L & M CHEMICAL (00746) announces its interim performance, with profits increasing by 36.0% to HK$327 million. The interim dividend per share is 19.5 HK cents.

L & M CHEMICAL (00746) released its mid-year performance for 2025, with group revenue remaining stable at HK$1.932 billion; benefiting from significant decrease in energy costs and fallback in raw material prices, profit increased by 36.0% to HK$327 million; gross profit margin increased by 7.4 percentage points to 36.3%, with a proposed interim dividend of 19.5 HK cents per share. In the chemical business, despite the ongoing uncertainty in geopolitical situations affecting the domestic manufacturing atmosphere and cautious market sentiment, the group's chemical product prices showed individual development compared to the same period last year. Benefitting from significant decrease in energy costs and fallback in raw material prices, gross profit achieved growth. In the property business, there are still 11 unsold residential units in "Xinyue River". During the period, rental income from the project was approximately HK$1.7 million. After increasing the dividend payout ratio to 49.6% last year, the group's financial condition remains stable, with a mid-term net debt ratio of 3.2%.