Huaxin Cement (600801) Q4 2024 earnings summary

Executive summary

• Revenue reached ¥34.22 billion, up 1.36% year-over-year, with net profit attributable to shareholders at ¥2.42 billion, down 12.52% year-over-year.

• Despite industry headwinds, aggregate sales rose 9% and concrete sales increased 17% year-over-year.

• Overseas cement sales surged 37% year-over-year, with international capacity exceeding 22.5 million tons.

• Board proposes a cash dividend of ¥0.46 per share, with no capital reserve conversion.

Financial highlights

• Gross margin for the year was 24.69%, down 2.02 percentage points year-over-year.

• Basic EPS was ¥1.16, down 12.78% year-over-year; diluted EPS was ¥1.13.

• Net cash from operating activities was ¥5.98 billion, down 4.14% year-over-year.

• Total assets at year-end were ¥69.51 billion, with net assets attributable to shareholders at ¥30.29 billion.

• Non-recurring profit items contributed ¥631.85 million, mainly from asset disposals and government grants.

Outlook and guidance

• 2025 revenue is projected at ¥37.1 billion, with planned cement and clinker sales of 57 million tons, aggregate sales of 170 million tons, and concrete sales of 30 million cubic meters.

• Capital expenditure for 2025 is budgeted at ¥13.3 billion, focusing on aggregates, overseas cement, and alternative fuel projects.

• The company expects the domestic cement market to stabilize, with policy support for infrastructure and real estate.