserves of 1,979.33 tons (calculated based on the company’s equity ratio).

The annual report also shows that during the reporting period, the Shandong Gold Sanshandao auxiliary shaft project was successfully excavated to completion, leading China’s mining industry into the “deep earth era” at a depth of 2,000 meters, while the resource integration and development projects of Jiaojia and Xincheng gold mines are also being efficiently advanced.

Although Shandong Gold recorded performance growth during the reporting period and revenue first broke the 100 billion yuan mark, according to data compiled by the Wind financial terminal, the consensus forecast values from four participating institutions for Shandong Gold’s 2025 revenue and net profit attributable to the parent company were approximately 105.669 billion yuan and 5.616 billion yuan respectively. Therefore, according to the company’s disclosed data, the actual revenue and net profit fell short of expectations. Among them, 104.287 billion yuan is 1.31% lower than the consensus forecast, and the net profit attributable to the parent company of 4.739 billion yuan is 15.61% lower than the consensus forecast.

Image source: Wind

The reporter from “Daily Economic News” (hereinafter referred to as “the reporter”) also noted that during the reporting period, Shandong Gold’s investment income was -570 million yuan (compared with -175 million yuan in the same period last year), with the expanded loss mainly due to increased losses from the company’s gold futures trading and T+D business during the period.

In addition, the fair value change income expanded from -253 million yuan in the previous year to -1.496 billion yuan. The main drag was the decline in the fair value of other non-current financial assets held by subsidiaries at the end of the period. It should be noted that among them, the investment in Donghai Securities held by Shanjin Jin控 incurred a fair value change loss of nearly 1.173 billion yuan.

The annual report also shows that Shandong Gold’s asset impairment loss during the period reached 799 million yuan, while it was only 50.27 million yuan in the same period last year. The surge was mainly due to the provision for goodwill impairment loss of 339 million yuan and fixed asset impairment loss of 452 million yuan.

The reporter also noticed that Shandong Gold’s short-term debt structure and cash outflow pressure have increased——as of the end of 2025, the company’s “non-current liabilities due within one year” increased by 59.96% to 11.034 billion yuan, and accounts payable increased by 112.59% to 6.096 billion yuan, and taxes payable increased by 156.24% to 2.465 billion yuan.

Cover image source: Every Media Asset Library