Beijing New Building Materials (000786) H1 2025 earnings summary

Executive summary

• Revenue for H1 2025 was ¥13.56 billion, down 0.29% year-over-year; net profit attributable to shareholders was ¥1.93 billion, down 12.85% year-over-year.

• Operating profit fell 11.50% year-over-year; cash flow from operations dropped 52.86% year-over-year.

• The company advanced its “one core, two wings” strategy, investing in new gypsum and coating production lines and completing the acquisition of Zhejiang Daqiao Paint.

• International business in Tanzania and Uzbekistan saw double-digit growth; Thailand and Bosnia projects progressed as planned.

Financial highlights

• Revenue: ¥13.56 billion (-0.29% YoY); net profit attributable to shareholders: ¥1.93 billion (-12.85% YoY); basic EPS: ¥1.142 (-12.82% YoY).

• Operating cash flow: ¥961.9 million (-52.86% YoY); total assets: ¥35.54 billion (+1.14% from year-end 2024); net assets: ¥26.15 billion (+1.86%).

• Gross margin for gypsum board: 38.68%; for coatings: 31.79%; for waterproofing: 16.97%.

• Non-recurring gains: ¥37.18 million, mainly from VAT reductions and government grants.

Outlook and guidance

• The company will continue to focus on cost reduction, digital transformation, and international expansion.

• No interim dividend, bonus shares, or capital increase from reserves planned for H1 2025.