Summary of Hebang Biotech's 2025 Annual Report
Summary of the 2025 Annual Report of Sichuan Hebang Biotechnology Co., Ltd.
Company code: 603077 Company abbreviation: Hebang Biotech Bond code: 113691 Bond abbreviation: Hebang Convertible Bonds
Sichuan Hebang Biotechnology Co., Ltd.
2025 Annual Report Summary
Summary of the 2025 Annual Report of Sichuan Hebang Biotechnology Co., Ltd.
Section 1 Important Tips
The summary of this annual report comes from the full text of the annual report. In order to fully understand the company's operating results, financial status and future development plans, investors should go to www.sse.com.cn to read the full text of the annual report carefully.
The company’s board of directors, directors and senior managers guarantee the authenticity, accuracy and completeness of the contents of the annual report and that there are no false records, misleading statements or major omissions, and bear individual and joint legal liability.
All directors of the company attend the board meeting.
Sichuan Huaxin (Group) Accounting Firm (Special General Partnership) issued a standard unqualified audit report for the company.
The profit distribution plan for the reporting period or the plan for converting public reserve funds into share capital approved by the board of directors
As audited by Sichuan Huaxin (Group) Accounting Firm (Special General Partnership), the company's net profit attributable to shareholders of the listed company in 2025 was -536,406,669.49 yuan. As of December 31, 2025, the company's parent company's final undistributed profit in the statement was 3,269,436,559.98 yuan.
In view of the fact that the company's net profit attributable to shareholders of listed companies in 2025 is negative, and in combination with the "Articles of Association" and the company's future development plan and capital needs, in accordance with the "Regulatory Guidelines for Listed Companies No. 3 - Cash Dividends by Listed Companies", "Self-Discipline Supervision Guidelines for Listed Companies No. 1 - Standardized Operations" and other relevant regulations, the company has formulated a profit distribution plan for 2025 as follows: no profit distribution, no transfer of public reserve funds to share capital.
As of the end of the reporting period, the parent company had unrecovered losses and its impact on the company’s dividends and other matters
□Applicable √Not applicable
Section 2 Basic Information of the Company
- Company profile
Company Stock Profile
Stock type Stock listing exchange Stock abbreviation Stock code Stock abbreviation before change
A shares Shanghai Stock Exchange Hebang Biotech 603077 Hebang Shares
Contact and Contact Information Board Secretary Securities Affairs Representative
Name Jiang Siying Yuan Quan
Contact address Building C6, No. 8 Guangfu Road, Qingyang District, Chengdu City, Sichuan Province Building C6, No. 8 Guangfu Road, Qingyang District, Chengdu City, Sichuan Province Tel: 028-62050230 028-62050230
Summary of the 2025 Annual Report of Sichuan Hebang Biotechnology Co., Ltd.
Fax 028-62050290 028-62050290
Email [email protected] [email protected]
- Introduction to the company’s main business during the reporting period
(1) Mining industry
- Brine
Brine refers to liquid minerals with a salt content of more than 5%. It is a groundwater or surface water body with extremely high salinity. The company has its own salt mine and is engaged in the brine mining business. The brine produced is mainly used in the production of the company's bisglyphosate and joint alkali products, and is also supplied externally. Brine is a geo-resource product and is usually transported by pipeline. Limited by the transportation radius and pipeline infrastructure, the regional market has strong exclusivity, and there are basically no homogeneous substitute products in the same region.
- Phosphate rock
Phosphate rock refers to the general term for phosphate minerals that can be utilized economically. It is widely used in a wide range of industries, mainly agriculture and electronics industries. About 80% of the fertilizers and pesticides used in agriculture based on phosphate rock have no recycling mechanism and are natural non-renewable resources. Our country recognized this earlier and has introduced various policies since 2016, positioning it as "strategic non-metallic mineral resources". On February 18, 2026, the U.S. government invoked the Defense Production Act and signed an executive order to officially list elemental phosphorus and glyphosate as key strategic national defense materials.
The market price of phosphate rock has increased by 93% in Hubei in 10 years and by 155% in Sichuan in 4 years. In the past two years, the price has fluctuated slightly.
Chart: Phosphate ore market price trends
Data source: Baichuan Yingfu
(2) Chemical industry
- Glyphosate, diglyphosate
(1) Glyphosate
Glyphosate is the single pesticide with the largest market share in the world. It is a herbicide with the advantages of high efficiency, low toxicity, and broad-spectrum biocidal properties. It accounts for approximately 30% of the global herbicide market and 15% of the total global pesticide usage.
Glyphosate is the herbicide of choice for major field crops such as corn, soybeans, cotton, and wheat. It is also suitable for agricultural production during the rotation period and for weeding in orchards.
With the development of agricultural science and technology, the global planting area of genetically modified crops has increased by more than 120 times in the past 30 years, and has continued to grow in the past five years.
Judging from the latest industry trends, glyphosate has jumped from a traditional agricultural product to a strategic product involving food and agricultural security that is of great concern to major economies around the world.
On February 18, 2026, the U.S. government signed an executive order citing the Defense Production Act, officially classifying glyphosate and elemental phosphorus as "critical defense supplies."
After more than ten years of industry reshuffle, the glyphosate industry has gradually concentrated its production capacity towards leading companies. As large manufacturers advance in technology
Summary of the 2025 Annual Report of Sichuan Hebang Biotechnology Co., Ltd.
With the continuous optimization of the industrial chain, the concentration of the glyphosate industry will further increase, with domestic manufacturers providing about 70% of the world's production capacity.
At present, the industry has three main technical lines from the raw material side: the glycine method based on coal chemical industry, the bisglyphosate method using the refining product diethanolamine as raw material, and the bisglyphosate method using natural gas as raw material. Different preparation methods, from the perspective of raw material supply stability, are the best in China.
There are certain differences in product quality between the bisglyphosate method and the glycine method for preparing glyphosate.
Affected by differences in raw material routes, the cost of glyphosate, which uses the refining product diethanolamine as raw material, not only fluctuates with high energy and logistics costs caused by crude oil prices and geopolitical conflicts, but is also affected by the superposition of high-level operations of core raw materials such as yellow phosphorus, leading to intensified price fluctuations. Currently, affected by the price fluctuations of crude oil and refining products caused by geopolitical conflicts in the Middle East, as of the disclosure date of this report, the transaction price of glyphosate (97% of the original drug) has reached 35,000 yuan/ton.
Chart: Glyphosate market price trends
Data source: Wind (2) Diglyphosate
Diglyphosate is a key intermediate of glyphosate. Glyphosate can be produced through a one-step oxidation reaction. Its output ratio to glyphosate is about 1.5:1, that is, about 1.5 tons of diglyphosate can produce 1 ton of glyphosate. The demand changes for diglyphosate are mainly affected by the downstream glyphosate market, and the price trend is basically consistent with that of glyphosate.
2.Methionine
Methionine is one of the basic units of protein and an essential amino acid for animals. It cannot be synthesized by the animal body and must be supplemented through external intake.
The company's methionine products are mainly used in the breeding industry.
The methionine currently sold on the market mainly includes solid methionine and liquid methionine. Compared with solid methionine, liquid methionine has obvious cost advantages, and it also has the good characteristics of uniform mixing and less separation. In addition, because liquid methionine is acidic, it can inhibit pathogenic bacteria such as Salmonella and Escherichia coli in feed, which is in line with the development trend of "restriction of resistance and substitution of resistance" in the feed industry. The company is the second company in China to achieve mass production of liquid methionine, and has reached industrial cooperation relationships with many well-known feed and breeding companies at home and abroad.
In the next 10 years, global methionine demand will have a clear foundation for growth.
The core driver is that upper-middle-income and lower-middle-income countries continue to promote the upgrading of animal protein consumption, especially the growth of poultry meat consumption, given their huge population base.
Since methionine is a key limiting amino acid in poultry feed, the future animal protein consumption structure will tilt towards poultry meat, which will continue to support the growth of methionine demand.
The situation regarding per capita meat consumption levels is as follows:
Summary of the 2025 Annual Report of Sichuan Hebang Biotechnology Co., Ltd.
Dimension Population Per capita meat consumption Analysis of per capita consumption level
It is already at a high level. In the future, it will be more about stock replacement, not the main high-income country. About 1.418 billion, about 58kg/year.
To add a demand source
It is the largest country in terms of global meat consumption. In the next 10 years, global meat consumption will increase by about 2.818 billion, about 40kg/year.
The core undertaking area of quantity
The largest population, the current consumption base is low, and it will catch up with the lower income countries in the future, about 3.121 billion, about 8kg/year
Large room
Constrained by purchasing power in the short term, but the population will still expand in the long term. Low-income countries: about 625 million, about 7kg/year
Zhang Zhizhu
Source: World Bank, OECD-FAO From the above data, it can be seen that compared with high-income countries, emerging markets have a large population base and low per capita consumption levels. Driven by income growth, their demand for animal protein intake has broad room for improvement.
The main raw material of methionine also comes from refining and chemical products. Affected by the fluctuation of crude oil prices and the operating rate of the refining and chemical industry, the current price of methionine is also on a rapid upward trend. As of the disclosure date of this report, the company's highest transaction price is close to 38,000 yuan/ton.
Chart: Liquid methionine market price trend
Data source: Wind
- Sodium carbonate, ammonium chloride
(1) Sodium carbonate
Sodium carbonate, also known as soda ash, is one of the important basic chemical raw materials and is widely used in glass manufacturing, lithium carbonate production, detergent synthesis, metallurgy, papermaking, printing and dyeing, food and other fields. The production processes of soda ash mainly include ammonia-alkali method, combined alkali method and natural alkali method. The company uses the combined soda ash method to produce soda ash.
During the reporting period, due to the pressure on the downstream construction industry and the photovoltaic industry, as well as the cost of trona alkali production capacity and cost expectations, soda ash prices were operating at low levels and under pressure.
Chart: Soda ash market price trend
Summary of the 2025 Annual Report of Sichuan Hebang Biotechnology Co., Ltd.
Data source: Choice (2) Ammonium Chloride
Ammonium chloride is a nitrogen fertilizer among chemical fertilizers. More than 95% of ammonium chloride in my country is used for agricultural fertilizers, of which more than 90% is used to make compound fertilizers. my country is the main producing area of ammonium chloride in the world. At present, ammonium chloride manufacturers are basically joint-alkali production enterprises, and the industry concentration is high.
In 2025, domestic co-alkali production capacity will continue to expand, but affected by the decline in the average operating rate of co-alkali devices, the supply of ammonium chloride has shrunk. However, in terms of demand, due to the impact of low urea prices, domestic demand for ammonium chloride was weak during the reporting period. In contrast, overseas market demand has grown strongly. According to data from the General Administration of Customs, my country's exports of ammonium chloride in 2025 will be 2.3145 million tons, a year-on-year increase of 50.19%.
During the reporting period, the market price of ammonium chloride fluctuated and dropped to a bottom of around 400 yuan/ton. Starting from late November, the price increased due to favorable support such as the start-up of downstream compound fertilizer companies and the successive start of winter storage. Since March 2026, the domestic ammonium chloride market has heated up due to factors such as geopolitical conflicts in the Middle East pushing up international urea prices and the concentrated release of spring plowing demand.
Chart: Ammonium chloride market price trends
Data source: Choice
(3) Photovoltaic glass and other glass industries
Summary of the 2025 Annual Report of Sichuan Hebang Biotechnology Co., Ltd.
- Photovoltaic glass
Photovoltaic glass is mainly used for packaging photovoltaic modules. The photovoltaic panel glass covers the top of the solar cells and has good wind pressure resistance and the ability to withstand temperature changes between day and night. The photovoltaic glass backsheet is an important part of the double-glass module. Compared with single-glass modules, double-glass modules have obvious advantages in zero water permeability, excellent mechanical properties, less hot spot damage, reduced module temperature, and low PID probability.
Overall, the photovoltaic industry is still on a growth trend. According to data from the National Energy Administration, the country's newly installed photovoltaic capacity will be 317 million kilowatts in 2025, a year-on-year increase of approximately 14%. However, as photovoltaic manufacturing capacity expansion exceeds market demand, the industry as a whole is under pressure. During the reporting period, the photovoltaic glass industry continued to proactively reduce production, and supply continued to shrink. On the demand side, in the first half of the year, supported by the downstream rush to install, photovoltaic glass prices rebounded in stages; however, as centralized procurement demand came to an end, photovoltaic glass consumption fell back in the second half of the year, putting downward pressure on prices.
Chart: Photovoltaic glass market price trend
Data source: Choice
In the short term, although the photovoltaic glass industry is still at the bottom of the cycle, with the launch of new domestic projects and the release of overseas orders, module production scheduling is expected to pick up, driving a marginal improvement in photovoltaic glass demand. Benefiting from cost support and expectations for the peak season, photovoltaic glass prices are expected to stabilize and rebound.
In the medium to long term, the photovoltaic glass industry is evolving from an overcapacity cycle to a structural optimization stage. On January 8, 2026, the Ministry of Finance and the State Administration of Taxation jointly issued the "Announcement on Adjusting the Export Tax Refund Policy for Photovoltaic and Other Products" (No. 2, 2026), which clarified that the export value-added tax refund for photovoltaic and other products will be canceled from April 1, 2026, involving 249 products such as silicon wafers, components, and inverters. This policy will directly increase the cost of module exports and promote the re-pricing of all links in the industrial chain. As photovoltaic glass is a core auxiliary material for module packaging, its industry competition logic will also shift from "price competition" to "technology competition" and "value competition." Companies with backward technology, high energy consumption, and homogeneous products will face the pressure of elimination. At the same time, the direction of global energy transformation has not changed, and the long-term trend of increasing the proportion of new energy will still provide broad development space for photovoltaic glass. As backward production capacity accelerates, industry concentration continues to increase, overseas market expansion and technological upgrading accelerate, the industry structure is expected to see significant improvements, creating new development opportunities for photovoltaic glass companies with cost and technology advantages.
- Other glass
In addition to photovoltaic glass, the company's other glass products include original glass and deeply processed smart glass, special glass, etc. As one of the basic raw materials, flat glass is mainly used in construction, home decoration, photovoltaic power generation, transportation, home appliances and other fields. Through processes such as coloring, surface treatment, and compounding, flat glass can be made into glass products with different colors and special properties, such as Low-E coated glass, tempered glass, insulating glass, etc.
During the reporting period, the contradiction between supply and demand for flat glass became apparent, putting downward pressure on prices. On the supply side, although some companies have reduced production through cold repairs to relieve pressure, the problem of overcapacity in the industry still exists. On the demand side, affected by the year-on-year decline in completed real estate area, demand in the glass industry continues to be under pressure. Overall, the contradiction between supply and demand in the glass industry is still large, and price recovery still depends on the further clearing of production capacity.
Chart: Flat glass market price trends
Summary of the 2025 Annual Report of Sichuan Hebang Biotechnology Co., Ltd.
Data source: Wind Although demand and prices are under pressure, positive signals are emerging from the cost and supply sides of the glass industry. On the cost side, with the escalation of geopolitical conflicts in the Middle East, as a high-energy-consuming industry, the cost support of the glass industry has further strengthened; on the supply side, cold repairs in the industry have accelerated, and supply pressure has continued to ease. Under the combined effect of cost support and supply contraction, flat glass prices are expected to bottom out and recover.
Since 2024, the company has established an adjustment to the industrial structure and developed with high quality.
In conjunction with the "Ore Prospecting Action" proposed by the country, we seized this development opportunity and actively invested in the layout.
As of the disclosure date of this report, the Company has held a total of 51 mineral rights.
Combined with the high-quality development of the company's existing industries, we can achieve technological innovation, resource advantages, and cost advantages.
The company is building 500,000 tons of diglyphosate and 350,000 tons of glyphosate. The entire plant is being implemented as planned and is scheduled to be put into production in 2027. United Alkali has been in operation for 17 years since it was put into production in 2009. This time it implemented technical transformation and reduced costs by 15%.
The technical transformation of Wujun Glass has combined two lines into one line, enlarging the scale, reducing energy consumption, reducing personnel by 40%, and reducing costs by 12%.
We are conducting feasibility studies on the smelting of precious metals, including smelting tantalum, niobium and tin.
We have obtained the approval document for the 600,000-ton methionine project, the environmental impact assessment has been announced, and the land will be delivered in July 2026, covering an area of 1,000 acres.
We have established a shipping team to improve logistics and achieve cost control of minerals and Indonesian bisglyphosate.
We plan to implement mergers and acquisitions projects related to the company's industrial chain.
During the reporting period, the company’s main business conditions are as follows:
(1) Mining sector
During the reporting period, the company's mining sector achieved a total operating income of 433.2558 million yuan and a total net profit of 185.954 million yuan.
- Operation status of ongoing minerals
During the reporting period, 2 salt mine mining rights and 1 phosphate mine mining right directly held by the company have been put into normal production. The specific operating data are as follows:
Serial number Resource type Product Sales volume (10,000 standard cubic meters/10,000 tons)
1 Salt mine brine 1,558.04
2 Phosphate rock (Yanfeng) Phosphate rock 68.82 Note: Mata Salt Mine and Luocheng Salt Mine are both owned by Hebang Salt Mine, a wholly-owned subsidiary of the company, so they are consolidated and accounted for as a single reporting entity here.
- Mineral development progress and planning
The company actively deploys overseas mineral resources. The existing overseas mineral resources are distributed in Africa and Australia, covering a variety of scarce resources such as phosphate ore, gold mine, lithium ore, tin ore, etc., providing important resource support for the development of the company's mineral sector. The basic situation, current progress and 2026 work plan of each overseas mineral industry are as follows:
Summary of the 2025 Annual Report of Sichuan Hebang Biotechnology Co., Ltd.
Preface Invested Equity Mining Rights Certificate Exploration Rights Resource Amount
Resource type Geographical location Type of mineral rights Conversion from exploration to mining Current progress 2026 work plan number Amount Ratio Number of books Area (10,000 tons)
Mining engineering plan implementation Phase I of the project (annual output: 700,000 tons) Wonarah Northern Australia Mining rights + 1,499 square meters
1 - - 53,300.00, mining equipment is being ordered, mining engineering construction is planned, and phosphate rock 1,495.52 territorial state exploration rights square kilometers are planned within the year.
49% Machinery ready completed
million Australian dollars
Jundee Gold, Western Australia, 1,232 square meters, detailed survey plan has been initially determined.
2 Exploration Rights - - - Start detailed exploration
Mine Australia State Square Kilometers To be implemented
2 explorations have been conducted
Two tin mines have completed the "exploration transfer" of exploration rights. After the reporting period to this report
mine, has been submitted to the government for approval, and the application process of "planned mining" was disclosed. On the disclosure date, 7 new tin mines were added.
252.2 Planned to obtain mining rights in October 3 tin ore block investment in 13 phases, one of which applied - Mineral Exploration Permit;
Square Kilometer Certificate;
As of now, Nigeria boasts 30% (passed). The application has been accepted and the land for tin ore washing has been settled.
The procurement of washing equipment was implemented as planned. This report shows the actual payment of mining rights by BCT holding subsidiaries in La State and Oyo.
buy
Deri, held by Zhouzhou and Nasala companies); related payments for exploration rights
Invest 50% in Wazhou and Bauchi (passed) Surface surveying and mapping has been implemented, and the Ministry
1,785.73 State, Plateau State BCT holds) trenching and drilling in sub-regions
Continue to implement the work of 730.4 square meters worth US$10,000 in different regions and steps;
4 Lithium mining blocks 25 - - Exploration work and square kilometers in high potential areas After the reporting period to this report
On the day of the disclosure of detailed exploration work in this area, 3 new lithium
Mine prospecting license
Note: The "2026 Work Plan" listed in this report is only an internal control guideline indicator and does not constitute a commitment to workload and work results. The company may make adjustments to the corresponding plan based on market changes and internal work arrangements. Investors are advised to pay attention to investment risks.
In addition to the above-mentioned overseas mineral resources, the company has 8 other domestic minerals that are being developed as planned. The basic situation, current progress and 2026 work plan of each mineral are as follows:
Amount invested Equity Mining rights Resource amount
Serial number Resource type Geographical location Current progress 2026 work plan
(10,000 yuan) Ratio Type (10,000 tons)
Ya'an, Sichuan Province Accelerates the construction progress of underground tunnel projects, 1 Liujiashan Phosphate Mine 106,051.77 100% Mining Rights 5,917.80 Underground projects are under construction, and engineering mines are produced
Hanyuan County, City Implemented as planned
Burqin, Xinjiang
Burqin Silica has been put into production and will achieve ore sales in 2025. It is planned to reach an annual output of 1 million tons. 2 5,200.00 County Kostec 40% Mining Rights 1,775.00
Mine production target of 257,000 tons
town
Summary of the 2025 Annual Report of Sichuan Hebang Biotechnology Co., Ltd.
Xinjiang Aktao Exploration work proceeds as planned, preliminary exploration work is completed, and the next step is determined 3 Kudi Copper Mine 11,037.97 100% exploration rights -
County construction progress is about 50% detailed survey plan
Detailed exploration work on some fruitful ore bodies in Akto, Xinjiang is proceeding as planned, and preliminary exploration work
4 Tamu Lead-Zinc Mine 12,371.16 100% Exploration Rights - Exploration, the remaining ore bodies need to be further inspected. The progress of the work is about 50%
Certification and control work
The exploration work is carried out as planned, and the preliminary exploration work continues to be carried out, and based on the preliminary exploration results 5 Kaba Silver Mine 1,787.64 Xinjiang Minfeng County 100% exploration rights -
About 20% of the progress has been made and the detailed survey area has been determined
Wollongong lead and zinc exploration work is carried out as planned, and the preliminary exploration work continues to be carried out. According to the preliminary exploration results 6 10,584.06 Xinjiang Minfeng County 100% exploration rights -
About 20% of the mining progress has been made and the detailed exploration area has been determined.
Sichuan Provincial Council has completed the preliminary exploration work and determined the next step 7 Shangwuji Copper Mine 4,865.74 100% exploration rights - the preliminary exploration work is under implementation
County exploration plan
Mianning, Sichuan Province Completed preliminary exploration work and carried out further 8 Myanmar Sawa Gold Mine 8,519.91 100% exploration rights - Preliminary exploration work is being implemented
County detailed survey
Summary of the 2025 Annual Report of Sichuan Hebang Biotechnology Co., Ltd.
(2) Chemical sector
The company's main chemical products include 1.25 million tons/year joint alkali (sodium carbonate, ammonium chloride), 200,000 tons/year diglyphosate, 60,000 tons/year glyphosate, 100,000 tons/year liquid methionine, as well as natural gas supply and pipeline transportation, oil product sales, and gas sales.
During the reporting period, the performance of each product in the company's chemical segment was mixed, showing a differentiated development trend of "liquid methionine growth, diglyphosate/glyphosate rebound, pipeline and oil and gas sales remained stable, and joint alkali products were under pressure". During the reporting period, the company's chemical segment achieved a total main business income of 5,959,541,800 yuan, a year-on-year decrease of 9.53%.
Among them, liquid methionine was the core profit contributor during the reporting period - methionine products will continue to maintain high prosperity throughout 2025, and the supply and demand pattern will generally show a good trend. The production unit and sales team actively cooperated, and the domestic and overseas sales markets blossomed. The output, sales volume, and number of customers all reached new highs, and the average sales price also increased significantly compared with the previous year.
The prices of diglyphosate and glyphosate products increased in the second and third quarters of 2025, but fell back in the fourth quarter. Overall, the gross profit margins of glyphosate and diglyphosate gradually returned to normal levels. At the same time, the company increased shipments, so the profitability of this business improved significantly year-on-year.
The production and operation of natural gas pipeline transmission, refined oil and natural gas sales businesses are normal, and profitability levels remain basically stable.
During this reporting period, both the demand and the market price of Lianjia products were at the bottom. Although the company has reduced production costs through refined management and various measures, due to the current sluggish market conditions, the sales price of Lianjia products is still lower than the company's manufacturing cost, causing large losses to the company.
(3) Photovoltaic glass and other sectors
The company's main products in this segment are 1,900t/d photovoltaic glass, 465,000 tons/year glass, 8.3 million ㎡/year low-E coated glass, 2GW components, 1.5-2GW photovoltaic silicon wafers and EPC engineering business. During the reporting period, the aforementioned products achieved a total operating income of 1,240.7705 million yuan, a year-on-year decrease of 44.81%.
Although some backward production capacity has been cleared in the domestic photovoltaic industry in 2025, overall, there is still structural overcapacity and the industry is still in a capacity clearing cycle. Starting from the second half of the year, some links in the industrial chain have shown positive signs of gross profit recovery and narrowing of losses. During the reporting period, except for photovoltaic glass, which was affected by changes in market conditions, the sales price fluctuated greatly. The prices of other products, such as ordinary glass products such as architectural glass, silicon wafers and component products, all fluctuated at low levels, and the overall price showed a loss.
(4) Projects under construction
In addition to mining projects (see the relevant chapters above for details on progress), the company's main projects under construction are the 500,000-ton diglyphosate project and the 350,000-ton glyphosate project in the chemical sector. The two projects are being implemented as planned. As of the disclosure date of this report, the details of the project are as follows:
- Project technology research and development
R&D content Status Whether it meets the standards or not Successfully
The new process experimental device operates stably and meets the standards successfully.
Core process AI control, stable operation, compliance with standards, success
New process, material verification, stable operation, compliance with standards, success
New catalyst development completed and achieved standards successfully
- Project process and configuration optimization were successful
Regarding project technology and configuration, the company took the following measures during the reporting period:
(1) Sort out the process relationship through repeated clarification and response;
(2) Repeatedly communicate with market customers to optimize product finalization;
(3) Promote the upsizing of equipment;
(4) Realized industrial continuous production;
(5) For the 500,000-ton bisglyphosate project, the total investment determined in the preliminary feasibility study report was 16.7 billion yuan. Through technological innovation, large-scale equipment and other means, as well as the decline in market prices of engineering construction materials, the total investment was adjusted to approximately 7 billion yuan.
- As of the disclosure date of this report, project investment status
Summary of the 2025 Annual Report of Sichuan Hebang Biotechnology Co., Ltd.
Number of signed contracts Total amount of signed contracts Amount paid Project name
(share) (10,000 yuan) (10,000 yuan)
500,000 tons of diglyphosate project 630 241,478 120,845
350,000 tons of glyphosate project 68 62,742 19,385
- Planned construction period
Through the complete preparation and sorting out of the construction of the 500,000-ton diglyphosate project in 2025, the overall project progress is on track, and the construction period plan is as follows:
Time Project Plan Progress Actual Progress
In April 2026, the installation project started. As of the disclosure date of this report, the project installation project has started.
December 2026 Project progress 70% -
June 2027 Project Completion -
October 2027 Production start -
The construction period plans for the 350,000-ton glyphosate project and the 500,000-ton diglyphosate project are consistent.
- The company’s main accounting data and financial indicators
3.1 Main accounting data and financial indicators in the past three years
Unit: Yuan Currency: RMB This year compared with the previous year
2025 2024 2023
Increase or decrease(%)
Total assets 28,209,443,637.49 29,649,734,539.88 -4.86 24,542,434,122.85 is listed
Net assets of the company’s shareholders 17,876,970,748.79 18,626,392,431.87 -4.02 19,575,342,485.28
Operating income 7,187,510,832.55 8,547,476,550.13 -15.91 8,824,107,811.82 Total profit -630,842,405.14 -65,683,562.06 Not applicable 1,535,965,520.99 Deduction and main business
Business irrelevant
business income and
Does not have commercial 7,076,030,910.51 8,412,366,723.35 -15.89 8,706,955,825.64 substantial income
The subsequent operating income
enter
Attributable to listing
Net profit of the company's shareholders -536,406,669.49 31,464,685.07 -1,804.79 1,283,243,893.34
Attributable to listing
of company shareholders
Net of non-recurring gains and losses -526,321,542.31 23,489,841.95 -2,340.63 1,235,467,036.66
profit
business activity assets
Cash flow generated 1,076,236,611.15 467,931,387.17 130.00 80,331,784.33 Net amount
Weighted average net -2.95 0.17 decreased by 3.12 6.56
Summary of the 2025 Annual Report of Sichuan Hebang Biotechnology Co., Ltd.
Return on assets percentage points
(%)
Basic earnings per share
-0.0672 0.0038 -1,868.42 0.1474 profit (yuan/share)
Diluted earnings per share
-0.0522 0.0037 -1,510.81 0.1474 profit (yuan/share)
3.2 Main accounting data by quarter during the reporting period
Unit: Yuan Currency: RMB First quarter Second quarter Third quarter Fourth quarter
(January to March) (April to June) (July to September) (October to December) Operating income 1,725,715,319.77 2,195,337,126.74 2,005,467,579.31 1,260,990,806.73 Attributable to shares of listed companies
12,517,312.95 39,254,210.42 41,337,014.44 -629,515,207.30 Dong’s net profit
Attributable to listed company shares
Net profit after deducting non-recurring profits and losses 8,483,951.04 38,496,109.07 42,710,886.28 -616,012,488.70
Cash generated from business activities
-54,591,408.70 200,060,948.07 164,666,988.01 766,100,083.77 Net cash flow
Explanation of differences between quarterly data and disclosed periodic report data
□Applicable √Not applicable
- Shareholder situation
4.1 The total number of common shareholders, the total number of preferred shareholders with restored voting rights, the total number of shareholders holding shares with special voting rights and the top 10 shareholders at the end of the reporting period and the end of the month before the annual report is disclosed
Unit: Total number of common shareholders as at the end of the reporting period (households) 201,770 Total number of common shareholders (households) as at the end of the previous month before the date of disclosure of the annual report 275,201 Total number of preference shareholders (households) whose voting rights have been restored as of the end of the reporting period
Total number of preference shareholders whose voting rights were restored at the end of the previous month before the annual report disclosure date
(household)
Shareholding status of the top ten shareholders (excluding shares lent through refinancing)
Holds pledged, marked or frozen conditions
Name of shareholder Growth rate during the reporting period Sales restriction conditions Shareholder
Number of shares held at the end of the period
(Full name) Less (%) shares Nature and quantity of shares
Quantity of copies Status
Sichuan Hebang Domestic non-investment group 0 1,963,779,103 22.24 0 Pledge 1,069,000,000 State-owned Law Co., Ltd. Person Sichuan Provincial Salt State-owned Law
0 524,359,246 5.94 0 None 0
Summary of the 2025 Annual Report of Sichuan Hebang Biotechnology Co., Ltd.
limited liability company
Division
Domestic Zihe Zhenggang 0 412,632,000 4.67 0 None 0
Hong Kong Central
Settlement Limited 22,138,486 100,150,128 1.13 0 None 0 Other companies
Chinese agriculture
bank shares
Ltd.
-China Securities Co., Ltd.
3,402,025 91,263,628 1.03 0 None 0 Other 500 transactions
open type
Index Securities
investment fund
Huatai Securities
Limited by Shares
Company - Peng
Huazhong Securities
Differentiation of industrial products
64,857,862 73,976,262 0.84 0 None 0 Other industry-themed transactions
Easy to open
index certificate
Securities investment fund
gold
Domestic since Gao Xulei 0 67,730,096 0.77 0 None 0
Random person within the territory from Zhao Yong 0 39,035,034 0.44 0 None 0
However, within the territory of the People's Republic of China -1,243,800 22,237,200 0.25 0 None 0
However, within the territory of a natural person, Wang Zuoxin -1,435,000 21,844,000 0.25 0 None 0
However, Mr. He Zhenggang holds 99% of the shares of Hebang Group and is the controlling shareholder of Hebang Group. He is related to the above-mentioned shareholders or to Yibang Group. Hebang Group holds 22.24% of Hebang Biotech’s shares. Explanation of He Zhengzhi’s actions Mr. Gang holds 4.67% of Hebang Biotech’s shares. Hebang Group and Mr. He Zhenggang are persons acting in concert with each other.
Preferred shares with restored voting rights
None
Description of the number of shares held by Donghe
Summary of the 2025 Annual Report of Sichuan Hebang Biotechnology Co., Ltd.
4.2 Block diagram of the property rights and control relationship between the company and its controlling shareholder
√Applicable □Not applicable
4.3 Block diagram of the property rights and control relationship between the company and the actual controller
√Applicable □Not applicable
4.4 The total number of preferred shareholders and the top 10 shareholders of the company at the end of the reporting period
□Applicable √Not applicable
- Corporate bonds
□Applicable √Not applicable
Section 3 Important Matters
- The company shall, in accordance with the principle of materiality, disclose major changes in the company's operating conditions during the reporting period, as well as events that occurred during the reporting period that have a significant impact on the company's operating conditions and are expected to have a significant impact in the future.
In 2025, the company will achieve operating income of 7.188 billion yuan; net profit attributable to shareholders of listed companies after deducting non-recurring gains and losses - 526 million yuan. The main reason for the loss is that the company made provision for impairment of various assets totaling 775 million yuan at the end of the reporting period, reducing the net profit attributable to shareholders of the listed company in 2025 by 567 million yuan.
- If there is a delisting risk warning or listing termination after the company's annual report is disclosed, the reasons that led to the delisting risk warning or listing termination should be disclosed.
□Applicable √Not applicable