--- title: "Understanding the Market | SHOUGANG RES rose over 4% in the afternoon, with coking coal supply still tight in the second half of the year and the price center expected to remain high" type: "News" locale: "en" url: "https://longbridge.com/en/news/295890083.md" description: "SHOUGANG RES rose over 4% in the afternoon, and as of the time of writing, it was up 3.74%, trading at HKD 2.775, with a transaction volume of HKD 36.8495 million. In terms of news, SHOUGANG RES announced a profit warning, expecting a profit of approximately HKD 550 million to HKD 600 million in the first half of the year, a year-on-year increase of 36% to 49%. Guoyuan International pointed out that the midpoint is about HKD 575 million, a year-on-year increase of 42.3%. If calculated based on the midpoint, the profit for the first half of 2026 is equivalent to 91% of the full-year net profit attributable to the parent company of HKD 632 million for 2025, indicating a significant release of profit elasticity. The bank noted that under the current context of stricter safety supervision in Shanxi, continued tight supply of high-quality coking coal, and the difficulty of completely replacing imported coal, the price midpoint for coking coal in the second half of the year is likely to remain supported. As a scarce coking coal resource platform with low leverage and high dividend characteristics, if subsequent profits continue to recover and the high dividend policy is maintained, the dividend yield for 2026E-2027E is expected to rise to 7% or above, making its high dividend attribute attractive for long-term allocation" datetime: "2026-08-14T06:21:03.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/295890083.md) - [en](https://longbridge.com/en/news/295890083.md) - [zh-HK](https://longbridge.com/zh-HK/news/295890083.md) --- # Understanding the Market | SHOUGANG RES rose over 4% in the afternoon, with coking coal supply still tight in the second half of the year and the price center expected to remain high According to the Zhitong Finance APP, Shougang Resources (00639) rose over 4% in the afternoon, and as of the time of publication, it was up 3.74%, trading at HKD 2.775, with a transaction volume of HKD 36.8495 million. In terms of news, Shougang Resources announced a profit alert, expecting a profit of approximately HKD 550 million to HKD 600 million in the first half of the year, a year-on-year increase of 36% to 49%. Guoyuan International pointed out that the central estimate is about HKD 575 million, a year-on-year increase of 42.3%. If calculated based on the central estimate, the profit for the first half of 2026 is equivalent to 91% of the full-year net profit attributable to the parent company of HKD 632 million in 2025, indicating a significant release of profit elasticity. The bank noted that under the current context of stricter safety supervision in Shanxi, continued tight supply of high-quality coking coal, and the difficulty of fully replacing imported coal, the price center for coking coal in the second half of the year is likely to remain supported. As a scarce coking coal resource platform, the company features low leverage and high dividend characteristics. If subsequent profits continue to recover and the high dividend policy is maintained, the dividend yield for 2026E-2027E is expected to rise to 7% or above, making its high dividend attribute attractive for long-term allocation ### Related Stocks - [00639.HK](https://longbridge.com/en/quote/00639.HK.md) ## Related News & Research - [Shougang Fushan names Wong Mei Shan as company secretary, authorised representative](https://longbridge.com/en/news/295386162.md) - [Shougang Fushan expects H1 profit attributable to owners at HK$ 550 million-HK$ 600 million](https://longbridge.com/en/news/295210745.md) - [All it takes is $10,000 invested in equal parts of these 3 high-yield dividend stocks to generate over $1,500 in yearly dividends](https://longbridge.com/en/news/295441219.md) - [Raízen: Adjusted EBITDA more than doubled year-over-year, led by Fuel Distribution gains](https://longbridge.com/en/news/295871187.md) - [Yancoal Australia schedules investor webcast on 1H 2026 results](https://longbridge.com/en/news/295725207.md)