XCMG approves share incentive adjustments, releases restricted shares

XCMG Construction Machinery announced adjustments to its 2025 stock option and restricted stock incentive plan, reducing the initial number of grantees from 4,700 to 4,545 due to voluntary withdrawals and resignations. The initial grant of stock options decreased from 139.13 million to 138.183 million units, while restricted shares decreased from 283.87 million to 283.616 million units. The exercise price for stock options remains at 9.67 yuan per share, and the grant price for restricted shares is 4.84 yuan per share. These adjustments were approved during the board's meeting on December 25, 2025, with an expected accounting cost of 193.229 million yuan over five years.

Separately, the board also approved the release of the first tranche of restricted shares from the 2023 restricted stock incentive plan. A total of 2.465051 million restricted shares, representing 0.02% of the company's current total share capital, will be released for circulation on December 31, 2025. This release, affecting 196 eligible incentive recipients, follows the fulfillment of performance conditions, which included a 9.86% return on net assets and net profit of 5.326 bn yuan for 2023.

The approvals ensure compliance with regulatory requirements and aim to enhance long-term incentive mechanisms for XCMG employees. The total share capital of 11,748,615,752 shares remains unchanged after the release of the restricted shares, as previously restricted shares convert to freely tradable shares.