Core Insights - Foton Motor reported a revenue of 30.37 billion yuan for the first half of 2025, representing a year-on-year increase of 26.7% [1] - The company's net profit attributable to shareholders reached 777 million yuan, showing a significant year-on-year growth of 87.6% [1] - Operating cash flow net amount was 1.894 billion yuan, with a remarkable year-on-year increase of 415% [1] Business Performance - The company focused on the development of its commercial vehicle core business, achieving sales of 330,000 units, which is a year-on-year increase of 9.08% [1] - Foton's overseas business continued to grow, with sales reaching 78,500 units, indicating an improvement in profitability [1] New Energy Vehicles - Foton actively promoted its market layout for new energy vehicles, achieving sales of 50,100 units in the first half of the year, which is a year-on-year increase of 151% [1] - The market share for new energy vehicles increased to 12.5% [1]

Core Viewpoint - The domestic new energy heavy truck market in China continues to perform strongly, with total sales reaching 16,600 units in July 2025, representing a year-on-year growth of 152% [1][4]. Summary by Sections Overall Market Performance - In July 2025, the new energy heavy truck market sold 16,600 units, with pure electric trucks being the most significant segment, accounting for 1,630 units sold, while fuel cell and hybrid trucks sold 236 and 86 units respectively [4][10]. - The overall market saw a year-on-year increase of 152%, with pure electric trucks growing by 176%, fuel cell trucks declining by 64%, and hybrid trucks increasing by 139% [4][10]. Fuel Cell Trucks - Fuel cell heavy trucks experienced a "four consecutive months" decline in year-on-year sales, with July sales at 236 units, down 21% month-on-month and 64% year-on-year [10][12]. - The market share of fuel cell trucks in the new energy heavy truck segment was only 1.61% from January to July 2025, indicating a lack of presence compared to pure electric trucks, which dominated with 97.80% market share [6][10]. Hybrid Trucks - Hybrid heavy trucks showed a year-on-year growth of 139%, but this growth rate was still lower than the overall new energy heavy truck market growth [4][10]. - The market share of hybrid trucks was only 0.59% from January to July 2025, highlighting their limited impact in the market [6]. Competitive Landscape - The competition among fuel cell truck manufacturers is intense, with SANY leading the monthly sales chart in July, followed by Shaanxi Automobile and Heavy Truck [12][17]. - The cumulative sales of fuel cell trucks from January to July 2025 reached 1,540 units, a year-on-year decline of 22%, with significant disparities among manufacturers [18][17]. - SANY and China National Heavy Duty Truck ranked first and second in cumulative sales, with market shares of 38.44% and 21.82% respectively, both showing substantial increases compared to the previous year [17][18].

Group 1 - The core viewpoint of the report indicates that the heavy truck industry showed a mixed performance in July, with significant growth in new energy trucks but a decline in natural gas trucks [1][2] - In July, the production of heavy trucks reached 81,000 units, representing a year-on-year increase of 58.4% but a month-on-month decrease of 17.4% [2] - The wholesale sales of heavy trucks in July were 85,000 units, reflecting a year-on-year increase of 45.6% but a month-on-month decrease of 13.3% [2] Group 2 - New energy heavy truck sales in July were 16,700 units, showing a year-on-year increase of 152% but a month-on-month decrease of 7.6%, with a penetration rate of 25.8% [1][2] - Natural gas heavy truck sales were 14,000 units, indicating a year-on-year decline of 21.7% and a month-on-month increase of 4.0%, with a penetration rate of 21.8% [1][2] - The average price difference between oil and gas in July was 2.1 yuan, which is an increase of 0.3 yuan compared to June [1][2] Group 3 - The market share of major domestic manufacturers in July showed a recovery for Dongfeng and Foton in the domestic market, while the export market saw gains for Heavy Truck and Foton [3] - The market share for Weichai in July decreased to 16.8%, while Cummins held 17.8%, indicating a competitive shift in the engine market [3][4] - The report suggests a positive outlook for the heavy truck sector driven by the implementation of National IV policies, recommending investments in China National Heavy Duty Truck Group and Weichai Power [4]

[Definitions](index=4&type=section&id=Section%201%20Definitions) [Common Terms and Definitions](index=4&type=section&id=Common%20Terms%20and%20Definitions) This section defines key terms used in the report to ensure clear understanding of its content - Defines "Foton Motor" as BAIC Foton Motor Co, Ltd[12](index=12&type=chunk) - Clarifies the "Reporting Period" as January-June 2025[12](index=12&type=chunk) [Company Profile and Key Financial Indicators](index=4&type=section&id=Section%202%20Company%20Profile%20and%20Key%20Financial%20Indicators) [Company Information](index=4&type=section&id=I.%20Company%20Information) This section provides basic company information, including its name, abbreviation, and legal representative - The company is BAIC Foton Motor Co, Ltd, abbreviated as Foton Motor[14](index=14&type=chunk) - The legal representative is Chang Rui[14](index=14&type=chunk) [Contact Persons and Methods](index=4&type=section&id=II.%20Contact%20Persons%20and%20Methods) This section lists the contact information for the Secretary of the Board and the Securities Affairs Representative - The Secretary of the Board is Chen Weijuan, and the Securities Affairs Representative is Wang Guiqing[15](index=15&type=chunk) - Contact phone and fax are both 010-80716459[15](index=15&type=chunk) [Changes in Basic Information](index=4&type=section&id=III.%20Changes%20in%20Basic%20Information) This section discloses the company's registered address, office address, website, and email, noting no changes during the reporting period - The registered and office addresses are both located at Laoniuwan Village North, Shayang Road, Shahe Town, Changping District, Beijing[16](index=16&type=chunk) - **No changes** to the company's basic information occurred during the reporting period[16](index=16&type=chunk) [Information Disclosure and Document Location](index=4&type=section&id=IV.%20Information%20Disclosure%20and%20Document%20Location) This section specifies the designated newspapers for information disclosure, the website for the semi-annual report, and the document location - Designated newspapers for information disclosure are *Shanghai Securities News*, *China Securities Journal*, and *Securities Daily*[17](index=17&type=chunk) - The report is published on the website www.sse.com.cn[17](index=17&type=chunk) [Company Stock Profile](index=5&type=section&id=V.%20Company%20Stock%20Profile) This section provides details of the company's A-share stock, including the listing exchange, ticker symbol, and code - Stock Type: A-Share, listed on the **Shanghai Stock Exchange**[18](index=18&type=chunk) - Stock Ticker: Foton Motor, Stock Code: **600166**[18](index=18&type=chunk) [Key Accounting Data and Financial Indicators](index=5&type=section&id=VII.%20Key%20Accounting%20Data%20and%20Financial%20Indicators) This section details key accounting data for H1 2025, showing significant growth in total profit, net profit attributable to shareholders, and operating cash flow Key Accounting Data for H1 2025 | Indicator | Current Period (Jan-Jun) | Prior Year Period | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 30,370,991,018.43 | 23,968,217,219.13 | 26.71 | | Total Profit | 750,308,268.16 | 440,766,002.45 | 70.23 | | Net Profit Attributable to Shareholders | 776,858,166.03 | 414,171,229.14 | 87.57 | | Net Cash Flow from Operating Activities | 1,894,001,180.60 | 367,757,571.73 | 415.01 | Key Financial Indicators for H1 2025 | Indicator | Current Period (Jan-Jun) | Prior Year Period | Change (%) | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share (RMB/Share) | 0.0981 | 0.0523 | 87.57 | | Basic EPS after Non-recurring Items (RMB/Share) | 0.0695 | 0.0385 | 80.52 | | Weighted Average Return on Equity (%) | 5.28 | 2.86 | Increase of 2.42 p.p. | | Weighted Average ROE after Non-recurring Items (%) | 3.75 | 2.11 | Increase of 1.64 p.p. | - **Total profit increased by 70.23%** year-over-year, driven by a 9.08% rise in commercial vehicle sales, improved profitability in overseas business, innovative marketing models, and cost reductions across the value chain[20](index=20&type=chunk)[21](index=21&type=chunk)[22](index=22&type=chunk) [Non-recurring Profit and Loss Items and Amounts](index=6&type=section&id=IX.%20Non-recurring%20Profit%20and%20Loss%20Items%20and%20Amounts) This section discloses non-recurring profit and loss items for H1 2025, totaling RMB 226.26 million Non-recurring Profit and Loss Items for H1 2025 | Non-recurring Profit and Loss Item | Amount (RMB) | | :--- | :--- | | Gains/Losses from Disposal of Non-current Assets | 135,824,051.76 | | Government Grants Recognized in Current Profit or Loss | 109,844,084.19 | | Fair Value Gains/Losses and Gains/Losses from Disposal of Financial Assets/Liabilities | -11,181,593.87 | | Other Non-operating Income and Expenses | 2,620,007.48 | | Other Items Meeting the Definition of Non-recurring Profit or Loss | -3,620,147.50 | | Less: Income Tax Impact | 6,154,683.11 | | Minority Interest Impact (After Tax) | 1,076,043.66 | | **Total** | **226,255,675.29** | [Management's Discussion and Analysis](index=7&type=section&id=Section%203%20Management's%20Discussion%20and%20Analysis) [Industry and Core Business Overview](index=7&type=section&id=I.%20Industry%20and%20Core%20Business%20Overview) This section details Foton Motor's core business, operating model, global presence, R&D system, manufacturing, sales, and after-sales ecosystem, along with an overview of the automotive industry - Founded in 1996, the company is a state-controlled listed entity with a business presence in **over 130 countries and regions**[26](index=26&type=chunk) - The product portfolio includes a full range of commercial vehicles such as heavy-duty trucks, light-duty trucks, pickups, VANs, and buses, with a new energy vehicle matrix covering **pure electric, hybrid, and hydrogen fuel cell technologies**[26](index=26&type=chunk) - The company operates **17 R&D centers globally**, forming a technology innovation system focused on new energy, intelligent connectivity, testing, and lightweighting[26](index=26&type=chunk) - In H1 2025, China's auto production and sales grew by **12.5% and 11.4%** respectively, with commercial vehicle production and sales up by 4.7% and 2.6%[31](index=31&type=chunk) China's Automotive Industry Production and Sales Data (H1 2025) | Product Category | Sales Volume in Reporting Period (Units) | Year-over-Year Change (%) | | :--- | :--- | :--- | | Total Automobiles | 15,652,790 | 11.43 | | Total Commercial Vehicles | 2,121,671 | 2.58 | | Total Passenger Vehicles | 13,531,119 | 12.96 | [Discussion and Analysis of Operations](index=8&type=section&id=II.%20Discussion%20and%20Analysis%20of%20Operations) During the reporting period, the company advanced its new energy, overseas, and heavy-duty truck strategies, achieving growth in both sales volume and market share - In H1 2025, the company sold a total of **327,000 vehicles** (including Foton Daimler), a year-over-year increase of **9.1%**, with its market share rising by 0.9 percentage points to **15.4%**[34](index=34&type=chunk) - Medium and heavy-duty truck sales reached **72,246 units**, up **33.4%** YoY, with market share increasing by 2.6 percentage points to 12.1%; heavy-duty truck sales grew by **74.3%**[34](index=34&type=chunk) - Light-duty truck (including mini-trucks) sales totaled **229,499 units**, a **6.5%** YoY increase, with market share growing by 1.0 percentage point to 18.2%[35](index=35&type=chunk) - New energy vehicle sales reached **50,142 units**, a significant **151.0%** YoY increase, with market share rising by 4.2 percentage points to 12.5%[37](index=37&type=chunk) - Export sales totaled **78,518 units**, remaining stable compared to the same period last year[38](index=38&type=chunk) - Engine sales reached **133,845 units**, a slight decrease of **0.4%** YoY; Foton Cummins sales grew by 8.7%, while Foton Engine sales declined by 15.4%[39](index=39&type=chunk) [Analysis of Core Competitiveness](index=10&type=section&id=III.%20Analysis%20of%20Core%20Competitiveness) The company enhances its core competitiveness through strategic leadership, innovation, digital transformation, and building a world-class value chain - The company adheres to a strategy of "comprehensive internationalization, new energy focus, and intelligence," aiming to maintain its top position in commercial vehicles[39](index=39&type=chunk)[40](index=40&type=chunk) - R&D investment continues to increase, with **RMB 960 million** spent in H1, accounting for **3.2% of operating revenue**, to achieve autonomy in core new energy and autonomous driving technologies[41](index=41&type=chunk)[78](index=78&type=chunk) - Autonomous driving products have achieved large-scale application in various scenarios, with HWP products delivered to 282 units and operating mileage exceeding **24 million kilometers**[44](index=44&type=chunk) - The company deepens cooperation with strategic partners to develop core components and key technologies in new energy and intelligence, with a focus on hydrogen energy R&D[45](index=45&type=chunk) - The company received the "2025 China Commercial Vehicle Innovative Technology Achievement" award and was re-selected for the SASAC's "Science and Technology Reform Enterprise" list[50](index=50&type=chunk) [Review of Key Operations](index=13&type=section&id=IV.%20Review%20of%20Key%20Operations) This section analyzes changes in major financial statement items, asset and liability structure, investment status, and the performance of key subsidiaries [(I) Core Business Analysis](index=13&type=section&id=(I)%20Core%20Business%20Analysis) During the reporting period, the company's operating revenue and costs grew significantly, while sales and financial expenses varied, and R&D expenses decreased Analysis of Major Financial Statement Item Changes (H1 2025 vs H1 2024) | Item | Current Period (RMB) | Prior Year Period (RMB) | Change (%) | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 30,370,991,018.43 | 23,968,217,219.13 | 26.71 | Increased sales volume YoY | | Operating Costs | 27,239,100,426.64 | 21,027,844,471.19 | 29.54 | Increased sales volume YoY | | Selling Expenses | 1,023,745,640.34 | 849,088,057.80 | 20.57 | Increased sales and labor costs | | Finance Costs | -28,512,330.82 | -20,147,494.79 | N/A | Increased foreign exchange gains due to currency fluctuations | | R&D Expenses | 960,557,907.17 | 1,043,496,166.64 | -7.95 | Reduced expensed R&D due to project phase changes | | Net Cash Flow from Operating Activities | 1,894,001,180.60 | 367,757,571.73 | 415.01 | Increased cash collection from sales YoY | [(III) Analysis of Assets and Liabilities](index=13&type=section&id=(III)%20Analysis%20of%20Assets%20and%20Liabilities) At the end of the period, total assets and net assets attributable to the parent company increased, while accounts receivable, notes receivable, and receivables financing saw significant growth Changes in Assets and Liabilities (End of Current Period vs End of Prior Year) | Item | Current Period-end (RMB) | Change (%) | Explanation | | :--- | :--- | :--- | :--- | | Accounts Receivable | 9,177,575,967.95 | 51.00 | Increase in receivables from vehicle sales | | Contract Assets | 200,009,679.74 | -67.86 | Receipt of new energy subsidy payments | | Notes Receivable | 8,579,629.20 | 681.69 | Increase in holdings of commercial acceptance bills | | Receivables Financing | 2,245,855,628.96 | 148.30 | Increase in holdings of bank acceptance bills | | Short-term Borrowings | 837,476,621.20 | 65.13 | Increase in new borrowings | | Taxes Payable | 195,324,318.09 | 92.09 | Increase in VAT payable | | Minority Interests | 625,411,338.35 | 214.03 | Receipt of capital contributions from minority shareholders | - Overseas assets amounted to **RMB 1.48 billion**, accounting for **2.52%** of total assets[56](index=56&type=chunk) - Restricted assets at period-end totaled **RMB 2.16 billion**, primarily consisting of cash and cash equivalents (collateral for acceptance bills) and fixed assets (mortgaged for loans)[58](index=58&type=chunk) [(IV) Investment Analysis](index=15&type=section&id=(IV)%20Investment%20Analysis) The company's financial assets measured at fair value primarily consist of equity investments, while other changes are mainly due to an increase in bank acceptance bills - Financial assets measured at fair value at period-end are mainly equity investments, with other changes driven by an increase in bank acceptance bills held[61](index=61&type=chunk) - The company's participation in the private placement of BAIC BluePark New Energy Technology Co, Ltd has not yet been completed, and no capital has been contributed[62](index=62&type=chunk) [(VI) Analysis of Major Subsidiaries and Investees](index=17&type=section&id=(VI)%20Analysis%20of%20Major%20Subsidiaries%20and%20Investees) This section discloses the operating performance of major subsidiaries and investees, along with details on the acquisition and disposal of subsidiaries during the period - Acquired a 20% stake in Beijing Zhicheng Yunli New Energy Technology Co, Ltd, making it a controlled subsidiary and generating non-operating income of RMB 98,900[62](index=62&type=chunk) - Transferred 100% of the shares in FOTON MOTOR CO, LTD, which is no longer consolidated, resulting in a decrease in investment income of RMB 5.45 million[62](index=62&type=chunk) Financial Data of Major Subsidiaries and Investees (H1 2025) | Company Name | Company Type | Main Business | Registered Capital (RMB) | Operating Profit (RMB) | Net Profit (RMB) | | :--- | :--- | :--- | :--- | :--- | :--- | | Beijing Foton Cummins Engine Co, Ltd | Investee | Engine manufacturing and sales | 2,288,000,000.00 | 453,023,721.28 | 392,699,999.17 | | ZF Foton Automated Transmissions (Jiaxing) Co, Ltd | Investee | Heavy-duty commercial vehicle transmissions | 267,000,000.00 | 145,570,507.81 | 108,834,219.84 | | Beijing Anpeng Zhongrong Auto New Retail Technology Co, Ltd | Investee | Financial leasing, factoring | 3,535,977,900.00 | 29,392,478.44 | 26,824,940.96 | | Beijing Carvin New Energy Vehicle Co, Ltd | Subsidiary | R&D and production of new energy commercial vehicles | 1,305,848,668.00 | -11,971,429.63 | -11,971,426.65 | [Other Disclosures](index=18&type=section&id=V.%20Other%20Disclosures) This section discloses risks related to market, supply chain, policy, technology, and exchange rates, and details progress on the "Quality and Efficiency Enhancement, Shareholder Return" action plan [(I) Potential Risks](index=18&type=section&id=(I)%20Potential%20Risks) The company faces risks from uncertain export growth, rising supply chain costs, evolving regulations for vehicle electrification and intelligence, and exchange rate fluctuations - **Market Risk**: Uncertainties in commercial vehicle export growth in H2 due to ongoing geopolitical risks and rising trade protectionism[65](index=65&type=chunk) - **Supply Chain Risk**: The complex global situation creates risks of rising costs, partnership constraints, and supply chain disruptions[66](index=66&type=chunk) - **Policy and Technology Risk**: The automotive industry is rapidly evolving towards electrification, intelligence, and low-carbon development, driven by national strategies, leading to continuous regulatory updates[67](index=67&type=chunk) - **Exchange Rate Fluctuation Risk**: The USD/RMB exchange rate is subject to various factors, creating short-term and long-term uncertainties[69](index=69&type=chunk) [(II) Progress on "Quality and Efficiency Enhancement, Shareholder Return" Action Plan](index=19&type=section&id=(II)%20Other%20Disclosures) The company achieved significant progress in its action plan in H1 2025, enhancing operational quality and profitability through strategic initiatives and improved governance - In H1, the company achieved sales of **327,000 units** (+9.1% YoY), operating revenue of **RMB 30.37 billion** (+26.7% YoY), and net profit attributable to shareholders of **RMB 780 million** (+87.6% YoY)[70](index=70&type=chunk) - New energy vehicle sales reached **50,000 units**, a **151.0%** YoY increase, with market share rising by 4.2 percentage points to 12.5%[73](index=73&type=chunk) - Continued to advance overseas industrialization projects, exporting **79,000 vehicles** in H1, on par with the same period last year[74](index=74&type=chunk) - The business model is transitioning to "Vehicle + Parts + Service Ecosystem," developing maintenance, used car, and digital intelligence business segments[75](index=75&type=chunk) - Established a "Market Value Management System" and is exploring long-term incentives and asset integration, committing to share buybacks if necessary to stabilize the stock price[76](index=76&type=chunk) - R&D investment in H1 was **RMB 960 million**, representing 3.2% of operating revenue, with **4,334 valid patents** held[78](index=78&type=chunk) - Completed the development and optimization of over 10 digital platforms/modules, with more than 60 projects completed and the process architecture upgraded to version 2.0[81](index=81&type=chunk) - Published 2 periodic reports and 47 ad-hoc announcements, held 1 earnings call, and hosted 8 investor research visits in H1[83](index=83&type=chunk)[84](index=84&type=chunk) - Established a three-tiered ESG management structure and voluntarily disclosed its first sustainability report[85](index=85&type=chunk) - Abolished the Supervisory Board, transferring some of its functions to the Board's Audit/Internal Control Committee to strengthen the role of independent directors and subsidiary governance[86](index=86&type=chunk)[87](index=87&type=chunk)[89](index=89&type=chunk) [Corporate Governance, Environment, and Society](index=25&type=section&id=Section%204%20Corporate%20Governance,%20Environment,%20and%20Society) [Changes in Directors and Senior Management](index=25&type=section&id=I.%20Changes%20in%20Directors%20and%20Senior%20Management) During the period, several changes occurred in senior management and the board, including reappointments, new appointments, and departures, with the Supervisory Board being abolished post-period - Wu Xibin was reappointed as the company's General Manager[94](index=94&type=chunk) - Liu Xuguang and Sun Jing were appointed as Deputy General Managers; Gong Haidong stepped down as Deputy General Manager[94](index=94&type=chunk) - Li Qinghua was elected as the employee representative director for the 9th Board of Directors, replacing Gong Haidong[94](index=94&type=chunk) - Post-period, the company abolished the Supervisory Board, leading to the departure of several supervisors[95](index=95&type=chunk) [Profit Distribution or Capitalization of Capital Reserve Plan](index=25&type=section&id=II.%20Profit%20Distribution%20or%20Capitalization%20of%20Capital%20Reserve%20Plan) The company will not distribute profits or capitalize capital reserves for the first half of the year as the parent company's unappropriated profits are negative - No profit distribution or capitalization of capital reserves will be conducted for this reporting period[96](index=96&type=chunk) - The parent company's negative balance of unappropriated profits does not meet the conditions for dividend distribution[96](index=96&type=chunk) [Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures](index=25&type=section&id=III.%20Equity%20Incentive%20Plans,%20Employee%20Stock%20Ownership%20Plans,%20or%20Other%20Employee%20Incentive%20Measures) During the period, several participants in the company's employee stock ownership plans became ineligible due to resignation or termination of employment - Participants in the 4th, 7th, and 2023 employee stock ownership plans became ineligible due to resignation or termination of employment[98](index=98&type=chunk) - The shares held by these individuals will be handled in accordance with the plan's regulations[98](index=98&type=chunk) [Environmental Information of Listed Companies and Their Major Subsidiaries on the Mandatory Disclosure List](index=26&type=section&id=IV.%20Environmental%20Information%20of%20Listed%20Companies%20and%20Their%20Major%20Subsidiaries%20on%20the%20Mandatory%20Disclosure%20List) Four of the company's subsidiaries are included on the list of enterprises required to disclose environmental information - The number of entities on the mandatory environmental information disclosure list is **four**[98](index=98&type=chunk) - These include the Beijing Auhui Bus Branch, Shandong Multi-purpose Vehicle Plant, Times Linghang Truck Plant, and Zhucheng Automobile Plant[98](index=98&type=chunk) [Poverty Alleviation and Rural Revitalization Efforts](index=26&type=section&id=V.%20Poverty%20Alleviation%20and%20Rural%20Revitalization%20Efforts) The company actively supports poverty alleviation and rural revitalization through organizational support, employment assistance, and targeted aid programs - The company has established a leadership and working group to oversee and implement rural revitalization initiatives[99](index=99&type=chunk) - As of June 2025, the company has employed **79 individuals** from nine targeted poverty-stricken regions[100](index=100&type=chunk) - In H1 2025, the company's consumption-based poverty alleviation efforts totaled **RMB 507,000**[101](index=101&type=chunk) - The company dispatched an employee to serve as the first party secretary in a paired-assistance village to help local residents achieve prosperity[102](index=102&type=chunk) [Significant Matters](index=27&type=section&id=Section%205%20Significant%20Matters) [Fulfillment of Commitments](index=27&type=section&id=I.%20Fulfillment%20of%20Commitments) This section discloses the fulfillment of commitments made by the controlling shareholder, BAIC Group, all of which have been strictly adhered to - BAIC Group has strictly adhered to the **36-month lock-up period** for shares subscribed in the private placement[104](index=104&type=chunk) - BAIC Group has committed not to improperly interfere with the company's operations or encroach on its interests[104](index=104&type=chunk) - BAIC Group has committed to resolving inter-industry competition and refraining from engaging in businesses that compete with the company[104](index=104&type=chunk)[105](index=105&type=chunk) - BAIC Group has committed to minimizing related-party transactions and ensuring they are conducted on fair and transparent market principles[105](index=105&type=chunk)[106](index=106&type=chunk) [Significant Related-Party Transactions](index=30&type=section&id=X.%20Significant%20Related-Party%20Transactions) This section discloses routine related-party transactions in sales, services, deposits, loans, and credit, and provides updates on related-party debts and credits [(I) Related-Party Transactions in Connection with Daily Operations](index=30&type=section&id=(I)%20Related-Party%20Transactions%20in%20Connection%20with%20Daily%20Operations) The company engages in significant routine related-party transactions with entities like Beijing Foton Daimler Automotive and Beijing Foton Cummins Engine, based on market pricing Major Related-Party Purchases/Services Received (H1 2025) | Counterparty | Relationship | Transaction Content | Transaction Amount (RMB 10k) | % of Similar Transactions | | :--- | :--- | :--- | :--- | :--- | | Beijing Foton Cummins Engine Co, Ltd | Joint Venture | Purchase of raw materials; services received | 315,623.75 | 42.46% | | Beijing Foton Daimler Automotive Co, Ltd | Joint Venture | Purchase of vehicles and raw materials; services received | 179,423.86 | 24.14% | | Beijing Foton Cummins Emission Solutions Co, Ltd | Joint Venture | Purchase of raw materials | 69,442.90 | 9.34% | | BAIC Group (incl subsidiaries) | Controlling Shareholder | Purchase of raw materials, assets; financial services | 50,818.09 | 6.84% | Major Related-Party Sales/Services Provided (H1 2025) | Counterparty | Relationship | Transaction Content | Transaction Amount (RMB 10k) | % of Similar Transactions | | :--- | :--- | :--- | :--- | :--- | | Beijing Foton Daimler Automotive Co, Ltd | Joint Venture | Sales of engines, transmissions, parts; financial and information services | 452,519.93 | 90.14% | | Beijing Foton Cummins Engine Co, Ltd | Joint Venture | Technical services, accommodation, warranty claims | 33,378.09 | 6.65% | | BAIC Group (incl subsidiaries) | Controlling Shareholder | Sales of vehicles, engines, parts; services provided | 16,122.17 | 3.21% | [(IV) Related-Party Debts and Credits](index=32&type=section&id=(IV)%20Related-Party%20Debts%20and%20Credits) As of June 30, 2025, Beijing Electric Vehicle Co, Ltd has made timely partial repayments of asset transfer fees and rent, with some amounts still outstanding - As of June 30, 2025, Beijing Electric Vehicle Co, Ltd has repaid **RMB 85 million** of the asset transfer fee, with **RMB 765 million** remaining outstanding[113](index=113&type=chunk) - BAIC BJEV has paid a deposit of **RMB 7 million** and the first rent installment of **RMB 85 million**, with **RMB 250 million** remaining outstanding[113](index=113&type=chunk) [(V) Financial Business with Related-Party Finance Companies](index=32&type=section&id=(V)%20Financial%20Business%20with%20Related-Party%20Finance%20Companies) The company conducts deposit and credit business with its controlling shareholder's finance company, BAIC Group Finance Co, Ltd Deposit Business with BAIC Group Finance Co, Ltd (H1 2025) | Related Party | Max Daily Deposit Limit (RMB) | Deposit Interest Rate Range | Opening Balance (RMB) | Closing Balance (RMB) | | :--- | :--- | :--- | :--- | :--- | | BAIC Group Finance Co, Ltd | 5,900,000,000.00 | 1.088%-1.16% | 3,970,242,888.03 | 3,685,983,411.79 | - The total comprehensive credit line with BAIC Group Finance Co, Ltd is **RMB 10.5 billion**, with an actual utilized amount of **RMB 23.66 million**[119](index=119&type=chunk) [Significant Contracts and Their Performance](index=34&type=section&id=XI.%20Significant%20Contracts%20and%20Their%20Performance) This section discloses significant guarantees provided by the company, with the total guarantee amount representing 85.01% of the company's net assets [(II) Significant Guarantees Performed and Outstanding](index=34&type=section&id=(II)%20Significant%20Guarantees%20Performed%20and%20Outstanding) The company has provided joint liability guarantees for several subsidiaries and investees, with the total guarantee amount reaching RMB 12.18 billion, or 85.01% of net assets Company's Total Guarantee Amount (H1 2025) | Indicator | Amount (RMB 100 million) | | :--- | :--- | | Guarantees provided during the period (excluding subsidiaries) | 41.63 | | Outstanding guarantee balance at period-end (A) (excluding subsidiaries) | 97.23 | | Guarantees provided to subsidiaries during the period | 6.50 | | Outstanding guarantee balance for subsidiaries at period-end (B) | 24.52 | | Total Guarantee Amount (A+B) | 121.75 | | Total Guarantee Amount as a % of Net Assets | 85.01 | | Guarantees for shareholders, actual controllers, and their affiliates (C) | 47.42 | | Amount of guarantees exceeding 50% of net assets (E) | 50.14 | | Total of the above three items (C+D+E) | 170.13 | - The company has provided joint liability guarantees for several subsidiaries and investees, including Beijing Sinotruk Xinyuan Financial Leasing Co, Ltd and Beijing Foton Commercial Factoring Co, Ltd[126](index=126&type=chunk)[127](index=127&type=chunk)[128](index=128&type=chunk) [Changes in Share Capital and Shareholders](index=42&type=section&id=Section%206%20Changes%20in%20Share%20Capital%20and%20Shareholders) [Changes in Share Capital](index=42&type=section&id=I.%20Changes%20in%20Share%20Capital) During the reporting period, the company's total number of shares and share capital structure remained unchanged - The company's total number of shares and share capital structure **did not change** during the reporting period[131](index=131&type=chunk) - The total share capital is **7,917,400,367 shares**, of which 1,428,571,428 are restricted shares[131](index=131&type=chunk) [Shareholders](index=42&type=section&id=II.%20Shareholders) As of the end of the reporting period, the company had 123,160 common shareholders, with the controlling shareholder, BAIC Group, holding 40.84% of the shares - Total number of common shareholders at the end of the reporting period: **123,160**[132](index=132&type=chunk) Top Ten Shareholders (as of Period-end) | Shareholder Name | Shares Held at Period-end | Percentage (%) | Number of Restricted Shares | Shareholder Nature | | :--- | :--- | :--- | :--- | :--- | | BAIC Group Co, Ltd | 3,233,860,362 | 40.84 | 1,428,571,428 | State-owned legal person | | Beijing State-owned Capital Operation and Management Co, Ltd | 296,626,400 | 3.75 | 0 | State-owned legal person | | Hong Kong Securities Clearing Company Ltd | 201,099,762 | 2.54 | 0 | Other | | Changchai Co, Ltd | 144,500,000 | 1.83 | 0 | State-owned legal person | | Weichai Power Co, Ltd | 80,000,000 | 1.01 | 0 | State-owned legal person | - The restricted shares held by the controlling shareholder, BAIC Group, will become tradable on **September 3, 2025**[138](index=138&type=chunk) [Bond-Related Information](index=46&type=section&id=Section%207%20Bond-Related%20Information) [Corporate Bonds and Non-financial Enterprise Debt Financing Instruments](index=46&type=section&id=I.%20Corporate%20Bonds%20and%20Non-financial%20Enterprise%20Debt%20Financing%20Instruments) The company had no corporate bonds or non-financial enterprise debt financing instruments during the reporting period - The company has **no corporate bonds** or non-financial enterprise debt financing instruments[141](index=141&type=chunk) [Convertible Corporate Bonds](index=46&type=section&id=II.%20Convertible%20Corporate%20Bonds) The company had no convertible corporate bonds during the reporting period - The company has **no convertible corporate bonds**[141](index=141&type=chunk) [Financial Report](index=47&type=section&id=Section%208%20Financial%20Report) [Audit Report](index=47&type=section&id=I.%20Audit%20Report) This semi-annual report has not been audited - This semi-annual report is **unaudited**[5](index=5&type=chunk)[143](index=143&type=chunk) [Financial Statements](index=47&type=section&id=II.%20Financial%20Statements) This section provides the consolidated and parent company financial statements for H1 2025, reflecting the company's financial position, operating results, and cash flows Key Data from Consolidated Balance Sheet (June 30, 2025 vs Dec 31, 2024) | Item | June 30, 2025 (RMB) | Dec 31, 2024 (RMB) | | :--- | :--- | :--- | | Cash and Cash Equivalents | 11,246,389,367.45 | 8,822,372,291.48 | | Accounts Receivable | 9,177,575,967.95 | 6,077,673,458.00 | | Inventories | 6,830,667,409.73 | 6,976,127,102.22 | | Total Assets | 58,750,982,860.99 | 51,848,813,097.04 | | Total Liabilities | 43,042,803,746.88 | 37,327,936,247.70 | | Total Equity Attributable to Parent Company | 15,082,767,775.77 | 14,321,719,535.57 | Key Data from Consolidated Income Statement (H1 2025 vs H1 2024) | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Total Operating Revenue | 30,370,991,018.43 | 23,968,217,219.13 | | Operating Profit | 744,917,416.06 | 431,006,191.91 | | Total Profit | 750,308,268.16 | 440,766,002.45 | | Net Profit | 727,980,904.60 | 397,566,764.59 | | Net Profit Attributable to Parent Company Shareholders | 776,858,166.03 | 414,171,229.14 | | Basic Earnings Per Share (RMB/Share) | 0.0981 | 0.0523 | Key Data from Consolidated Cash Flow Statement (H1 2025 vs H1 2024) | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 1,894,001,180.60 | 367,757,571.73 | | Net Cash Flow from Investing Activities | -67,099,574.72 | -293,381,752.13 | | Net Cash Flow from Financing Activities | 536,190,166.25 | 3,080,155,312.28 | | Net Increase in Cash and Cash Equivalents | 2,371,360,436.01 | 3,169,985,539.08 | [Company Basic Information](index=66&type=section&id=III.%20Company%20Basic%20Information) This section provides an overview of the company, including its history, listing date, controlling shareholder, registered capital, and primary business scope - The company issued public shares on May 11, 1998, and was listed on the **Shanghai Stock Exchange** on June 2, 1998[175](index=175&type=chunk) - As of June 30, 2025, the company's registered capital is **RMB 7.92 billion**, with BAIC Group holding a **40.84%** stake[175](index=175&type=chunk) - The company operates in the automotive manufacturing industry, primarily engaged in the production and sale of vehicles, including new energy vehicle components[176](index=176&type=chunk) [Basis of Preparation for Financial Statements](index=67&type=section&id=IV.%20Basis%20of%20Preparation%20for%20Financial%20Statements) The company's financial statements are prepared on a going concern basis, in accordance with enterprise accounting standards and based on historical cost - The financial statements are prepared on a **going concern basis**[178](index=178&type=chunk) - The financial statements comply with the Enterprise Accounting Standards issued by the Ministry of Finance and relevant disclosure rules from the CSRC[179](index=179&type=chunk) - The company uses the accrual basis of accounting and measures most items at **historical cost**, except for certain financial instruments[179](index=179&type=chunk) [Significant Accounting Policies and Estimates](index=67&type=section&id=V.%20Significant%20Accounting%20Policies%20and%20Estimates) This section details the company's accounting policies and estimates for key areas such as financial instruments, inventory, revenue recognition, and government grants - The company determines its accounting policies for expected credit losses, depreciation, amortization, R&D capitalization, and revenue recognition based on its operational characteristics[180](index=180&type=chunk) - Financial assets are classified at initial recognition based on the business model for managing them and their contractual cash flow characteristics[197](index=197&type=chunk) - For notes receivable, accounts receivable, and contract assets, the company measures the loss allowance at an amount equal to **lifetime expected credit losses**[210](index=210&type=chunk) - The company uses the **straight-line method** for depreciation of fixed assets, which begins when the asset is ready for its intended use[240](index=240&type=chunk)[242](index=242&type=chunk) - Intangible assets are amortized over their estimated useful lives using a method that reflects the pattern of economic benefits consumption; the straight-line method is used if the pattern cannot be reliably determined[248](index=248&type=chunk)[250](index=250&type=chunk) - Revenue is recognized when the company satisfies a performance obligation by transferring control of a promised good or service to a customer[269](index=269&type=chunk)[270](index=270&type=chunk) - Government grants are recognized when there is reasonable assurance that the conditions will be met and the grants will be received[275](index=275&type=chunk) [Taxation](index=99&type=section&id=VI.%20Taxation) This section discloses the company's main taxes and tax rates, as well as preferential tax policies enjoyed by the company and its subsidiaries - Main taxes include Value-Added Tax (6%, 9%, 13%), Consumption Tax (3%-12%), Corporate Income Tax (15%, 25%), and others[290](index=290&type=chunk) - The company and several subsidiaries are recognized as High and New Technology Enterprises, qualifying for a reduced **Corporate Income Tax rate of 15%**[291](index=291&type=chunk)[292](index=292&type=chunk) - R&D expenses are eligible for a **100% super deduction** if expensed, and amortization is based on 200% of the cost if capitalized[292](index=292&type=chunk) - The company benefits from VAT exemptions for technology transfers and a 5% additional VAT deduction for advanced manufacturing enterprises[292](index=292&type=chunk)[293](index=293&type=chunk) [Notes to Consolidated Financial Statements](index=100&type=section&id=VII.%20Notes%20to%20Consolidated%20Financial%20Statements) This section provides detailed notes on major items in the consolidated financial statements, including assets, liabilities, revenue, costs, and investment income - The closing balance of cash and cash equivalents was **RMB 11.25 billion**, of which RMB 336.94 million was held overseas[295](index=295&type=chunk) - The closing book value of accounts receivable was **RMB 9.18 billion**, with a bad debt provision of RMB 478.89 million for individually assessed items[302](index=302&type=chunk)[303](index=303&type=chunk) - The closing book value of inventories was **RMB 6.83 billion**, with a provision for inventory write-down and contract cost impairment totaling RMB 183.43 million[335](index=335&type=chunk)[337](index=337&type=chunk) - The closing book value of long-term equity investments was **RMB 4.58 billion**, including investments in joint ventures and associates[350](index=350&type=chunk) - The closing book value of fixed assets was **RMB 10.14 billion**, with accumulated depreciation of RMB 8.34 billion[355](index=355&type=chunk) - Operating revenue for the period was **RMB 30.37 billion**, and operating costs were **RMB 27.24 billion**[425](index=425&type=chunk) - Investment income for the period was **RMB 298.35 million**, primarily from long-term equity investments accounted for using the equity method[434](index=434&type=chunk) [Research and Development Expenses](index=154&type=section&id=VIII.%20Research%20and%20Development%20Expenses) During the reporting period, total R&D expenditure was RMB 1.19 billion, with RMB 585.48 million expensed and RMB 607.47 million capitalized R&D Expenses by Nature (H1 2025) | Item | Current Period (RMB) | Prior Period (RMB) | | :--- | :--- | :--- | | Personnel Costs | 557,292,756.67 | 529,173,665.53 | | Depreciation and Amortization | 67,583,948.97 | 84,609,665.21 | | Development Fees | 104,565,791.98 | 88,879,638.15 | | Announcement Fees | 67,616,379.79 | 135,207,788.60 | | Prototype Vehicle Fees | 113,438,458.70 | 63,322,392.13 | | Testing Fees | 122,622,574.61 | 48,965,141.99 | | Others | 159,827,475.94 | 136,755,717.67 | | **Total** | **1,192,947,386.66** | **1,086,914,009.28** | | Of which: Expensed R&D | 585,477,007.43 | 675,907,162.40 | | Capitalized R&D | 607,470,379.23 | 411,006,846.88 | - Internally developed intangible assets accounted for **66%** of the total intangible asset balance at the end of the period[371](index=371&type=chunk) [Changes in the Scope of Consolidation](index=155&type=section&id=IX.%20Changes%20in%20the%20Scope%20of%20Consolidation) The scope of consolidation changed due to the acquisition of control over one company and the disposal of shares in another - The company acquired control of Beijing Zhicheng Yunli New Energy Technology Co, Ltd through a business combination not under common control on May 16, 2025[155](index=155&type=chunk) - The company disposed of its 100% stake in FOTON MOTOR CO, LTD on March 31, 2025, resulting in a loss of control[158](index=158&type=chunk) - A new subsidiary, "FOTON VIETNAM VEHICLE COMPANY LIMITED," was established during the period[158](index=158&type=chunk) [Interests in Other Entities](index=159&type=section&id=X.%20Interests%20in%20Other%20Entities) This section details the composition of the company's corporate group, including its major subsidiaries, joint ventures, and associates - The company has several wholly-owned or controlled subsidiaries, including Beijing Yindaxin Financing Guarantee Co, Ltd and Beijing Foton AUV New Energy Vehicle Co, Ltd[159](index=159&type=chunk)[160](index=160&type=chunk)[161](index=161&type=chunk) - Key joint ventures include Beijing Foton Cummins Engine Co, Ltd and Beijing Foton Daimler Automotive Co, Ltd, both with a **50%** shareholding[163](index=163&type=chunk) - Key associates include Beijing Anpeng Zhongrong Auto New Retail Technology Co, Ltd and ZF Foton Automated Transmissions (Jiaxing) Co, Ltd[164](index=164&type=chunk)[165](index=165&type=chunk) [Government Grants](index=165&type=section&id=XI.%20Government%20Grants) This section discloses liability items related to government grants and the amount of grants recognized in the current period's profit or loss - The closing balance of government grants in deferred income was **RMB 777.40 million**[408](index=408&type=chunk) - The amount of government grants recognized in current profit or loss was **RMB 109.74 million**, with RMB 30.65 million related to assets and RMB 79.09 million related to income[433](index=433&type=chunk)[492](index=492&type=chunk) [Risks Related to Financial Instruments](index=167&type=section&id=XII.%20Risks%20Related%20to%20Financial%20Instruments) This section describes the company's exposure to credit risk, liquidity risk, and market risk, and outlines the policies for managing these risks - The company's main financial instruments include cash, receivables, payables, borrowings, and various investments[492](index=492&type=chunk) - **Credit risk** arises mainly from bank deposits and receivables, which is managed by assessing customer creditworthiness and regular monitoring[493](index=493&type=chunk)[494](index=494&type=chunk) - **Liquidity risk** is managed by maintaining sufficient cash reserves; as of June 30, 2025, the company had unused bank credit facilities of **RMB 19.16 billion**[495](index=495&type=chunk) - **Interest rate risk** arises from long-term interest-bearing debt, and the company manages this by balancing fixed and floating rate contracts[496](index=496&type=chunk) - **Foreign exchange risk** arises from transactions denominated in foreign currencies, primarily USD and EUR, and is managed by monitoring exposure and using forward contracts[499](index=499&type=chunk)[501](index=501&type=chunk) - The company monitors its capital structure based on the debt-to-asset ratio, which was **73.26%** as of June 30, 2025[503](index=503&type=chunk) [Fair Value Disclosures](index=171&type=section&id=XIII.%20Fair%20Value%20Disclosures) This section discloses the fair value of assets and liabilities measured at fair value and explains the basis for determining fair value at different levels Items Measured at Fair Value at Period-end (June 30, 2025) | Item | Level 2 Fair Value (RMB) | Level 3 Fair Value (RMB) | Total (RMB) | | :--- | :--- | :--- | :--- | | Trading Financial Assets | 12,369,904.96 | - | 12,369,904.96 | | Other Non-current Financial Assets | - | 997,230,976.09 | 997,230,976.09 | | **Total Assets at Fair Value** | **12,369,904.96** | **997,230,976.09** | **1,009,600,881.05** | | Trading Financial Liabilities | 10,525,510.57 | - | 10,525,510.57 | | **Total Liabilities at Fair Value** | **10,525,510.57** | **-** | **10,525,510.57** | - **Level 1** fair value is based on unadjusted quoted prices in active markets for identical assets or liabilities[507](index=507&type=chunk) - **Level 2** fair value is determined using valuation techniques with observable inputs other than Level 1 quoted prices[508](index=508&type=chunk) - **Level 3** fair value is determined using valuation techniques with significant unobservable inputs[509](index=509&type=chunk) [Related Parties and Related-Party Transactions](index=173&type=section&id=XIV.%20Related%20Parties%20and%20Related-Party%20Transactions) This section details the company's parent, subsidiaries, joint ventures, associates, and other related parties, and lists transactions with them - The company's parent is **BAIC Group Co, Ltd**, which holds a **40.84%** stake[514](index=514&type=chunk) - The company engages in sales and service transactions with joint ventures and associates like Beijing Foton Cummins Engine and Beijing Foton Daimler Automotive[519](index=519&type=chunk)[521](index=521&type=chunk) - The company acts as a lessor, providing rental services to related parties such as Beijing Foton Daimler Automotive[524](index=524&type=chunk)[525](index=525&type=chunk) - The company provides guarantees for related parties, with a total guarantee amount of **RMB 474.20 million**[526](index=526&type=chunk)[527](index=527&type=chunk) - Compensation for key management personnel for the period amounted to **RMB 6.02 million**[529](index=529&type=chunk) [Share-based Payments](index=188&type=section&id=XV.%20Share-based%20Payments) This section discloses the company's equity-settled share-based payment plans, with expenses of RMB 3.62 million recognized during the period - The equity-settled share-based payments are granted to senior executives and key employees[541](index=541&type=chunk) - The fair value of the equity instruments is determined based on the stock's closing price on the grant date[541](index=541&type=chunk) - The total expense recognized for share-based payments in the current period was **RMB 3.62 million**[544](index=544&type=chunk) [Commitments and Contingencies](index=189&type=section&id=XVI.%20Commitments%20and%20Contingencies) This section details the company's significant commitments, including employee stock ownership plans and investment projects, as well as major contingencies - The company's 4th, 5th, 6th, 7th, and 2023 employee stock ownership plans are ongoing, with lock-up periods of 36 months[543](index=543&type=chunk)[545](index=545&type=chunk)[546](index=546&type=chunk)[547](index=547&type=chunk)[548](index=548&type=chunk)[549](index=549&type=chunk) - The company has committed to investing no less than **16.76 billion Rupees** in Maharashtra, India, with RMB 100 million already invested in construction in progress[551](index=551&type=chunk) - The company provides repurchase guarantees for bank acceptance bills issued by dealers, with an outstanding balance of **RMB 4.17 billion** as of June 30, 2025[555](index=555&type=chunk) - The company provides guarantees for customer vehicle financing, with an outstanding balance of **RMB 115.20 million** as of June 30, 2025[557](index=557&type=chunk) [Post-Balance Sheet Events](index=193&type=section&id=XVII.%20Post-Balance%20Sheet%20Events) This section discloses significant non-adjusting events that occurred after the balance sheet date, including board approvals for new investments and transactions - On July 8, 2025, the Board of Directors approved a proposal to participate in a fund subscription, which constitutes a related-party transaction[560](index=560&type=chunk) - On July 10, 2025, the Board approved proposals for new routine related-party transactions and an increase in the guarantee limit for related parties[560](index=560&type=chunk) [Other Significant Matters](index=194&type=section&id=XVIII.%20Other%20Significant%20Matters) This section discloses that the company's business is divided into six reportable segments based on its internal organizational structure and management reporting system - The company's operations are divided into six reportable segments: Light-duty Vehicles, Medium and Large Buses, Engines, Overseas, Management & R&D, and Others[561](index=561&type=chunk) Reportable Segment Financial Information (H1 2025) | Item | Light-duty Vehicle (RMB) | Bus (RMB) | Engine (RMB) | Overseas (RMB) | Mgmt & R&D (RMB) | Others (RMB) | Inter-segment Elim. (RMB) | Total (RMB) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 32,570,481,092.70 | 2,276,797,317.92 | 3,140,521,449.79 | 9,018,427,063.74 | 8,011,697,855.54 | 248,437,558.58 | -24,895,371,319.84 | 30,370,991,018.43 | | Operating Profit | 333,912,386.05 | -119,317,197.37 | 22,166,830.49 | 376,443,574.74 | 121,676,910.03 | 10,034,912.12 | 0.00 | 744,917,416.06 | | Total Assets | 35,772,630,383.82 | 6,467,454,664.78 | 3,440,868,573.69 | 12,129,537,341.07 | 61,852,143,699.81 | 4,558,038,590.79 | -65,469,690,392.97 | 58,750,982,860.99 | | Total Liabilities | 35,800,972,658.53 | 5,640,606,143.69 | 3,803,225,948.57 | 10,294,975,653.68 | 45,161,877,503.42 | 3,479,009,034.95 | -61,137,863,195.96 | 43,042,803,746.88 | [Notes to Parent Company Financial Statements](index=196&type=section&id=XIX.%20Notes%20to%20Parent%20Company%20Financial%20Statements) This section provides detailed notes on major items in the parent company's financial statements, including receivables, long-term investments, and revenue - The parent company's accounts receivable had a closing book value of **RMB 5.92 billion**, including RMB 2.75 billion from consolidated related parties[196](index=196&type=chunk) - The parent company's other receivables had a closing book value of **RMB 2.21 billion**, including RMB 1.67 billion from share transfers[201](index=201&type=chunk)[202](index=202&type=chunk) - The parent company's long-term equity investments had a closing book value of **RMB 9.95 billion**, including investments in subsidiaries, associates, and joint ventures[204](index=204&type=chunk) - The parent company's operating revenue for the period was **RMB 25.89 billion**, and operating costs were **RMB 23.82 billion**[208](index=208&type=chunk) - The parent company's investment income for the period was **RMB 298.55 million**, primarily from long-term equity investments accounted for using the equity method[208](index=208&type=chunk)[209](index=209&type=chunk) [Supplementary Information](index=209&type=section&id=XX.%20Supplementary%20Information) This section provides supplementary information, including a detailed schedule of non-recurring profit and loss items and calculations for ROE and EPS Total Non-recurring Profit and Loss for H1 2025 | Item | Amount (RMB) | | :--- | :--- | | Total Non-recurring Profit and Loss | 226,255,675.29 | Return on Equity (ROE) and Earnings Per Share (EPS) (H1 2025) | Profit for the Period | Weighted Average ROE (%) | Basic EPS | | :--- | :--- | :--- | | Net profit attributable to common shareholders | 5.28 | 0.0981 | | Net profit attributable to common shareholders after non-recurring items | 3.75 | 0.0695 |

Core Insights - The company reported a revenue of 30.371 billion yuan for the first half of 2025, representing a year-on-year increase of 26.71% [1] - The net profit attributable to shareholders reached 777 million yuan, showing a significant year-on-year growth of 87.57% [1] - Basic earnings per share were reported at 0.0981 yuan [1] Revenue and Profitability - The company's focus on commercial vehicle development has led to a sales volume of 327,500 units, which is a year-on-year increase of 9.08% [1] - The overseas business achieved a sales volume of 78,500 units in the first half of the year, with profitability improving year-on-year [1] - The period expense ratio decreased compared to the previous year, indicating improved cost management [1]

Core Insights - The Chinese pickup truck market showed a mixed performance in July, with sales of 41,000 units, a year-on-year increase of 1.7% but a month-on-month decline of 15%, maintaining a median level over the past five years [2] - From January to July, total sales reached 348,000 units, reflecting an 11% year-on-year growth [2] - The leading companies in the pickup market include Great Wall Motors, SAIC Maxus, Zhengzhou Nissan, Changan Automobile, and JAC Motors, all selling over 3,000 units in July [3][4] Market Dynamics - Great Wall Motors dominated the market with 110,000 units sold from January to July, accounting for one-third of the total market share, while other strong competitors like JAC Motors and BYD are gaining ground [3] - In July, Great Wall Motors sold 13,800 units, a 14.5% increase year-on-year, significantly outpacing competitors [3] - The domestic market is characterized by a "one super, three strong" structure, with Great Wall Motors holding nearly 50% of the domestic market share [4] New Energy Pickup Growth - The new energy pickup market is rapidly expanding, particularly in regions like Guangdong, with significant growth potential for domestic demand [5] - Sales of new energy pickups are projected to grow from 0.3 million in 2022 to 2.1 million in 2024, with a year-on-year increase of 702% in the first seven months of 2025 [5] - Radar New Energy's sales reached 9,337 units in the first seven months of 2025, marking a 191% increase [5] Export Trends - The export of Chinese pickups has become a significant segment, with 18,100 units exported from January to July 2025, a 37% year-on-year increase [6] - The export proportion of total pickup sales is rising, reaching 52% in the first seven months of 2025, with July alone seeing a 56% export rate [6][7] - Great Wall Motors remains the leader in export volume, but competitors like SAIC Maxus and JAC Motors are also showing strong export performance [7] Future Projections - The pickup market is expected to see domestic demand exceed 1 million units by 2030, with total sales potentially reaching 2 million units when including exports [8]

Group 1 - In July, the pickup market in China sold 41,000 units, a year-on-year increase of 1.7% but a month-on-month decrease of 15%, maintaining a median level over the past five years [1] - From January to July, the total sales of pickups reached 348,000 units, representing an 11% year-on-year growth [1] - The top five companies in July sold over 3,000 units each, with Great Wall Motors leading the market [2][3] Group 2 - Great Wall Motors sold 110,000 pickups from January to July, capturing one-third of the market with a year-on-year increase of 5.8% [2] - In July, Great Wall Motors sold 13,800 pickups, a 14.5% increase year-on-year, significantly ahead of competitors [2] - The domestic pickup market is characterized by a "one super, three strong" structure, with Great Wall Motors, Jiangling Motors, and Zhengzhou Nissan performing well [3] Group 3 - The new energy pickup market is growing rapidly, with significant increases in sales in regions like Guangdong [3][4] - New energy pickup sales in 2025 reached 46,000 units from January to July, a staggering 702% year-on-year increase [3] - The overall trend indicates a shift towards private consumption of pickups, driven by models like Radar New Energy [4] Group 4 - The export market for pickups is thriving, with 18,100 units exported from January to July, a 37% year-on-year increase [5] - By July 2025, the export volume of pickups reached 23,000 units, with exports accounting for 56% of total sales in that month [5][6] - Great Wall Motors remains the leader in pickup exports, but other brands like SAIC Maxus and BYD are also showing strong performance [6] Group 5 - The China Automotive Industry Association predicts that domestic demand for pickups could exceed 1 million units by 2030, with total sales potentially reaching 2 million units [7]

Core Viewpoint - Foton Motor (600166) reported strong financial performance for the first half of 2025, with significant growth in revenue and net profit, driven by its focus on commercial vehicle development and improved overseas sales [1] Financial Performance - The company achieved operating revenue of 30.371 billion yuan, representing a year-on-year increase of 26.71% [1] - The net profit attributable to shareholders reached 777 million yuan, marking an impressive year-on-year growth of 87.57% [1] - Basic earnings per share were reported at 0.0981 yuan [1] Sales Performance - Foton Motor sold 327,500 units during the reporting period, reflecting a year-on-year increase of 9.08% [1] - The overseas sales for the first half amounted to 78,500 units, with profitability showing a year-on-year improvement [1] Cost Management - The company reported a decrease in the period expense ratio compared to the previous year, indicating improved cost management [1]

证券代码：600166 证券简称：福田汽车 编号：临 2025—068 截至 2025 年 8 月 27 日，共收到有效表决票 11 张。董事会以 11 票同意,0 票反对， 0 票弃权，审议通过了关于《2025 年半年度报告及摘要》的议案。 公司《2025 年半年度报告》将同时刊登在上海证券交易所网站（www.sse.com.cn）， 公司《2025 年半年度报告摘要》将同时刊登在《上海证券报》《中国证券报》《证券日报》 及上海证券交易所网站（www.sse.com.cn）。 北汽福田汽车股份有限公司 董事会决议公告 公司董事会及全体董事保证本公告内容不存在任何虚假记载、误导性陈述或者重大遗漏，并 对其内容的真实性、准确性和完整性承担法律责任。 一、董事会会议召开情况 2025 年 8 月 17 日，公司以电子邮件和专人送达的方式，向全体董事发出了召开通讯 董事会的通知及关于《2025 年半年度报告及摘要》的议案和《关于对北京汽车集团财务 有限公司的风险持续评估报告的议案》。本次会议以通讯表决的方式召开，应出席董事 11 名，实际出席董事 11 名。会议的召集召开符合《公司法》和《公司章程》的规定。 二、董 ...

Investment Highlights - July sales: Production and wholesale meet expectations, exports exceed expectations. 1) Production: July heavy truck production was 81,000 units, with year-on-year and month-on-month changes of +58.4%/-17.4%; 2) Wholesale: July heavy truck wholesale sales were 85,000 units, with year-on-year and month-on-month changes of +45.6%/-13.3%; 3) Terminal sales: July heavy truck terminal sales were 64,000 units, with year-on-year and month-on-month changes of +38.3%/-7.2%; 4) Exports: July heavy truck export sales were 27,000 units, with year-on-year and month-on-month changes of +25.4%/-7.5%; 5) Inventory: July heavy truck enterprise inventory decreased by 4,000 units, and channel inventory decreased by 6,400 units. Current industry total inventory is 133,000 units, which is at a reasonable level [2][14][11]. Industry Structure - New energy heavy trucks saw a month-on-month decline, while natural gas heavy trucks continued to decline. July new energy heavy truck sales were 16,700 units, with year-on-year and month-on-month changes of +152%/-7.6%, and new energy penetration rate was 25.8%, with year-on-year and month-on-month changes of +11.6/-0.1 percentage points. July natural gas heavy truck sales were 14,000 units, with year-on-year and month-on-month changes of -21.7%/+4.0%, and natural gas penetration rate was 21.8%, with year-on-year and month-on-month changes of -16.7/-2.3 percentage points [14][38][41]. Market Share Dynamics - In July, Dongfeng and Foton's domestic sales share increased month-on-month, while heavy truck and Foton's export share also increased month-on-month. Terminal market share for July 2025 was as follows: Jiefang 21.3%, Dongfeng 21.8%, Heavy Truck 15.9%, Shaanxi Heavy Truck 10.3%, and Foton 13.8%, with changes compared to the full year of 2024 being -2.4/+1.1/-1.9/+0.01/+3.5 percentage points, and month-on-month changes from June being +1.5/+0.8/-1.0/-0.8/+0.4 percentage points [3][51]. Engine Market Dynamics - Weichai's market share decreased month-on-month, falling to second place. In July, Weichai, Cummins, Xichai, Heavy Truck, and Yuchai's market shares were 16.8%, 17.8%, 15.6%, 8.9%, and 13.7%, respectively, with changes compared to the full year of 2024 being -10.7/-0.8/-0.5/+1.7/+0.2 percentage points, and month-on-month changes from June being -1.1/+0.5/+0.5/-0.3/-0.2 percentage points [4][61]. Investment Recommendations - The company is optimistic about the market performance under the stimulus of the National IV policy throughout the year. Recommendations include China National Heavy Duty Truck A/H and Weichai Power, with a focus on the performance improvement elasticity of FAW Jiefang and Foton [5][74].