HZ Info, Satellite Chemical(STL ) has released its semi-annual report for 2026, revealing total assets of RMB 77.743 billion, an 11.76% increase year-over-year. The company delivered outstanding operational performance during the reporting period, with total revenue reaching RMB 30.713 billion, a 30.92% increase year-over-year. Net profit attributable to shareholders jumped 126.94% to RMB 6.227 billion, while core net profit (excluding non-recurring items) rose 109.01% to RMB 6.053 billion. Earnings per share stood at RMB 1.85 .
Segment Performance and Competitive Advantages
Functional chemicals remained the company's core business, generating RMB 23.369 billion in revenue, a 35.07% increase year-over-year. The advanced polymer materials segment contributed RMB 7.256 billion, up 18.81% .
This robust growth is underpinned by STL's unique industrial positioning and cost advantages. As the world's only integrated light hydrocarbon C2 and C3 dual-chain enterprise, the company leverages the cost edge of ethane cracking to ethylene, establishing a global supply chain moat that is difficult to replicate. Its ethylene yield and profitability significantly outperform the traditional naphtha route .
The C2 segment operates China's largest ethane cracking facility with an annual capacity of 2.5 million tons, supporting a product portfolio spanning high-end polyethylene, ethylene oxide derivatives, and polystyrene, with products already integrated into leading companies' supply chains. In the C3 segment, the company maintains a 2-million-ton-per-year acrylic acid and esters production capacity, ranking first in China and second globally, with its superabsorbent polymers (SAP) supplying global hygiene product leaders .
Expansion into High-Value-Added Products
While consolidating its existing advantages, the company is accelerating its push into higher-value sectors. In 2026, STL announced plans to build a 200,000-ton-per-year specialty acrylate project at its Lianyungang base, targeting emerging fields such as new energy and automotive lightweighting. Additionally, a 160,000-ton-per-year green and environmentally friendly polymer emulsion technical upgrade project reached mechanical completion in May. The construction of a key 300,000-ton-per-year SAP project is also progressing rapidly .
Lianyungang Petrochemical, a wholly-owned subsidiary of STL, launched an expansion plan in 2026 with a total investment of RMB 8.85 billion, including a planned RMB 2.5 billion for the year . Key projects include:
- A 260,000-ton-per-year aromatics complex project (investment: RMB 1.03 billion), scheduled for commissioning on October 30, 2026 .
- A high-end new materials project (investment: RMB 7.82 billion), scheduled for completion and commissioning in August 2027 .
- To further secure upstream self-sufficiency, the company has secured access to one of only three ethane export terminals overseas through a joint venture, including dedicated pipeline export capacity. It also operates the world's largest Very Large Ethane Carrier (VLEC) fleet, comprising 21 vessels, ensuring independent control over its transoceanic logistics capabilities .