Ganfeng Lithium: Energy storage has entered a rapid growth phase; Sungrow Power Supply to achieve a net profit of nearly 13.5 billion yuan in 2025 | New Energy Early Insights

丨 April 1, 2026, Wednesday 丨

**NO.1 **Ganfeng Lithium: The energy storage sector has entered an explosive growth phase

On March 31, Ganfeng Lithium released minutes of its investor relations activities, stating that the company remains optimistic about demand in the lithium industry. After nearly two years of cyclical adjustments and industry consolidation, the energy storage sector has entered an explosive growth phase, and this trend is expected to continue through 2026. Meanwhile, emerging electricity consumption scenarios such as AI compute centers and data centers continue to boost demand for backup power and energy storage capacity. Coupled with the increased global focus on energy independence, energy storage demand is experiencing additional growth.

Commentary: The company skillfully expanded the incremental logic from traditional power batteries to “AI compute energy storage” and “geopolitical-driven new market electrification,” outlining a broader demand landscape. Emphasizing downstream tolerance for high lithium prices aims to signal stability, but expectation management cannot replace the fundamental supply and demand dynamics. The trend of lithium prices still needs to be confirmed by downstream inventory de-stocking data and actual procurement pace.

**NO.2 **Sungrow Power Supply: Net profit for 2025 nearly 13.5 billion yuan

On March 31, Sungrow Power Supply released its 2025 annual report. The report shows that in 2025, the company achieved operating revenue of 89.184 billion yuan, a year-on-year increase of 14.55%; net profit attributable to shareholders of the listed company was 13.461 billion yuan, up 21.97%. The company plans to distribute a cash dividend of 6.9 yuan per 10 shares to all shareholders (including tax), based on the share capital after deducting shares repurchased from the dedicated buyback account.

Commentary: Sungrow’s revenue and net profit both grew in 2025, demonstrating the resilience of its profitability as a leader in solar and energy storage, and the company continued to pay substantial cash dividends. However, behind this positive outlook lies a concern: in Q4 2025, net profit plummeted 62% quarter-over-quarter. This sharp slowdown may reflect intensified industry price competition at year-end, disruptions in overseas delivery schedules, or impairment provisions. While investors recognize the company’s solid full-year fundamentals, they should remain vigilant about the deeper reasons behind the sudden Q4 performance decline.

**NO.3 **Hailiang Co., Ltd.: A controlling subsidiary plans to invest 5.05 billion yuan to build a copper foil production line

On March 31, Hailiang Co., Ltd. announced that its controlling subsidiary, Gansu Hailiang New Energy Materials Co., Ltd., plans to invest in Jinhua, Zhejiang, to build a copper foil production line with an annual capacity of 67,500 tons. The project will be executed by a wholly owned subsidiary, Zhejiang Hailiang New Energy Materials Co., Ltd., which will be established. It will be developed in three phases, with a total estimated investment of 5.05 billion yuan, including 3.85 billion yuan in fixed assets. Once fully operational, the project will have an electrolytic copper foil capacity of approximately 67,500 tons per year.

Commentary: Hailiang is making a significant move by investing 5.05 billion yuan to expand copper foil capacity for lithium batteries. Locating the project in Zhuji, Zhejiang, is advantageous for proximity to downstream new energy customers in the Yangtze River Delta. In the long term, this will further strengthen its leading position in copper foil. However, such a large capital expenditure will test the company’s financial capacity, and given current industry concerns about temporary oversupply of copper foil, the future absorption of additional capacity remains to be validated by the market.

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The Daily Economic News