XCMG Construction Machinery posts revenue increase, writes off unrecoverable accounts

XCMG Construction Machinery Co., Ltd. announced on August 28, 2025, the approval of an asset write-off totaling 53,919,495.43 yuan, primarily for overdue accounts receivable deemed unrecoverable. This action, approved by the 9th Board of Directors and 18th Supervisory Board, aims to accurately reflect the company's financial standing by addressing credit impairment losses. The write-offs had no impact on net profit, as all amounts had been fully provisioned for bad debts.

The company also released its 2025 half-year financial report, highlighting a strong performance with revenue of 54.81 bn yuan, an 8.04% increase year-on-year. Net profit attributable to shareholders rose 16.63% to 4.36 bn yuan. Operating cash flow significantly improved by 107.56% to 3.73 bn yuan. The company has implemented various strategic initiatives including an increase in R&D investment, market expansion, and an optimized supply chain.

Additionally, XCMG Construction Machinery detailed its use of raised funds, with 171.12 m yuan utilized for projects such as intelligent underground construction equipment manufacturing and high-end hydraulic valve production. The company confirmed compliance with regulations for information disclosure and fund management, with no changes in investment projects or temporary use of idle funds. The company also announced asset impairment provisions totaling 56.05 m yuan for the first half of 2025.