China Yuchai International (CYD) investor relations material

Executive summary

• Revenue grew 30.9% year-over-year in H1 2026, reaching RMB 14.7 billion ($2.2 billion), with engine unit sales up 10.9% and gross profit rising 36.5% to RMB 2.5 billion ($368.7 million).

• Operating profit increased 58.9% to RMB 988.2 million ($145.1 million), and net profit attributable to shareholders rose 53.2% to RMB 560.6 million ($82.3 million), with basic EPS up 53.2% to RMB 14.94.

• Growth was driven by higher sales of larger engines, especially in truck and off-road segments, and strong demand in marine and power generation markets.

• Joint ventures and associates, mainly MTU Yuchai, delivered 56.2% profit growth year-over-year.

• Acquisition of a 27.97% stake in NYDK secured operational control and supply of key powertrain components, with results consolidated from April 2026.

Financial highlights

• Revenue reached RMB 14.7 billion ($2.2 billion), up from RMB 12.9 billion in H1 2025.

• Gross margin improved to 17.1% from 14.3% year-over-year, driven by product mix and operational efficiency.

• Operating margin rose to 6.7% from 4.8% in H1 2025.

• Diluted EPS was RMB 14.81 ($2.17), up from RMB 9.75.

• Cash and bank balances stood at RMB 8.1 billion ($1.2 billion), with borrowings reduced to RMB 1.4 billion ($210.1 million).

Outlook and guidance

• Full-year AIDC engine sales expected to reach 3,500 units, up from 1,800 in H1, with total high-horsepower engine capacity at 5,000 units.

• Capacity expansion achieved through outsourcing and internal process improvements, with further increases planned for next year.

• Continued investment in R&D and product innovation to support growth in international markets, including launch of YC-FRS flywheel range extender system for minibuses.