China's two major lithium companies saw their profits surge by dozens of times in the first half of the year, with Tianqi Lithium's net profit expected to reach 4.25 billion yuan.

Foreign media: China's two major lithium giants, Tianqi Lithium and Ganfeng Lithium, are expected to see their profits surge by several times in the first half of the year. Tianqi Lithium is projected to achieve a net profit between 2.85 billion and 4.25 billion RMB, representing an increase of 3,276% to 4,935% year-on-year; Ganfeng Lithium is forecasted to earn between 3.65 billion and 4.6 billion RMB, reversing last year’s net loss of 531 million RMB and ending two consecutive years of mid-year losses.

Despite the impressive performance, both companies’ stock prices slightly declined. The significant earnings growth is primarily driven by global demand for energy independence fueling the development of new energy industries, rising downstream demand leading to a substantial increase in lithium product prices, and the booming rise of energy storage businesses significantly boosting sales of lithium-ion batteries.

Tianqi Lithium operates the world’s largest lithium salt lake and the largest hard-rock lithium mine, while Ganfeng Lithium is the world’s largest producer of metallic lithium and lithium compounds.

Original article: toutiao.com/article/1870788787493916/

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