Net profit soars 168.92%: Daoen Shares’ Explosive Q1 Report Driven by M&A and Core Business, Full Industrial Chain Completed

Recently, the high-performance new materials sector has welcomed significant results — the first-quarter financial report of Shandong Dawn Polymer Material Co., Ltd. (002838) has been officially released, showcasing its revenue, net profit, and cash flow.Three Arrows Togetherdelivering an outstanding performance far exceeding market expectations.

I. Core Data Explodes: Net Profit Doubles + Cash Flow Turns from Negative to Positive

In the first quarter, Daoen Co., Ltd. achieved comprehensive business growth, with multiple core indicators registering leapfrog increases.

Operating Revenue1.716 billion yuan, a year-on-year increase33.44%

Net profit attributable to parent company119 million yuan, year-on-yearSurged by 168.92%

Non-recurring net profitRMB 75.2466 million, an increase of year on year103.49%

Net cash flow from operating activities130 million yuan, turning from negative to positive year-on-year, with an increase of203.25%

From the data, the company’s revenue and profits are growing rapidly.Profitability quality and cash flow conditions have significantly improved in tandem.achieving a dual breakthrough from scale expansion to quality improvement. As of the end of the first quarter, the company’s asset size steadily expanded to8.678 billion yuanThe development foundation continues to be solidified.

II. Two Growth Engines: Steady Growth of Core Business + Acquisition Consolidation Makes a Big Contribution

This outperformance is underpinned byEndogenous growth + Exogenous M&APerfect collaboration:

1. The main business is steadily expanding, with strong demand for high-end materials.

Domestic thermoplastic elastomer, modified plastic, and color masterbatch fieldLeading enterprisesRelying on the national-level R&D platform and technological advantages, Dawn Co. continues to focus on the high-end and functional materials market. The main products have been successfully expanded in the market, with ample orders, providing a solid foundation for performance growth.

M&A consolidation exceeds expectations, forming a complete industrial chain It seems there was an unintended repetition in the translation. Here's the correct translation: M&A consolidation exceeds expectations, forming a complete industrial chain To correct and finalize: M&A consolidation exceeds expectations, forming a complete industrial chain loop

Starting from February 2026, the company’s consolidated financial statements will officially include…Controlled subsidiary Ningbo KOS-ACR Co., Ltd.Performance became the largest growth driver in the first quarter.

The significance of this merger is great.

·Realize core raw materialsEPDM self-supplyBreaking the bottleneck of upstream raw material dependency

· ImproveRaw materials — ProductsFull industrial chain layout, effectively reducing production costs and enhancing supporting capabilities

Mergers and acquisitions synergies are released quickly, directly strongly supporting the profit surge in the first quarter.

III. Long-term Value Highlighted: R&D Support + Strengthening of Leading Position

In the first quarter, Daoen Co.R&D investment remains at a high level.continuously fueling product iteration and market expansion, while continuously reinforcing the technological barriers in the field of high-end new materials.

With the continuous realization of M&A synergies and the steady increase in market share of core products, the company is positioned in the color masterbatch and high-performance polymer industry.Its leading position will become even more solid.It possesses ample medium- to long-term growth momentum and is expected to continue benefiting from the domestication wave of advanced materials.

Overall, Daoen Co., Ltd. delivered a report for the first quarter.Better-than-expected financial report, validating the correctness of the "core business deepening + industrial chain integration" strategy. From raw material self-sufficiency to product premiumization, and from strong earnings growth to improved cash flow, the company is entering a new phase.High-quality development fast track, and its future growth merits close attention.