IRICO NEWENERGY (00438) has issued an announcement, expecting that for the first half of 2026, the net loss attributable to shareholders of the parent company will be approximately RMB 440 million to RMB 495 million. This represents an increase of around RMB 144 million to RMB 199 million compared to the net loss attributable to shareholders of the parent company of approximately RMB 296 million for the six months ended June 30, 2025.

The primary reasons for the increase in the net loss attributable to the parent company are as follows:

1. Due to the impact of supply-demand imbalance and capacity mismatch, the photovoltaic glass market has experienced a supply-demand imbalance. The group has made every effort to implement cost-reduction and efficiency-enhancement measures, accelerate technological innovation, and increase the proportion of high-value-added product sales. However, the continuous decline in product prices has led to a decrease in the gross profit margin of the group's photovoltaic glass business.

2. In response to the falling product prices, and adhering to the principle of prudence, the group has recognized impairment provisions for some of its inventories.