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SINGAPORE - China Yuchai International Limited (NYSE:CYD) reported a 52.2% jump in first-half profit on Friday, as the engine manufacturer significantly outperformed China’s commercial vehicle market.
The company’s shares surged 9.68% in pre-market trading following the announcement.
The company posted adjusted earnings of RMB 9.75 (US$1.36) per share for the first half of 2025, up 65.8% from RMB 5.88 in the same period last year. Revenue climbed 34% to RMB 13.8 billion (US$1.9 billion), driven by a 29.9% increase in total engine sales to 250,396 units.
China Yuchai’s truck and bus engine unit sales rose by 38% YoY, despite a 2.6% decline in China’s commercial vehicle market as reported by the China Association of Automobile Manufacturers. The company’s truck engine sales jumped 44.3%, with heavy-duty and light-duty truck engine sales up 40.7% and 82.1% respectively.
"We had strong growth in almost every sales category," said Weng Ming Hoh, President of China Yuchai. "This outperformance demonstrates the solid reliability and performance of our engine products, supported by an extensive service network, and also reflects the positive results of our efforts to expand our customer base and product portfolio."
Off-road engine sales increased 17.5% YoY, with marine and power generation markets showing particularly strong growth at 31.5%. Industrial application engine sales rose 27.2%.
The company maintained a strong financial position with cash and bank balances of RMB 7.8 billion (US$1.1 billion) as of June 30, 2025, up from RMB 6.4 billion at the end of 2024. Short-term and long-term loans decreased to RMB 2.2 billion from RMB 2.5 billion over the same period.
Gross profit increased 30.3% to RMB 1.8 billion (US$257 million), though gross margin slightly decreased to 13.3% from 13.7% a year earlier. Operating profit rose 42.3% to RMB 621.7 million (US$86.9 million), with operating margin improving to 4.5% from 4.2%.
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