Zhongshen Jianye Holding (2503) H2 2025 earnings summary

Executive summary

• FY2025 revenue fell 43.3% to RMB425.3m as fewer construction projects progressed; net loss was RMB36.5m, versus profit of RMB1.9m in FY2024.

• Net assets rose 16.8% to RMB555.8m at 31 Dec 2025; no final dividend was recommended.

Financial highlights

• Revenue was RMB425.3m, down from RMB750.6m; cost of revenue fell 42.3% to RMB409.2m.

• Gross profit declined to RMB16.2m from RMB41.3m; gross margin was 3.8%, versus 5.5% in FY2024.

• Operating loss was RMB35.2m, versus operating profit of RMB2.3m; net loss was RMB36.5m, versus net profit of RMB1.9m.

• Basic loss per share was RMB5.49 cents, versus earnings of RMB0.38 cents in FY2024.

Outlook and guidance

• Plans to target green buildings, smart construction and full-process engineering solutions, supported by expected demand for infrastructure, renewable energy and urban renewal work in Guangdong.

• Following Huajian’s acquisition, integration of engineering consulting and supervision capabilities is expected to extend service coverage, strengthen delivery and improve risk and cost management.

• Equipment ownership remains deferred in favour of leasing; the remaining IPO proceeds allocated to equipment are expected to be used by 31 Dec 2027.