Shenzhen Dynanonic Shares Drop on Guidance for Swing to 1st Half Loss

By Sherry Qin

Shares of Shenzhen Dynanonic fell in early trading, after the Chinese chemicals company said it expects to swing to a first-half loss on lower lithium salt prices and falling demand.

The Shenzhen-based company said on Sunday that it expects to post a net loss of 1.04 billion yuan to CNY1.17 billion ($145.6 million-$163.8 million) in the first six months of the year versus a net profit of CNY1.28 billion in the same period last year.

Shares were down 13.5% at CNY113.88 early Monday, taking year-to-date losses to 21%.

It said sales revenue declined significantly due to lower lithium salt prices and that it is facing pressure due to stocks of raw materials that it accumulated at higher prices.

Shenzhen Dynanomic develops, manufactures and sells nano-scale lithium-ion battery materials and related products.

Write to Sherry Qin at [e-mail]

(END) Dow Jones Newswires

07-16-23 2319ET