China Railway Construction Heavy Industry's net profit in 2025 slightly decreased by 1.65%, with new contracts for special equipment increasing by over 40% | Financial Report Analysis

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Caixin reported on March 20 (Reporter Huang Lu) that China Railway Construction Heavy Industry (688425.SH) maintained flat revenue last year, with a slight decline in net profit due to increased income tax expenses.

Tonight, China Railway Construction Heavy Industry disclosed its 2025 annual report, showing total operating revenue of 10.045 billion yuan, a decrease of 0.01% compared to the same period last year; total profit of 1.667 billion yuan, an increase of 0.44% year-on-year; and net profit attributable to shareholders of the listed company of 1.483 billion yuan, a decrease of 1.65% year-on-year.

The company completed a cumulative new signed/bid contract amount of 13.402 billion yuan in 2025, including 10.778 billion yuan domestically and 2.625 billion yuan overseas. By business segment, the tunneling machine sector signed/bid contracts worth 6.372 billion yuan; the special professional equipment sector signed/bid contracts of 3.365 billion yuan, with a year-on-year growth rate of over 40%; and the rail transit equipment sector signed/bid contracts of 3.665 billion yuan, with a year-on-year growth of over 28%.

China Railway Construction Heavy Industry has adopted an “overseas priority” strategy. In 2025, the company’s overseas business will establish four core pillar markets, with new parts centers in Dubai and Milan, transforming “product exports” into “standard exports”; overseas revenue accounted for nearly 30%, marking a historical high.

Currently, the company’s overseas business has achieved sales of major products including tunneling machines, drill-and-blast construction equipment, mining equipment, rail transit equipment, and high-end agricultural machinery, with a full range of products entering over 50 countries and regions globally. Tunneling machine products have cumulatively broken into over 30 countries and regions.

According to statistics from the China Construction Machinery Industry Association, in 2025, China’s construction machinery exports continued to show high growth, with total industry exports reaching 60.17 billion USD, a year-on-year increase of 13.8%. Among these, over 60% of exports went to countries along the “Belt and Road” initiative, with the EU market growing by 59%, and leading companies in the industry performing remarkably in overseas business.

China Railway Construction Heavy Industry stated in its financial report that in 2026, the “going global” strategy for construction machinery will shift from product exports to technology and standard output and localized operations, with continuous deepening of market layouts in Europe, South Asia, and Africa, and the proportion of customized engineering equipment revenue overseas is expected to further increase, gradually revealing the advantages of global ecological collaboration.

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