CFHI(SH:601106) Chang Jiang Shang Bao·2025-11-20 02:38Core Points - The chairman of China First Heavy Industries, Lu Wenjun, has been arrested for bribery after being expelled from the party, marking a significant development in the company's governance issues [1][2][4] - Under Lu's leadership since April 2022, the company has reported a cumulative net loss of 63.4 billion yuan, with ongoing financial struggles [5][6] - The company is attempting to turn around its financial situation by divesting non-core assets and focusing on its main business operations, but has yet to achieve profitability [7][8] Financial Performance - In 2022, China First Heavy Industries achieved a revenue of 23.886 billion yuan, a year-on-year increase of 3.28%, but the net profit attributable to shareholders was only 104 million yuan, down 38.28% [4] - The company reported revenues of 17.167 billion yuan and 16.617 billion yuan in 2023 and 2024, respectively, with significant declines in net profit, leading to cumulative losses of 64.44 billion yuan over two years [4][8] - For the first three quarters of 2025, the company reported revenues of 6.530 billion yuan, a year-on-year decrease of 51.99%, and a net loss of 78.5995 million yuan, although the losses have narrowed compared to the previous year [7][8] Debt and Asset Management - As of the end of the third quarter of 2025, the company's asset-liability ratio reached 82.54%, remaining above 82% for four consecutive quarters, indicating a high level of financial leverage [9] - The company is actively seeking to improve its financial position by divesting from non-core businesses and focusing on enhancing its manufacturing capabilities [7][9]