Performance Divergence Likely to Intensify Among Listed Companies in the Gold Industry Chain

Securities Daily Reporter Li Jing

Recently, listed companies in the gold industry chain have been releasing their 2025 performance reports. Against the backdrop of continuous high gold prices and sustained high-level operation in 2025, the performance of related listed companies generally increased, but some companies experienced a decline. Industry insiders believe that as gold prices fluctuate, the performance divergence among industry chain listed companies may intensify.

Specifically, upstream gold mining companies have become the biggest beneficiaries of rising gold prices. Zijin Mining Group Co., Ltd. announced that in 2025, the company achieved operating revenue of 349.079 billion yuan, a year-on-year increase of 14.96%; net profit attributable to parent was 51.777 billion yuan, a significant increase of 61.55% year-on-year.

Chifeng Jilong Gold Mining Co., Ltd. also reported strong performance, with operating revenue of 12.639 billion yuan in 2025, up 40.03% year-on-year; net profit attributable to parent was 3.082 billion yuan, up 74.70% year-on-year.

Shandong Gold Mining Co., Ltd. expects to achieve net profit attributable to parent of 4.6 billion to 4.9 billion yuan in 2025, a year-on-year increase of 56% to 66%; adjusted net profit attributable to parent is expected to be 4.8 billion to 5.1 billion yuan, up 60% to 71%.

Wanlian Securities investment advisor Qu Fang told Securities Daily that upstream gold mining companies have typical resource attributes, with relatively rigid mining costs. High gold prices directly translate into significant increases in gross profit margin and net profit. Coupled with leading companies continuously expanding production and reserves, a pattern of simultaneous growth in volume and price is achieved. Industry concentration further increases, and leading enterprises with resource reserves and cost advantages have significantly higher profit elasticity and risk resistance.

In stark contrast, downstream gold jewelry retail performance shows clear divergence. Traditional gold jewelry leader Lao Feng Xiang Co., Ltd. reported that in 2025, the company achieved revenue of 52.823 billion yuan, a decrease of 6.99% year-on-year; net profit attributable to parent was 1.755 billion yuan, down 9.99% year-on-year. Additionally, Shenyang Cuihua Gold and Silver Jewelry Co., Ltd. and Zhejiang Mingpai Jewelry Co., Ltd. are expected to see year-on-year declines or losses in their 2025 performance.

However, some companies focusing on brand premium and product differentiation generally saw growth in performance. Guangdong Chaohongji Industrial Co., Ltd. expects net profit of 436 million to 533 million yuan in 2025, up 125% to 175%. Laopuo Gold Co., Ltd. expects sales of about 31 billion to 32 billion yuan in 2025, an increase of approximately 216% to 227%; adjusted net profit is expected to be about 5 billion to 5.1 billion yuan, up 233% to 240%.

Qu Fang further analyzed that the downstream retail industry is highly segmented due to the impact of high gold prices. Traditional gold jewelry companies are under pressure, while companies with branding and product differentiation are breaking through against the trend. The industry is accelerating its transformation toward boutique and branding.

It is worth noting that recently, international gold prices have experienced intense fluctuations. Yang Delong, Chief Economist at Qianhai Kaiyuan Fund, told Securities Daily that the current geopolitical conflicts have triggered chain reactions in the market, with rising inflation expectations forcing the Federal Reserve to delay interest rate cuts. Coupled with the previous sharp rise in gold prices and the accumulation of profit-taking, short-term price corrections have occurred.

Looking ahead, institutions remain optimistic about the long-term trend of gold. Shenwan Hongyuan Futures believes that concerns about the sustainability of U.S. fiscal policy are intensifying, and with the reorganization of the global political and economic order and the diversification of global central bank reserve assets, gold is expected to maintain a long-term upward trend.