Metallurgical Corporation of China (1618) H2 2024 earnings summary

Executive summary

• Operating revenue for 2024 was RMB552,025 million, down 12.91% year-over-year; net profit was RMB7,904 million, down 30.70% from 2023.

• Net profit attributable to shareholders was RMB6,746 million, a 22.20% decrease year-over-year; basic EPS was RMB0.24, down from RMB0.33.

• Total assets rose 22.13% to RMB808,016 million; shareholders' equity increased 8.54% to RMB182,336 million.

• Value of newly signed contracts was RMB1,248,706 million, down 12.36% year-over-year.

• Company maintained top 10 ENR global contractor status for 16th year and received multiple governance and disclosure awards.

Financial highlights

• Operating revenue fell by RMB81,845 million year-over-year; net profit dropped by RMB3,502 million.

• Cash flow from operating activities increased 33.20% to RMB7,848 million.

• Engineering contracting revenue was RMB501,450 million (down 14.35%); featured business revenue RMB38,166 million (down 1.63%); real estate revenue RMB18,753 million (up 13.52%).

• Gross margin for engineering contracting rose slightly to 9.24%; featured business margin was 17.11%; real estate margin dropped to 3.92%.

• R&D expenses decreased 16.85% to RMB16,406 million; R&D staff accounted for 13.8% of total employees.

Outlook and guidance

• 2025 revenue target set at RMB564 billion; new contract value target at RMB1,150 billion.

• Focus on transformation, technological innovation, and high-quality development across core and featured businesses.

• Emphasis on expanding overseas markets, enhancing project management, and integrating digital and green technologies.