China National Building Material Company (3323) H2 2024 earnings summary

Executive summary

• Revenue declined 13.8% year-over-year to RMB181.3 billion, mainly due to lower sales in basic building materials, partially offset by growth in new materials and engineering services.

• Net profit attributable to equity holders fell 38.2% to RMB2.39 billion, with EPS at RMB0.283, down from RMB0.458.

• Final dividend proposed at RMB0.158 per share, a decrease from RMB0.229 per share last year.

• The company completed a major H-share buyback, reducing issued shares and increasing parent group ownership to 50.01%.

• Despite macroeconomic and industry headwinds, the group advanced digitalization, green transformation, and internationalization.

Financial highlights

• Gross profit decreased to RMB32.7 billion from RMB37.4 billion, with gross margin at 18.1%.

• Operating profit dropped to RMB13.1 billion from RMB16.2 billion.

• EBITDA (adjusted) was RMB28.9 billion, down from RMB32.1 billion.

• Net cash inflow from operating activities was RMB23.2 billion, down from RMB29.0 billion.

• Net cash outflow from investing activities improved to RMB20.3 billion from RMB27.3 billion.

• Net cash outflow from financing activities increased to RMB6.6 billion from RMB1.1 billion.

Outlook and guidance

• Management expects stable economic recovery in China for 2025, with continued focus on quality improvement, efficiency, and technological innovation.

• The group will accelerate internationalization, digital transformation, and green development, aiming for high-quality growth and enhanced operational resilience.

• 2025 marks the final year of the 14th Five-Year Plan, with strategic emphasis on both basic building materials and innovative industries.