ZCIGC(SZ:002761) Hua Xia Shi Bao·2025-07-10 07:52Core Viewpoint - The recent death of Shen Kangming, a board member of Zhejiang Construction Investment Group, raises concerns about the company's leadership stability and operational performance amidst ongoing challenges in the construction industry [2][4]. Group 1: Company Leadership and Events - Shen Kangming, born in July 1971, held various significant positions within the company and was recognized for his contributions before his untimely death [3]. - Shen's passing follows a series of high-profile disciplinary actions against other executives within the company, including the investigation of former Vice President Guan Manyu for serious violations [4]. - The company has stated that the board will maintain its required number of directors and will proceed with the necessary elections to fill the vacancy left by Shen's death [3]. Group 2: Financial Performance - For 2024, the company reported a revenue of 806.43 billion, a year-on-year decrease of 12.92%, and a net profit of 1.94 billion, down 50.57% [6]. - The company's asset-liability ratio reached 92.13%, indicating a significant level of debt, which has been a growing concern [6]. - In contrast, the first quarter of 2025 showed signs of recovery with a revenue of 201.82 billion, up 5.33%, and a net profit of 2.27 billion, up 11.62% [7]. Group 3: Market Position and Future Outlook - Zhejiang Construction Investment Group, established in 1949, is the largest construction enterprise in Zhejiang Province and has undergone multiple transformations to become a comprehensive modern construction service provider [5]. - The company has faced significant fluctuations in stock performance, with its market value dropping from nearly 500 billion to approximately 130.03 billion by November 2023 [5]. - Management has indicated plans to enhance core competitiveness through diversified business strategies, technological innovation, and risk management to navigate challenges in the real estate market [7].