Xinyi Glass (0868) H2 2025 earnings summary

Executive summary

• Revenue declined 6.7% year-over-year to RMB20,829.0 million, mainly due to lower float glass prices and reduced architectural glass sales volumes in both PRC and overseas markets.

• Net profit attributable to equity holders dropped 19.0% to RMB2,729.0 million, with net profit margin at 13.1%.

• Basic earnings per share decreased 21.4% to 62.31 RMB cents.

• Final dividend proposed at 21.5 HK cents per share, up 115% from prior year.

Financial highlights

• Gross profit fell 10.4% to RMB6,481.8 million; gross margin slipped to 31.1% from 32.4%.

• EBITDA decreased 22.7% to RMB4,509.8 million.

• Other income and gains dropped 27.3% to RMB722.7 million, mainly due to lower government subsidies and FX losses.

• Other losses reduced by 45.5% to RMB360.6 million, primarily from lower impairment and disposal losses.

• Income tax expense fell 80.9% to RMB167.7 million, mainly due to reversal of over-provision from a settled tax case.

Outlook and guidance

• Management expects soda ash and energy costs to remain low or trend downward in 2026.

• PRC government policies anticipated to support property market recovery, boosting demand for float and architectural glass.

• Expansion of overseas production capacity planned to mitigate geopolitical risks and tariffs.

• Focus on R&D, automation, and carbon neutrality initiatives to drive future growth.