Golden Hair Technology 2025 Q3 Report: 49.6 Billion Revenue with Dual Growth in Net Profit, New Materials Business Becomes Core Growth Engine

On October 27, 2025, Kingfa Technology officially released its financial report for the third quarter of 2025, showcasing robust development resilience with substantial increases in both revenue and net profit. The data reveals that the company's total operating income for the first three quarters reached 49.616 billion yuan, marking a year-on-year increase of 22.62%. Net profit attributable to shareholders was 1.065 billion yuan, with an even higher year-on-year growth rate of 55.86%, indicating that profit growth significantly outpaced revenue growth, and the company's profitability continues to improve.

In terms of profit logic, while revenue is growing, the effectiveness of cost control is also remarkable. In the first three quarters, the company's operating costs amounted to 43.67 billion yuan, marking a year-on-year increase of 22.95%, which is roughly in line with revenue growth. Other expenses and costs totaled 4.963 billion yuan, with a year-on-year increase of only 12.24%, far below the revenue growth rate. Thanks to the refined management of costs and expenses, after deducting operating costs and various expenses, the net profit attributable to shareholders still achieved a high growth of over 55%, steadily improving the profit quality.

The analysis by Zhuanshu Shijie reveals that behind this impressive performance is the synergistic effort of Kingfa Sci.&Tech.'s three major business segments: modified plastics, green petrochemicals, and new materials. Notably, the breakthrough growth in the new materials segment has injected strong momentum into the company.

Modified Plastics: Traditional Advantages Strengthen the Foundation, High-Growth Areas Expand Further

As the traditional core business of Jinfa Technology, the modified plastics sector (including modified plastics and environmentally friendly high-performance recycled plastics) continues to maintain a robust development trend in the third quarter of 2025, providing solid support for the company's performance. According to the financial report, the output of this sector reached 821,400 tons in the third quarter, with sales of 782,000 tons, generating operating revenue of 9.131 billion yuan, which accounted for the highest proportion of revenue among the three major business segments. From an annual perspective, the cumulative sales of modified plastics in the first three quarters reached 2.0908 million tons, a year-on-year increase of 18.16%, further consolidating its leading position in the industry.

What is more noteworthy is the significant breakthrough achieved by this business in high-growth areas. Targeting sectors with strong demand such as automotive, electronics and electrical, and new energy, Kingfa Sci & Tech has steadily increased its market share by deepening strategic cooperation with leading clients and iteratively optimizing product performance, driving simultaneous growth in sales and gross profit. According to Wind data statistics, since 2020, the gross profit margin of the company's modified plastics business has consistently remained above 20%, leading the industry. The stable performance of this business also provides strong support for innovative expansion in other segments.

Green Petrochemicals: Industry Chain Collaboration Shows Advantages, Stable Supply and Risk Reduction Strengthen the Foundation

The green petrochemical sector (including ABS resin, PP resin, propylene, liquefied gas, acrylonitrile, MMA, etc.) is a key link in Jinfa Technology's industrial chain layout, achieving stable development in the third quarter of 2025, providing stable support for downstream businesses. In the third quarter, the sector produced 531,800 tons, sold 461,100 tons, and achieved operating revenue of 3.129 billion yuan. Among them, core products performed steadily, with PP resin sales of 220,200 tons, ABS resin sales of 88,400 tons, and propylene sales of 94,800 tons, while the self-sufficiency of raw materials continued to strengthen.

The value of this business lies not only in scale growth but also in the release of synergies across the industrial chain. By independently producing core raw materials, Kingfa Sci & Tech effectively ensures the stability of raw material supply for its downstream businesses, such as modified plastics, while reducing the impact of external raw material price fluctuations on the company, thereby laying a solid foundation for the overall stability of its operations.

New Materials: High-End Breakthroughs Become a New Engine, Capacity Expansion Opens Up Growth Space

As a strategic sector that Jinfa Technology has focused on in recent years, the new materials segment (including biodegradable plastics, special engineering plastics, carbon fiber, and composite materials) is expected to experience explosive growth in the third quarter of 2025, becoming the "core engine" driving the company's performance. Although the current revenue scale is still not comparable to modified plastics and green petrochemicals (with third-quarter revenue of 1.078 billion yuan and sales of 72,300 tons), the growth potential and technological barriers are prominent, and the future outlook is broad.

Specialty Engineering Plastics: Breakthroughs in Technology and Market, Capacity Release Imminent

In the field of specialty engineering plastics, Kingfa Sci. & Tech. Co., Ltd. has achieved both technological and market breakthroughs. Currently, the company's total production capacity for specialty engineering plastics is nearly 34,000 tons, covering 21,000 tons of high-temperature nylon, 6,000 tons of LCP (liquid crystal polymer), and 6,600 tons of PPSU, with a comprehensive product matrix. In the first half of 2025, the sales of specialty engineering plastics reached 14,800 tons, a year-on-year increase of 60.87%, with sales of high-performance LCP materials surging by 98.94% year-on-year. Sales in the first three quarters further increased to 24,000 tons, a year-on-year growth of 53.85%, already exceeding the total sales for 2024, with market demand remaining strong.

In terms of capacity expansion, the company is progressing steadily with several key projects: the first phase of the 15,000 tons/year LCP synthetic resin project, with a capacity of 5,000 tons/year, has completed mechanical and electrical installation and is about to commence production; the 40,000 tons/year project for transparent polyamide, polyamide elastomers, and other special polyamides has been initiated, with the first phase of 8,000 tons/year planned to begin production in the first quarter of 2026; the installation of mechanical and electrical equipment for the kiloton polyimide project is underway, with production set to start by the end of 2025; the construction of the 50,000 tons/year special engineering plastic blending modification factory has begun, with the first phase of 15,000 tons/year capacity slated for production in the second quarter of 2026. As new projects are implemented, the company's advantages in the special engineering plastics field will be further strengthened, providing ongoing momentum for performance growth.

Biodegradable Plastics: Leading in Scale and Technology, Expanding Application Scenarios

The biodegradable plastics sector also performed exceptionally well. In the first three quarters of 2025, the company's sales of biodegradable plastics increased by 27.31% year-on-year, with single-quarter sales of 58,600 tons in the third quarter. The company has now established an annual production capacity of 180,000 tons of PBAT biodegradable plastics, maintaining its position as the leader in Asia. During the reporting period, the company also overcame application bottlenecks of biodegradable plastics in industrial-grade additive manufacturing and high-end food packaging, further expanding the product application boundaries.

In terms of industrial chain layout, Jinhao Technology has established a full industry chain system of "bio-based monomers - polyester - modified materials," achieving large-scale production of key raw materials such as bio-based succinic acid and bio-based BDO. This not only reduces reliance on external raw materials but also leads the industry towards a greener and more sustainable upgrade.

Internationalization + Strategic Investment: Dual Engines to Broaden Long-term Growth Potential

In addition to deepening its core business, Kingfa Technology is continuously expanding its development boundaries through international expansion and strategic investments, laying the foundation for long-term growth.

In terms of internationalization, the company's global production and service network has begun to take shape: factories in Vietnam, Spain, and Indonesia have been successfully launched, while factories in Mexico and Poland are under continuous construction. Coupled with the collaboration of overseas bases such as Jinfa USA, Jinfa Europe, and Jinfa India, the company can serve major global market customers in close proximity, quickly respond to changes in demand, effectively avoid trade barriers and geopolitical risks, and steadily increase its market share globally.

The company's strategic investment in Unitree Robotics, with a 0.32% penetration stake, has attracted market attention. Currently, Unitree Robotics' IPO process is underway, and if successfully listed, Kingfa Sci.&Tech. Co., Ltd. is expected to gain additional profits through equity returns, enhancing its performance flexibility. More importantly, this investment reflects the company's forward-looking layout in emerging fields, linking quality innovative enterprises through capital ties. In the future, it is expected to form synergies in areas such as new materials and intelligent manufacturing, opening up more growth possibilities.

As of October 27, 2025, the stock price of Kingfa Technology is reported at 20.17 RMB per share, with a total market value of 53.2 billion RMB. Based on the performance in the third quarterly report, the company has solidified its foundation through its traditional business while opening up new growth opportunities with its new materials business. Coupled with the dual drivers of internationalization and strategic investment, its long-term development potential is promising.

(Source: New Materials Research Society, Finance Society, Golden Finance Report, Securities Star, etc.)