Turning losses into profits! Explosive growth in energy storage demand, A-share lithium mining sector keeps reporting good news in the 2025 annual reports

According to Shanghai Securities News, the A-share lithium mining sector has reported encouraging results in its 2025 annual reports one after another, signaling a recovery for the lithium carbonate industry that had once fallen into a low point. Leading companies such as Tianqi Lithium, Ganfeng Lithium, and Salt Lake Co. have successively submitted answers showing profit growth. The core driving force is the explosion in downstream energy storage demand, which has led to lithium carbonate prices stabilizing and rebounding. Since 2026, domestic battery-grade lithium carbonate prices have remained stable at around 150,000 yuan per ton, a widely recognized “comfort zone” for the industry. This both supports most lithium mining companies to keep steady profitability and eases cost-related anxiety in the energy storage sector.

In 2025, Tianqi Lithium achieved a net profit of 463 million yuan, up 105.85% year on year, successfully turning losses into profits. Its earnings recovery relies on the global high-quality resource deployment, with its controlled Australian Greenbush lithium mine continuing to provide low-cost lithium concentrate. The performance growth of its equity affiliate SQM has also significantly boosted investment income. In the same period, Ganfeng Lithium’s revenue reached 23.082 billion yuan, up 22.08% year on year, and its net profit was 1.613 billion yuan. It successfully turned losses into profits, with Ganfeng Lithium’s annual lithium carbonate equivalent production volume and sales volume rising year on year by 40.05% and 42.47%, respectively, in 2025.

Salt Lake’s lithium extraction companies have become “top performers” in profitability thanks to their cost advantages. Zangge Mining’s net profit in 2025 increased by 49.32% year on year, including a 54.7% year-on-year increase in net profit in the fourth quarter, showing an obvious trend of improving performance quarter by quarter.

Industry insiders believe that in 2026, the lithium carbonate market will take shape as a pattern of “tight balance throughout the year with structural mismatches by quarter,” and that industry competition will shift from “broad-based price increases and broad-based profits” to “resources as the key advantage, and winning on cost.” Recently, a flurry of industrial projects has been underway. According to a quick report from Shanghai Metals Market, Zijin Lithium’s 25,000-ton per year battery-grade lithium carbonate project in Zijin Lithium’s “Year One” has entered the stage of trial production with feed, which will directly supply the group’s internal lithium iron phosphate cathode material production lines, forming a closed-loop industrial synergy. Xinjiang Blue Diamond Lithium’s 35,000-ton per year battery-grade lithium carbonate project has released environmental impact assessment public notices, with a total investment amount of 2.5 billion yuan. The related capacity release will be gradually implemented.

Statement: The market carries risks; investment should be cautious. This article is generated by AI based on third-party data and is for reference only; it does not constitute personal investment advice.