Summary of Conference Call Notes on China Machinery: Trucks & Engines Industry Overview - **Industry Focus**: Heavy-Duty Trucks (HDT) and Engines in China - **Key Companies Discussed**: Weichai Power, Sinotruk Jinan Truck, Sinotruk-H Core Insights Domestic HDT Cycle - **2025 Sales Outlook**: Industry participants expect domestic HDT sales volume to be between 700k-800k units, up from previous estimates of 600k-700k units, driven by a stronger-than-expected equipment upgrade program [4][6][7] - **2026 Uncertainty**: There is uncertainty regarding demand in 2026, with expectations of flat or declining sales due to the diminishing impact of the equipment upgrade program [7][8] Near-Term Trends - **Strong Order Momentum**: OEMs reported strong order momentum in 3Q25, with retail sales volume more than doubling year-over-year in early September [6][8] - **Sales Projections for September**: Expected retail sales volume of 75-80k units (up 80%+ YoY) and wholesale volume exceeding 100k units (up 70%+ YoY) [6][8] Export Performance - **3Q25 Export Volume**: Sinotruk reported stronger-than-expected export volumes, with a monthly run-rate of ~13k units, primarily driven by demand from Africa and Southeast Asia [8][10] - **Full-Year Export Expectations**: Industry participants expect full-year HDT export volume to be in the range of 300-310k units [10] Powertrain Dynamics - **Shift Towards LNG and Electrification**: There is a notable comeback of LNG HDTs, with sales volume up +110% YoY in early September. Electrification is accelerating, but concerns remain regarding technology and business models [9][11] - **Electrification Projections**: eHDT penetration could reach 25-26% for the full year, with expectations of continued growth into 4Q25 [11] Competitive Landscape - **Intensified Competition**: Despite better-than-expected demand, competition among truck and engine OEMs has intensified, leading to price reductions and market share shifts [12][13] - **Market Share Changes**: Foton and Dongfeng gained market share, while FAW and Sinotruk lost shares, particularly in the LNG segment [12][13] Regulatory Developments - **China VII Emission Standard**: The draft policy for the China VII emission standard is expected by end-2025 or 1H26, with potential implications for pre-buying and phasing out older models [14] - **GB 1589 Amendment**: Discussions are ongoing regarding increasing the weight limit for eHDTs, which could enhance their economic returns [14] Financial Outlook Weichai Power - **Investment Thesis**: Positive outlook on cyclical recovery for HDTs, with expectations of stronger profitability and robust free cash flow [50][53] - **Valuation**: Target price set at HK$21.00/share, reflecting improving engine earnings prospects [54] Sinotruk - **Investment Thesis**: Concerns over accelerating truck electrification and its impact on competitive landscape and margins [56][57] - **Valuation**: Target price set at HK$20.00/share, reflecting expected margin deterioration due to electrification [60] Key Risks - **Macro Activity**: Slower-than-expected macro activity, particularly in road freight and infrastructure [55][61] - **Electrification Impact**: Risks associated with the shift to higher electrification penetration and lower LNG usage [55][61] Additional Insights - **Channel Inventory**: Healthy channel inventory observed, with sell-in and sell-through trends moving in tandem [6][22] - **LNG Price Dynamics**: Favorable LNG/diesel price spread expected to support LNG HDT sales, despite seasonal price volatility [11]

濰柴動力股份有限公司 WEICHAI POWER CO., LTD. (a joint stock limited company incorporated in the People's Republic of China with limited liability) （於中華人民共和國註冊成立之股份有限公司） (Stock Code 股份代號: 2338) 26 September 2025 Dear Non-Registered Holder(Note 1) , Weichai Power Co., Ltd. (the "Company") – Notice of Publication of Interim Report (the "Current Corporate Communication") As a non-registered shareholder, if you wish to receive corporate communications from the Company pursuant to the Listing Rules, you should liaise with ...

（记者 曾健辉） 每经头条（nbdtoutiao）——"9·24"一周年，A股总市值破116万亿元！四大变革重塑中国资本市场新生 态 每经AI快讯，潍柴动力发布公告称，2025年9月24日，潍柴动力接受富国基金等投资者调研，公司王 丽、韩彬参与接待，并回答了投资者提出的问题。 ...

濰柴動力股份有限公司 WEICHAI POWER CO., LTD. (a joint stock limited company incorporated in the People's Republic of China with limited liability) （於中華人民共和國註冊成立之股份有限公司） (Stock Code 股份代號: 2338) 26 September 2025 Dear Registered Shareholder, Weichai Power Co., Ltd. (the "Company") – Notice of Publication of Interim Report (the "Current Corporate Communication") The English and Chinese versions of the Company's Current Corporate Communication are available on the Company's website at www.weichaipower.com and the HKEXnew ...

| Contents | | 目錄 | | --- | --- | --- | | Corporate Information | 2 | 公司資料 | | Financial Summary | 6 | 財務概要 | | Management Discussion and Analysis | 7 | 管理層討論與分析 | | Auditors' Review Report | 39 | 審閱報告 | | Reviewed Financial Statements | | 已審閱財務報表 | | Consolidated Balance Sheet | 40 | 合併資產負債表 | | Company Balance Sheet | 43 | 公司資產負債表 | | Consolidated Income Statement | 45 | 合併利潤表 | | Company Income Statement | 47 | 公司利潤表 | | Consolidated Statement of Changes in Equity | 48 | 合併股東權益變動表 | | Company Statement o ...

Group 1: Heavy Truck Industry Trends - The heavy truck market in China saw cumulative sales of approximately 716,000 units from January to August 2023, representing a year-on-year growth of about 14% [2][3] - In August alone, sales reached 92,000 units, marking a year-on-year increase of approximately 47% and a month-on-month increase of about 8% [2][3] - The market is expected to maintain an upward trend for the entire year, driven by the implementation of vehicle replacement policies and strong overseas demand [3] Group 2: Engine Market Performance - The domestic sales of natural gas heavy trucks reached 122,000 units with a penetration rate of 25% from January to August 2023 [3] - Sales of new energy heavy trucks were 114,000 units, achieving a penetration rate of 23% [3] - The company’s M series large-bore engines sold over 5,000 units in the first half of the year, reflecting a year-on-year growth of 41%, with data center market sales nearing 600 units, a nearly fivefold increase [4] Group 3: New Energy and Technology Development - The company is accelerating its layout in new energy and technology sectors, focusing on pure electric systems, hydrogen fuel cells, and SOFC technologies [5] - Revenue from the new energy business reached 1.2 billion yuan in the first half of the year, with expectations for over 100% year-on-year growth [5] - The hydrogen fuel cell engine covers a power range of 13-300 kW, catering to various vehicle types including buses and trucks [5] Group 4: Shareholder Returns and Dividend Policy - The company has implemented share buybacks and increased the mid-year dividend payout ratio to 57% [5] - Future dividend policies will consider shareholder expectations and market conditions while maintaining a proactive and stable approach [5]

Core Viewpoint - The 17th China (Beijing) International Engineering Machinery, Building Materials Machinery and Mining Machinery Exhibition and Technical Exchange Conference (BICES2025) showcased Weichai Power's advancements in multi-fuel mining power solutions, including the debut of the new 12M25 mining power product [1][2]. Group 1: Product Launch and Features - Weichai Power introduced the 12M25 diesel engine, featuring a maximum power of 1224Ps and a maximum torque of 5116N.m, suitable for 90-100 ton mechanical transmission mining trucks and 165-ton excavators [2]. - The M series product line now covers a power range from 522kW to 2800kW, catering to various large mining equipment needs [2]. - The launch of the 12M25 signifies a step towards meeting customer demands for efficient operations and enhancing the performance of domestic mining power solutions [2]. Group 2: Innovation and Industry Impact - Weichai has transitioned from "self-controllable" to "leading beyond," contributing significantly to the independence of mining equipment and enhancing national industrial security [3]. - The company has established itself as a benchmark for Chinese innovation in the global power sector, supporting industry transformation and upgrades [3]. Group 3: Low-Carbon Solutions - Weichai showcased a range of low-carbon mining power products, including non-road pure electric power batteries and methanol and gas engines [4]. - The CTB battery, designed for pure electric mining trucks, offers battery capacities ranging from 300kWh to 1200kWh, simplifying assembly and reducing design costs [4]. Group 4: Electric Mining Trends - The global mining industry is accelerating its transition to electrification, and Weichai is capitalizing on this trend by developing a comprehensive range of mining power batteries [5]. - Weichai's electric mining trucks have accumulated over 1 million operating hours, achieving a 66% reduction in operational costs for customers [5]. - The company aims to continue advancing in high-end, green, intelligent, and autonomous directions to contribute to national energy security and the high-quality development of the mining industry [5].

Core Insights - JPMorgan Chase & Co. increased its stake in Weichai Power (02338.HK) by acquiring 3,371,517 shares at an average price of HKD 12.2417 per share, totaling approximately HKD 41.2731 million [1] - Following this acquisition, JPMorgan's total holdings in Weichai Power rose to 117,000,189 shares, increasing its ownership percentage from 5.84% to 6.02% [1] Summary by Category Shareholding Changes - JPMorgan Chase & Co. has raised its shareholding in Weichai Power, reflecting a strategic investment decision [1] - The increase in shareholding percentage indicates a growing confidence in the company's future performance [1] Financial Details - The total investment made by JPMorgan for this share acquisition was approximately HKD 41.2731 million [1] - The average purchase price per share was HKD 12.2417, which may suggest a valuation perspective on Weichai Power's stock [1]

Group 1 - JPMorgan Chase & Co. increased its stake in Weichai Power (02338.HK) by acquiring 1,348,970 shares at an average price of HKD 15.0653 per share, totaling approximately HKD 20.32 million [1][3] - Following this acquisition, JPMorgan's total holdings in Weichai Power rose to 136,330,732 shares, increasing its ownership percentage from 6.94% to 7.01% [1][2]

Group 1 - JPMorgan Chase & Co. increased its stake in Weichai Power (02338.HK) by acquiring 3.3715 million shares at an average price of HKD 12.2417 per share, totaling approximately HKD 41.2731 million [1] - Following the acquisition, JPMorgan's total holdings in Weichai Power rose to 117,000,189 shares, with the ownership percentage increasing from 5.84% to 6.02% [1]