Emerging Castings plans to provide a guarantee of no more than 265 million yuan for its Egyptian subsidiary

Radar Finance | Feng Xiuyu Edited | Li Yihui

On March 9, XinXing Casting (Stock Code: 000778) announced that the company held the 19th meeting of the 10th Board of Directors on March 6, 2026, during which it approved a proposal to provide internal guarantees for the overseas wholly-owned subsidiary XinXing Casting (Egypt) Co., Ltd. The company plans to guarantee a loan of no more than 265 million RMB applied for by XinXing Egypt from a bank, with a guarantee period of up to 3 years from the date of the loan, for operational working capital turnover in Egypt.

As of September 30, 2025, XinXing Egypt’s asset-liability ratio was 78.63%. This guarantee matter requires approval at the shareholders’ meeting. Independent directors have reviewed the proposal in advance and agreed to submit it to the board for approval.

Currently, the company has signed guarantee agreements totaling 105 million RMB with XinXing Egypt. The company believes that this guarantee will not adversely affect the company and that there are no circumstances harming the interests of the company and shareholders.

According to Tianyancha, XinXing Casting was established on May 24, 1997, with a registered capital of approximately 39.9088 billion RMB. The legal representative is He Qishu, and the registered address is Shangluo Village North, Wuan City. Its main business includes processing, manufacturing, and sales of centrifugal ductile iron pipes and fittings, steel smelting and rolling products, casting products, steel-plastic composite pipes, steel grates, and special steel pipes.

Currently, the company’s chairman is He Qishu, the secretary of the board is Wang Meiying, with 13,389 employees. The actual controller is the State-owned Assets Supervision and Administration Commission of the State Council.

The company has stakes in 45 subsidiaries, including Handan XinXing Special Pipe Co., Ltd., XinXing Casting Group Handan New Materials Co., Ltd., XinXing Casting International Development Co., Ltd., Wuhu XinXing Metallurgical Resources Recycling Technology Co., Ltd., and Wuhu XinXing New Material Industrial Park Co., Ltd.

In terms of performance, the company’s operating income for 2022, 2023, and 2024 was 47.76 billion RMB, 43.253 billion RMB, and 36.194 billion RMB, respectively, with year-on-year decreases of -10.40%, -9.44%, and -16.32%. Net profit attributable to the parent was 1.676 billion RMB, 1.351 billion RMB, and 167 million RMB, with year-on-year declines of -16.48%, -19.40%, and -87.60%. During the same period, the company’s asset-liability ratios were 50.66%, 48.71%, and 47.09%.

Regarding risks, Tianyancha data shows the company has 583 internal risks, 589 surrounding risks, 315 historical risks, and 515 early warning risks.