CRRC (601766) Q2 2024 earnings summary

Executive summary

• Revenue for the first half of 2024 reached RMB 90.04 billion, up 3.13% year-over-year, driven mainly by growth in railway equipment sales.

• Net profit attributable to shareholders was RMB 4.20 billion, a 21.40% increase year-over-year.

• Gross margin improved by 1.97 percentage points to 21.41% compared to the same period last year.

• The company signed new contracts worth RMB 140.1 billion, including RMB 29.8 billion in overseas orders.

Financial highlights

• Operating income: RMB 90.04 billion, up 3.13% year-over-year.

• Net profit attributable to shareholders: RMB 4.20 billion, up 21.40% year-over-year.

• Basic and diluted EPS: RMB 0.15, up 25% year-over-year.

• Net cash flow from operating activities: RMB 1.85 billion inflow, compared to RMB 14.78 billion outflow last year.

• R&D investment: RMB 6.04 billion, accounting for 6.70% of revenue.

Outlook and guidance

• The company expects continued stable growth in railway equipment, with ongoing expansion in international markets and new industries.

• Focus remains on innovation, digitalization, and green transformation to capture emerging opportunities in clean energy and intelligent transportation.