China National Building Material (CNBM, 03323) disclosed that its Shenzhen-listed subsidiary, Tianshan Material, recorded a sharp top-line contraction and deeper underlying loss for the three months ended 31 March 2026.

Operating revenue declined 17.48% year on year to RMB 12.33 billion, down from RMB 14.95 billion a year earlier, underscoring a softer market environment for the building-materials producer.

Net profit attributable to Tianshan Material’s shareholders remained negative at RMB 1.49 billion, virtually flat versus the prior-year period (loss of RMB 1.50 billion, adjusted), implying a marginal 0.08% improvement. However, after stripping out extraordinary items, the core loss widened to RMB 1.89 billion, 21.56% deeper than the adjusted loss of RMB 1.56 billion in the same quarter last year.

Cash generation weakened markedly: operating cash outflow increased to RMB 3.33 billion, a deterioration of 54.17% from the prior-year outflow of RMB 2.16 billion. Basic and diluted earnings per share both stood at a loss of RMB 0.2102, broadly unchanged year on year, while weighted average return on net assets slipped 0.17 percentage points to –2.00%.

The balance sheet expanded modestly, with total assets rising 2.23% since year-end 2025 to RMB 282.10 billion. Net assets attributable to shareholders edged down 1.83% to RMB 73.91 billion. The company noted that comparative figures were restated following the correction of prior-period accounting errors announced on 30 March 2026.

Tianshan Material’s full first-quarter report will be available on the Shenzhen Stock Exchange website. CNBM issued the summary voluntarily and confirmed that the Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited bear no responsibility for its contents.