CIMC Vehicles Announces 2023 Interim Results Net Profit Soars by 419%

CIMC Vehicles Announces 2023 Interim Results

Net Profit Soars by 419%

Starting the third venture in high spirit towards a promising future



(23 August 2023, Hong Kong) CIMC Vehicles (Group) Co., Ltd. (“CIMC Vehicles” or the “Group,” Stock code: 1839.HK/301039.SZ) announced its interim results for the six months ended 30 June 2023 (the “Reporting Period” or “H1”).
As the world’s leader in sophisticated manufacturing of semi-trailers and specialty vehicles, a pioneer in high-quality development of road transport equipment in China, and an explorer and innovator in new energy specialty vehicles in China, CIMC Vehicles has published its 2023 interim report, marking another pinnacle in its performance. Its net profit reached a historic high compared to the same period last year, achieving a milestone breakthrough.

During the Reporting Period, CIMC Vehicles achieved revenue of RMB13,470 million, representing a year-on-year growth of 20.31%. The net profit attributable to the Company’s shareholders amounted to RMB1,897 million, marking a significant year-on-year increase of 418.52%. After deducting non-recurring profit or loss, the net profit attributable to the Company’s shareholders reached RMB1,035 million, an impressive year-on-year surge of 197.05%. The gross profit margin increased to 19.34%. The Company’s total assets and total equity attributable to shareholders stood at RMB25,383 million and RMB14,271 million, respectively, representing an increase of 14.25% and 12.38% from the end of 2022. The net cash flow generated from operating activities surged significantly to RMB1,245 million. Earnings per share amounted to RMB0.94, and a total of 73,404 units/sets of vehicles of various types were sold worldwide.
The performance of the six major businesses or groups as a whole were remarkable.Specifically, (1) The Light Tower Pioneer Business Group deployed the “Star-chained Manufacturing Network” and seized emerging market opportunities. This translated to H1 revenue of RMB2,284 million and an impressive year-on-year increase of 3.23 percentage points (p.p) in gross profit margin, maintaining its leading market share in China’s semi-trailer arena. Next, (2) The North American Business continued its growth momentum exceeding expectations. It recorded a remarkable year-on-year surge in revenue and profitability levels, amounting to RMB6,234 million, representing a year-on-year increase of 34.67%. (3) The European Business realized cost reduction and efficiency enhancement, improved manufacturing processes, and enhanced supply chain management. This resulted in a year-on-year increase in revenue of 28.12% to RMB1,630 million and an increase of 1.81 p.p in its gross profit margin. (4) The Champion Tanker Business Group, through overcoming headwinds, expanding its overseas footprint, and increasing market share in sub-segment, recorded a commendable year-on-year revenue increase of 14.77%, tallying up to RMB2,459 million. (5) The TB Business Group – Dump Truck Business achieved revenue of RMB312 million through product innovation and transformation. Concurrently, the TB Business Group – Urban Distribution Van Truck Bodies Business realized more production capacity, resulting in a substantial year-on-year revenue increase of 56.33% to RMB204 million.
Starting the third venture, CIMC Vehicles is intensifying its exploration in the new energy field. Presently, the Group manufactures and sells new energy lightweight urban dump trucks, pure electric mining trucks, concrete mixer trucks with battery charging and swapping, and new energy refrigerated vans. It has also committed to researching and developing innovative products, such as new energy electric semi-trailers, autonomous driving mining trucks, and dump trucks.

Looking ahead, CIMC Vehicles will consolidate its resources to strengthen various businesses within the "National Unified Commercial Vehicle and Specialty Vehicle Markets". The Group anticipates intensive growth through innovation by walking on an innovative path within the new energy commercial vehicle field, fueled by innovative technology and pioneering business models. In a new development pattern where domestic circulation is the mainstay, and domestic and international circulations reinforce each other, CIMC Vehicles will steadily enhance operational quality across its six major businesses or groups, starting the third venture in high spirit toward promising future. This pursuit not only propels the high-quality development of the road transport equipment industry but also contributes to China's modernization.


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About CIMC Vehicles (Group) Co., Ltd

CIMC Vehicles (Group) Co., Ltd. (“CIMC Vehicles”, Stock code: 301039.SZ/01839.HK) is the world’s leader in the sophisticated manufacturing of semi-trailers and specialty vehicles, a pioneer in the high-quality development of road transport equipment in China, and an explorer and innovator in new energy specialty vehicles in China. According to the 2022 Global OEM Ranking List published by Global Trailer, CIMC Vehicles ranked first among semi-trailer manufacturers in the world, for the tenth year in a row.



CIMC Vehicles had six major businesses or groups, namely “Light Tower Pioneer Business Group”, “North American Business” and “European Business” engaged in the global semi-trailer market, “Champion Tanker Business Group” with a focus on sophisticated manufacturing of truck bodies for specialty vehicles and van truck bodies, “TB Business Group – Dump Truck Business” and “TB Business Group – Urban Distribution Van Truck Bodies Business”, covering four major markets in the world, more than 40 countries and regions, and had 23 “Light Tower” Plants at home and abroad.

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