Guangdong Zhongnan Iron & Steel (000717.SZ) announced a forecasted pre-loss, predicting a net loss of 1.1 billion to 1.3 billion yuan in 2024, a change from profit to loss year-on-year.

Guangdong Zhongnan Iron & Steel (000717.SZ) has announced its annual performance forecast for 2024, estimating a net loss of 1.1 billion to 1.3 billion yuan attributable to shareholders of the listed company for the full year, a year-on-year change from profit to loss. In 2024, domestic demand for steel is sluggish, and downstream industry demand is recovering lower than expected. The overall operation of the steel industry shows a trend of strong supply, weak demand, high costs, and low prices, with the steel market continuing to decline. Faced with unfavorable conditions in the steel industry, the company has established a new type of operating responsibility system, promoted lean management, fully stimulated internal enterprise vitality, and implemented measures such as benchmarking to identify gaps, promoting overall process cost reduction and efficiency improvement, and optimizing product structure. These measures have weakened the adverse effects of the market, but factors such as strong supply and weak demand in the industry, dual pressure from prices at both ends, and company's blast furnace overhaul have led to a loss in the company's performance for the reporting period.