On the evening of January 15, Jinpu Titanium Industry (SZ000545, share price: 3.13 yuan, market capitalization: 30.89 billion yuan), a long-established titanium dioxide producer, issued an announcement disclosing that its controlling subsidiary, Anhui Jinpu New Energy Technology Development Co., Ltd. (hereinafter referred to as "Jinpu New Energy"), has encountered frozen bank accounts due to contractual payment disputes. Coupled with slower-than-expected progress in its new energy projects and persistent losses in its core business, the company's operational pressure has further intensified.

Subsidiary's Accounts Frozen Twice Within the Year, Cumulative Frozen Funds Nearly 10 Million
The announcement revealed that Jinpu New Energy had 5.6311 million yuan frozen in some of its bank accounts due to contractual payment disputes with suppliers. As of the announcement date, the subsidiary's cumulative frozen funds amounted to 9.7559 million yuan, accounting for 0.84% of Jinpu Titanium Industry's unaudited net assets for the third quarter of 2025 and 8.82% of its total monetary funds. This marks the second time in 2025 that Jinpu New Energy has faced account freezes. In October of last year, the subsidiary had 22.4685 million yuan frozen in its accounts due to contractual disputes with construction contractors, with related litigation amounts reaching as high as 57.56 million yuan. However, the Suixi County People's Court in Anhui Province recently ruled to lift the freeze on 5.2638 million yuan of these funds and all preservation measures. The funds involved in this case have now been fully unfrozen, alleviating the subsidiary's financial pressure to some extent.

New Energy Project Delayed, Core Business Losses Continue to Widen
As Jinpu Titanium Industry's key vehicle for entering the lithium battery materials sector, the progress of Jinpu New Energy's projects has drawn significant market attention. In 2022, to extend its titanium dioxide industry chain, Jinpu Titanium Industry planned to utilize its by-product ferrous sulfate to develop new energy materials. It intended to build an integrated project in Huaibei, Anhui, with an annual capacity of 200,000 tons of battery-grade lithium iron phosphate and 200,000 tons of lithium iron phosphate. To advance the project, Jinpu New Energy was established (with a registered capital of 400 million yuan). In July 2025, the company acquired a 50.94% stake in Jinpu New Energy from its wholly-owned subsidiary, Nanjing Titanium Dioxide, for 259 million yuan, further strengthening its control over the project. However, progress has fallen short of expectations, with the lithium iron phosphate facility in the first phase of the project now delayed. It is reported that the first phase of the project planned to construct an annual capacity of 100,000 tons of lithium iron phosphate and 300,000 tons of sulfuric acid. While the 300,000-ton sulfuric acid facility entered trial production in August 2025, the lithium iron phosphate facility has been slowed down due to market price fluctuations and downstream technological iterations, and is currently in a state of delayed construction to control investment risks.

Financial data shows that in 2024, Jinpu New Energy generated revenue of only 184,400 yuan, accounting for just 0.01% of its parent company's revenue, while its net loss amounted to 19.1341 million yuan, representing 7.83% of the parent company's net loss for the year. The subsidiary has yet to make a meaningful contribution to profitability.

Company's Net Loss Continues for Three Consecutive Years
The operational difficulties of the subsidiary have further exacerbated the parent company's performance pressure. As one of the earliest domestic companies to adopt the sulfuric acid method for titanium dioxide production, Jinpu Titanium Industry has experienced persistent weakness in its core business in recent years. From 2022 to 2024, its operating revenue declined for three consecutive years, with net profits attributable to shareholders recording losses of 145 million yuan, 175 million yuan, and 244 million yuan, respectively, with losses widening year by year. Performance deteriorated further in the first three quarters of 2025, with operating revenue reaching 1.24 billion yuan, a year-on-year decrease of 23.68%, and net profit attributable to shareholders recording a loss of 233 million yuan, a staggering year-on-year decline of 325.09%.

Regarding the weak performance, Jinpu Titanium Industry admitted in its 2025 interim report that, due to industrial policies and market demand, the company faces severe operational challenges. Additionally, limitations in production processes and product structure have resulted in a lack of pricing advantages. High energy and labor costs at its Nanjing and Xuzhou bases, coupled with the absence of mineral resources and scale advantages leading to elevated raw material costs, have significantly reduced per-ton product margins compared to peers, making transformation an urgent necessity. Previously, the company attempted to transition into the rubber products sector through an asset swap. In July 2025, it announced plans to divest its persistently loss-making titanium dioxide business and acquire a 100% stake in Nanjing Lead Eastern Rubber & Plastic Technology Co., Ltd., along with raising supporting funds. However, just two months later, this major asset restructuring initiative was terminated, presenting another obstacle in the company's transformation journey.