Luxi Chemical Group Co Ltd

Silicone leader Dongyue Silicone Materials issued a results forecast, projecting net profit for the first three quarters of 547 million to 567 million yuan, a year-on-year increase of 19,050% to 19,750%, igniting the silicone sector. Boosted by the news, silicone-related stocks rallied against the market in early trading on October 9, with Dongyue Silicone Materials surging by the 20% daily limit, Chenguang New Materials hitting the daily limit, and Xinyaqiang, Guibao Science and Technology, and Hoshine Silicon following higher. Dongyue Silicone Materials said that in the first three quarters of 2026, thanks to an improved market environment and industry supply-demand balance, prices of its main products rose, while industrial silicon procurement costs fell year on year, lowering overall unit production costs and lifting gross margins. China's domestic silicone market has rebounded since bottoming out in the fourth quarter of 2025, and DMC prices have climbed steadily in 2026. Data from SunSirs shows that as of October 8, DMC was quoted at 14,400 yuan per tonne, up more than 10% over the past 60 days. According to statistics from Securities Times Data Treasure, institutions unanimously forecast that nine silicone-related stocks are expected to post full-year profit growth in 2026, with Sanyou Chemical, Wynca Group, Sanfu Chemical, Hoshine Silicon, and Luxi Chemical expected to lead with gains exceeding 100%.

Luxi Chemical released its 2026 interim report. Total operating revenue was 15.352 billion yuan, up 4.16% year-on-year, and net profit attributable to the parent company was 975 million yuan, up 27.64% year-on-year. Net cash inflow from operating activities was 1.564 billion yuan, the asset-liability ratio was 44.16%, gross margin was 14.76%, ROE was 4.99%, and diluted earnings per share was 0.51 yuan. The company had 85,400 shareholders, and the top ten shareholders held 56.78% of the shares.

The global dimethylformamide market is projected to grow from USD 2.79 billion in 2025 to USD 4.54 billion by 2035, expanding at a compound annual growth rate of 4.98 percent, according to a report by SNS Insider. Industrial grade held the largest share at approximately 58.4 percent of the market in 2025, while pharmaceutical grade is the fastest-growing segment with a CAGR of about 7.9 percent, driven by pharmaceutical API manufacturing expansion in India, China, and Europe. North America led regional markets with a 38.9 percent revenue share in 2025, and Asia Pacific is the fastest-growing region, fueled by synthetic leather production in China and India's pharmaceutical API export industry. Key players include BASF SE, Eastman Chemical Company, and Luxi Chemical Group, which completed a 50,000-tonne-per-year capacity expansion in 2024.