Xiangyu(SH:600057) Zhong Guo Jing Ying Bao·2025-08-17 12:13Core Viewpoint - Xiamen Xiangyu's foray into shipbuilding has transitioned from losses to profitability, with significant contributions from its shipbuilding segment amidst fluctuating commodity prices and supply chain restructuring [3][4][10]. Financial Performance - In 2024, Xiamen Xiangyu's revenue is approximately 366.67 billion yuan, a decrease of 20.12% year-on-year, with a net profit of about 1.418 billion yuan, down 9.86% [3]. - The shipbuilding business generated a net profit of 544 million yuan, accounting for nearly 40% of the total profit [3]. - In 2023, the shipbuilding segment achieved revenue of 4.737 billion yuan, a year-on-year increase of 42.62%, with a gross margin of 22.56%, up 13.56% [10]. Business Development - Xiamen Xiangyu entered the shipbuilding sector by acquiring two bankrupt shipyards: Jiangsu Hongqiang Shipbuilding and Nantong Mingde Shipbuilding, with the latter being acquired in 2024 for 440 million yuan [5][6]. - The newly established Qidong Xiangyu Marine Equipment has begun production, with a projected annual output value exceeding 3 billion yuan [6]. - The company has signed a total of 214 shipbuilding orders, with 121 delivered and 93 pending as of mid-2023 [3]. Strategic Rationale - The management indicated that the integration of supply chain operations into manufacturing presents new opportunities, allowing for a broader operational scope [4]. - The shipbuilding business serves as a hedge against cyclical fluctuations in the industry, complementing the company's core commodity supply chain operations [4][8]. Historical Context - Xiamen Xiangyu's shipbuilding division, established in 2016, faced a challenging six-year period with cumulative losses of nearly 1.4 billion yuan until it turned profitable in 2023 [9][10]. - The company has a history of acquiring distressed assets, having previously purchased Mingde Shipbuilding in 2017 for 570 million yuan, despite the assets being valued at 1.47 billion yuan [6][7].