Jiangsu Hengli Hydraulic (601100) H2 2025 earnings summary

Executive summary

• Achieved record revenue of ¥10.94 billion in 2025, up 16.52% year-over-year, and net profit attributable to shareholders of ¥2.73 billion, up 8.99% year-over-year.

• Total assets reached ¥21.67 billion, up 10.35% year-over-year; net assets attributable to shareholders rose 9.54% to ¥17.28 billion.

• Industry demand rebounded, with strong growth in both domestic and export markets, and significant breakthroughs in high-end hydraulic products.

• Major overseas expansion: Mexico base operational, new service points in UK, Italy, Indonesia, and Guinea.

Financial highlights

• Operating income: ¥10.94 billion, up 16.52% year-over-year.

• Net profit attributable to shareholders: ¥2.73 billion, up 8.99% year-over-year.

• Operating cash flow: ¥1.81 billion, down 26.95% year-over-year due to increased procurement and tax payments.

• Gross margin for main business: 41.15%, down 1.32 percentage points year-over-year.

• R&D expenses: ¥705 million, accounting for 6.44% of revenue.

Outlook and guidance

• Industry expected to maintain high-quality growth, driven by policy support and demand in engineering, agriculture, and new energy sectors.

• Strategic focus on internationalization, diversification, and electrification; continued global capacity expansion and R&D investment.

• 2026 plan emphasizes quality, innovation, global market expansion, and operational efficiency.