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Press Release(For immediate release)China XLX’s Net Profit Surged by 68.7% YoY in Q1 2026Simultaneous growth in sales volume and selling price of core products driven by optimised product mix and accelerated transformation and innovation of marketing modelQ1 2026 Results Highlights: Revenue grew by 16.7% YoY to approximately RMB6.82 billion. Net profit surged by 68.7% YoY to approximately RMB 421 million and profit attributable to owners of the parentcompany climbed by 51.7% YoY to approximately RMB 300 million, The economies of scale became increasingly evident as new capacity came on stream in an orderly manner. Overall gross profit grew by 53.2% YoY to approximately RMB 1.28 billion. Investment pace was precisely managed, with the ratio oflong-term to short-term debt staying at 8:2 andshort-term loans decreasing by 9% YoY. (17 May 2026, Hong Kong) China XLX Fertiliser Ltd. (“China XLX” or the “Company”, together with its subsidiaries collectively referred to as the “Group”) (stock code: 01866.HK) announced that the Group’s revenue for the quarter ended 31 March 2026 grew by 16.7% year-on-year to approximately RMB 6.82 billion. Net profit for the period surged by 68.7% year-on-year to approximately RMB 421 million and net profit attributable to owners of the parent company climbed by 51.7% year-on-year to approximately RMB 300 million.During the period under review, the overall operating environment of the fertiliser industry steadily improved amid strong agricultural demand and favorable raw material costs. The Group capitalised on the opportunities emerging in the market to ramp up R&D of differentiated high-efficiency fertilisers, optimise the product mix and increase the proportion of high value-added products in overall production and sales, leading to steady growth in average selling prices of products. Meanwhile, it accelerated the transformation and innovation of marketing model, made continuing efforts to expand both of domestic and international sales channels, and seized global trade opportunities to boost the export of chemical products. As a result, the sales volumes of core products grew in tandem with selling prices.With the successful commissioning of the Jiujiang Phase II Project, the Group’s new capacity came on stream in an orderly manner. As the economies of scale became increasingly evident, unit production costs further reduced and resulted in 53.2% year-on-year growth in overall gross profit to approximately RMB 1.28 billion. These achievements laid a solid foundation for the improvement in the Group’s financial results.In the first quarter of this year, revenue from urea sales increased by 27.6% year-on-year to approximately RMB 1.96 billion. The commencement of operation of the Jiujiang Phase II Project drove the robust growth in urea output from the previous year with the urea sales volume increased by 21.4% year-on-year for the period. As downstream customers stocked up in advance, the inventories reduced by 19% year-on-year, hence lending strong support to urea price hikes. At the same time, the Group further optimised the product mix and increased the sales proportion of high-efficiency urea with higher margins. As a result, the average selling price of urea increased by 5.2% year-on-year. Moreover, the commissioning of the Jiujiang Phase II Project lowered the fixed cost per tonne coupled with roughly 9% reduction in feedstock costs, the gross profit margin of urea for the period climbed by 10 percentage points year-on-year to 27%.During the review period, revenue from compound fertiliser sales amounted to approximately RMB 1.69 billion, up by 8.7% year-on-year. With the successful implementation of marketing transformation strategy, the Group’s marketing network for compound fertilisers expanded to all 31 provincial-level administrative regions across China. While approximately 7,000 new exclusive distributors were added, the coverage rate of the Group’s sales network reached 91%. In addition, existing distributors delivered steady business growth. As a result, the sales volume of compound fertilisers for the period saw 8.2% year-on-year growth. Because the proportion of ordinary fertiliser sales was seasonally higher in the first quarter and the market supply was largely balanced, the average selling price of compound fertilisers for the period remained stable. Nevertheless, as the tight supply of potash and phosphate fertilisers drove up the feedstock costs, the gross profit margin of compound fertilisers slightly retreated by 1.9 percentage points year-on-year to 12%.During the peak period of project investment, the Group will precisely control the investment pace and balance capital expenditures with financial risks to ensure stable cash flow. Its overall leverage remains controllable with a well-structured debt profile. All key financial indicators remain strong and keep on improving. As of the end of the period under review, the Group’s debt-to-asset ratio was 67.9%, slightly up by 1.9 percentage points from the beginning of the period. The ratio of long-term to short-term debt stayed at 8:2 and short-term loans decreased by 9% year-on-year, hence freeing up approximately RMB 1.4 billion in working capital. The average interest rate on new loans for the period decreased by 0.18 percentage points from the previous year and was maintained within 2.86%.As for the project development, the new chemical material project at the Xinjiang Production Base commenced the trial run with all indicators performing well. The urea production facility with annual capacity of 700,000 tonnes is scheduled to put into operation in the second quarter of this year. The development of the Zhundong Project (Phase I) is progressing as planned and it is slated to commence operation by the end of this year. The Guangxi Project (Phase I) is expected to put into production in the third quarter of next year. This project is aimed at addressing the capacity shortage of new nitrogenous fertilisers in Guangdong and Guangxi. With an easy access to the Pinglu Canal, it will enhance the transport efficiency at lower costs and will enable the Group to effectively expand into the Southeast Asia market.Looking ahead into the second quarter, Mr. Liu Xingxu, Chairman of China XLX, said: Underpinned by the peak planting season, domestic urea prices are expected to remain firm and stable in general. However, due to ample supply and other factors, there is limited room for further price increases. If the export controls are relaxed after the spring planting season, urea prices may see periodic price fluctuations. Meanwhile, coal-based producers are poised to benefit from geopolitical conflicts and the competitive landscape in the industry will continue to improve. Facing a complex market environment, the Group will reinforce its competitive edges through technological innovation, production iteration, marketing model transformation, the promotion of digital intelligence transformation and green low-carbon high-quality development.~ END ~About China XLX Fertiliser Ltd.China XLX Fertiliser Ltd. is one of the largest and most cost-efficient coal-based urea producers in China. It is principally engaged in developing, manufacturing and selling of urea, compound fertiliser, methanol, dimethyl ether, melamine, furfuryl alcohol, furfural, 2-methylfuran, pharmaceutical intermediates and related differentiated products. The Group adheres to the development strategy of “maintaining overall cost leadership and creating competitive differentiation" while strengthening the core fertiliser operations. With support of the resources in Xinxiang, Xinjiang and Jiangxi, it extends the value chain to upstream new energy and new materials and diversifies into coal chemical related products. The Company’s shares (stock code: 01866.HK) are traded on the main board of the Hong Kong Stock Exchange.Investor and Media Enquiries China XLX Fertiliser Ltd. Gui Lin Tel: 86-135-6942-3415 Email: gui.lin@chinaxlx.com.hk PRChina Limited David Shiu / Liky Guo Tel: 852-2522 1368 / 852-2522 1838 Email: dshiu@prchina.com.hk lguo@prchina.com.hk 17/05/2026 Dissemination of a Financial Press Release, transmitted by EQS News.The issuer is solely responsible for the content of this announcement.Media archive at www.todayir.com

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