Satellite Chemical 2026 Half-Year Profit Forecast Surges on Strong Growth

Recently, Satellite Chemical (STL) released its half-year earnings forecast for 2026, reporting a substantial increase in operating performance for the first half of the year.

According to the announcement, net profit attributable to shareholders is expected to range from 6.0 billion yuan to 7.0 billion yuan, representing a year-on-year increase of 118.68% to 155.13%. Net profit excluding non-recurring gains and losses is projected between 5.687 billion yuan and 6.687 billion yuan, up 96.37% to 130.90% compared with the same period last year. Basic earnings per share are expected to be 1.78 yuan to 2.08 yuan, versus 0.81 yuan in the prior-year period.

The company attributed the strong growth in its 2026 half-year performance to coordinated improvements across internal operations, technological innovation, and supply chain management.

In internal operations, Satellite Chemical (STL) said its integrated industrial chain layout supported stable and safe operations across production bases. Product iteration and customer service enhancements enabled the company to seize market opportunities and expand its business scale.

In technological innovation, the company continued to advance R&D initiatives and technical upgrades, improving product quality while effectively controlling production costs. Ongoing optimization of management processes further enhanced operational efficiency and strengthened its overall competitiveness.

In supply chain management, the company responded to raw material price fluctuations through diversified procurement strategies and structured purchasing arrangements, supported by prudent use of financial instruments to mitigate cost volatility and stabilize profitability in its core operations.

In 2026, several expansion and new construction projects are progressing steadily as the company continues its transition toward higher value-added segments. On February 20, Satellite Chemical (STL) announced a new 200,000-ton-per-year acrylate project at its Lianyungang base, focusing on high-value specialty acrylate products used in emerging sectors such as new energy and automotive lightweight applications.

Its wholly owned subsidiary, Lianyungang Petrochemical, has also initiated an expansion program with total investment of 8.85 billion yuan, covering two core projects, with planned investment of 2.5 billion yuan in 2026. A 260,000-ton-per-year aromatic hydrocarbon integrated processing project, with total investment of 1.03 billion yuan, is scheduled to begin operations on October 30, 2026. A high-end new materials project, with total investment of 7.82 billion yuan, is expected to be completed and commissioned in August 2027.

The company also said that several very large ethane carriers (VLEC) are expected to be delivered in 2026, further strengthening its dedicated shipping fleet. Vessel deployment will be coordinated according to actual capacity requirements to ensure stable and orderly raw material supply.

Earlier in 2026, Satellite Chemical (STL) reported first-quarter revenue of 12.677 billion yuan, up 2.82% year-on-year. Net profit attributable to shareholders rose 34.97% to 2.117 billion yuan, while net profit excluding non-recurring items increased 15.47% to 1.954 billion yuan. Basic earnings per share stood at 0.63 yuan.