China Yuchai International (CYD) H2 2024 earnings summary

Executive summary

• Outperformed Chinese truck and bus vehicle markets in 2024, with engine sales rising 13.7% to 356,586 units despite overall market declines.

• Significant growth in off-road, industrial, marine, and genset engine sales year-over-year.

• Entered strategic partnerships and expanded international presence, including Vietnam and Thailand.

• Strategic joint ventures, notably MTU Yuchai, delivered a 63.6% profit increase and turned profitable.

• Robust demand from AI data centers driving generator engine segment growth.

Financial highlights

• FY 2024 revenue rose 6.6% year-over-year to RMB 19.1 billion ($2.7 billion).

• Gross profit increased 10.8% to RMB 2.8 billion ($392.1 million); gross margin up to 14.7%.

• Net profit attributable to shareholders was RMB 323.1 million ($44.9 million), up from RMB 285.5 million.

• Basic and diluted EPS were RMB 8.21 ($1.14), up 17.5% from RMB 6.99 in 2023.

• Cash and bank balances at year-end were RMB 6.4 billion ($895 million), up from RMB 6.0 billion.

Outlook and guidance

• Order book for 2025 is full, with at least 30% growth expected in data center generator business.

• Capacity expansion planned, with 35%-40% increase by end of 2025 and further growth by 2027.

• R&D and SG&A expenses expected to remain stable or see moderate increases in 2025.

• Anticipates continued strong demand in marine, biogas, and data center segments.