Ganfeng Lithium Reports Tenfold Profit Surge, Paving the Way for the Lithium Kingdom

Original article: GANFENG LITHIUM multiplica sus ganancias por 10 y traza el futuro del «Reino del Litio»

Amid the unstoppable rise of the global renewable energy market, Chinese lithium giant Ganfeng Lithium (Code: 002460.SZ) has once again astonished the market with its outstanding performance. According to the latest research report from Soochow Securities, Ganfeng Lithium’s results for the first half of 2026 not only met analysts’ expectations but exceeded them, driven by the ongoing surge in lithium prices and showcasing remarkable «earnings elasticity.»

Record Figures: Year-on-Year Growth of Up to 10 Times

The research report highlights that, as per the company’s preliminary announcement, the net profit attributable to the parent shareholders during the first half of 2026 is projected between 3.65 and 4.6 billion yuan, representing an astonishing year-on-year increase of 787% to 966%. This means that in just six months, Ganfeng Lithium has managed to multiply its profits nearly tenfold compared to the same period last year.

Looking at the quarterly breakdown, the second quarter of 2026 (April-June) maintains strong growth momentum. The net profit attributable to the parent shareholders for this period is expected to be between 1.81 and 2.76 billion yuan. Compared to the first quarter of the year, the midpoint of this figure (2.29 billion yuan) represents a quarterly growth of 25%, demonstrating that the company’s core business remains robust and continues on an upward trend.

Stable Lithium Prices and Accelerated Resource Projects

Soochow Securities’ report emphasizes that the main engine behind this exponential growth remains the rising prices of lithium carbonate and lithium hydroxide. Looking towards the second half of the year and the outlook for 2027, the institution is optimistic, forecasting that the average price of lithium carbonate for all of 2026 will stabilize in a solid range of 150,000 to 180,000 yuan per ton. Based on this price scenario, Ganfeng Lithium’s annual profit contribution could reach the impressive figure of 8 to 9 billion yuan.

Beyond prices, Ganfeng Lithium’s strength lies in its upstream resource control. The report highlights that the company is accelerating the construction of several strategic projects:

1. Goulamina Project (Mali): The Phase II construction is being accelerated to further increase lithium ore production.
2. PPG Brine Project (Argentina): Progress is being made on Phase II of the lithium brine project, ensuring long-term supply of low-cost lithium resources.
3. CO Project (Mexico): Phase II expansion of the lithium clay project is underway.

The financial institution estimates that once these projects are fully operational, Ganfeng Lithium’s long-term attributable lithium resources will exceed 250,000 metric tons (LCE, equivalent to lithium carbonate), solidifying its status as an undisputed giant in lithium resources worldwide.

Diversification: Batteries, Potash, and Phosphate, a Growth Trident

In addition to its core lithium materials business, the Soochow Securities report points out that Ganfeng Lithium’s diversification is starting to bear fruit, forming a more robust industrial support system:

• Batteries Business: In the second quarter of 2026, the lithium battery business (including energy storage and power batteries) saw an improvement in profitability quarter-on-quarter, indicating that the company’s downstream industrial chain is continuously enhancing its value generation capabilities.
• Potash Business: The byproduct of potash generated during lithium brine extraction is gradually emerging as a new source of profits, improving overall resource utilization efficiency.
• Phosphate Ore Business: Strategic investment in the phosphate ore sector is contributing with stable profits, helping the company diversify risks within commodity price cycles.

Conclusion and Outlook

The Soochow Securities research team maintains a positive rating for Ganfeng Lithium. The entity considers that the company is in an excellent moment of «benefit from quantity and price,» with upstream resource integration and downstream industrial expansion being well synchronized.

However, the report also warns investors to pay attention to macro risks: volatility in lithium prices, changes in electric vehicle subsidy policies in international markets, and the possibility that supply expansion may outpace demand.

For now, Ganfeng Lithium is demonstrating to the market, with compelling figures, its central role in the global energy revolution. In a context of high lithium prices and strong demand, the Chinese lithium giant is entering a cycle of super profits.

The Citizen