On January 30, 2026, Jiangsu Lopal Technology Co., Ltd. (Lopal Tech, 603906.SH) issued a preliminary announcement regarding its expected annual loss for 2025. The company anticipates a net profit attributable to shareholders of the parent company ranging from -180.1666 million yuan to -147.9940 million yuan for the reporting period. Compared with the net loss of -644.9680 million yuan in the same period of 2024, the scale of the loss has significantly narrowed, indicating a notable improvement in operational performance.

The announcement indicates that the company's performance in 2025 remained under pressure, primarily due to multiple factors: affected by fluctuations in the price of raw material lithium carbonate, the gross profit margin of its core lithium iron phosphate (LFP) cathode material business remained at a relatively low level. Additionally, inventory write-down losses for certain products and asset impairment provisions negatively impacted the current period's profits. Furthermore, changes in the fair value of financial liabilities, such as minority shareholder repurchase rights and convertible redeemable preferred shares, resulted in significant non-recurring gains and losses, further dragging down the annual performance.

Despite these operational challenges, Lopal Tech effectively mitigated the downward pressure in the industry through proactive measures, including implementing a product differentiation development strategy, vigorously expanding overseas markets, and comprehensively advancing cost reduction and efficiency enhancement initiatives. As a result, the company achieved a substantial reduction in its loss amount for 2025, demonstrating strong operational resilience and initial effectiveness of its strategic adjustments.