Core Insights - The company reported a revenue of 9.39 billion yuan for H1 2025, a year-on-year increase of 6.18%, while the net profit attributable to shareholders was 796 million yuan, a decrease of 4.60% [1] - In Q2 2025, the company achieved a revenue of 5.12 billion yuan, reflecting a year-on-year growth of 8.76%, with a net profit of 474 million yuan, up 14.73% year-on-year [1] - The company accelerated cash flow recovery, with operating cash flow reaching 589 million yuan, compared to 257 million yuan in the same period last year [1] - The overseas market showed significant growth, with revenue contribution reaching 43% [1] - Total sales volume for H1 2025 was 204,200 units, a year-on-year increase of 17.23%, with domestic sales at 126,200 units (up 11.28%) and overseas sales at 73,600 units (up 23.08%) [1] Intelligent Logistics Growth - The intelligent logistics business grew rapidly, with a year-on-year increase of 59.1%, becoming a new performance growth point [2] - The company is enhancing its mid-to-high-end warehousing product lineup and expanding into niche markets [2] - Strategic partnerships were established with companies like SF Express and JD.com to innovate downstream application scenarios [2] - A joint innovation lab was established with Huawei to collaborate on key areas such as data communication and autonomous driving [2] Electric and Hydrogen Energy Transition - The company is actively investing in lithium battery and hydrogen energy technologies, with electric product sales increasing by 28% in H1 2025 [2] - The sales proportion of electric products rose to 68%, an increase of 2.5 percentage points from the end of 2024 [2] - The company is a leader in the industry for launching hydrogen fuel forklift products [2] Global Manufacturing Expansion - The company is accelerating the construction of manufacturing facilities for heavy-duty forklifts and other products [3] - A global operational structure is being developed, including the establishment of the first overseas manufacturing plant in Thailand [3] - Vertical integration of key component production is being pursued to ensure performance and supply chain security [3] Profit Forecast and Valuation - The company is projected to achieve net profits of 1.465 billion yuan, 1.557 billion yuan, and 1.720 billion yuan for 2025-2027 [4] - A "recommended" rating is maintained for the company [4]

Core Viewpoint - The company reported a mixed performance in the first half of 2025, with a decrease in revenue but an increase in net profit, highlighting ongoing innovation and international expansion efforts. Financial Performance - Total assets reached 9.093 billion, an increase of 3.03% from the beginning of the period - Net assets attributable to shareholders amounted to 2.998 billion, up by 1.99% - Operating revenue was 3.215 billion, a year-on-year decrease of 7.4% - Net profit attributable to shareholders was 246 million, a year-on-year increase of 2.28% [1] - Net profit after deducting non-recurring gains and losses was 218 million, an increase compared to the same period last year [1] Business Development - The intelligent manufacturing equipment segment maintained an advantage in overseas markets, with steady growth in orders for electric forklifts and warehouse trucks [1] - The company launched over 30 new products during the reporting period, enhancing its product line with innovations such as the A series forklifts and lightweight handling vehicles [1] - The company increased its focus on technological innovation and market expansion, resulting in a significant improvement in the quality of new orders [1] R&D Achievements - R&D investment for the reporting period was 129 million, leading to recognition as a quality benchmark in Zhejiang's manufacturing sector [2] - The company established a joint laboratory with Zhejiang University to explore embodied intelligent robotics, resulting in the development of the Nobot II robot [2][3] - As of June 2025, the company held 654 valid patents, including 173 invention patents, and participated in the formulation of numerous national and industry standards [3] Market Trends - The domestic forklift rental market has exceeded 10 billion annually, providing a complementary growth avenue for the forklift industry [3] - The company is actively investing in the rental market to enhance brand market share and improve operational flexibility for customers [3] International Strategy - The company is deepening its internationalization through a "global production base + localized channels" strategy [4] - Production capacity is supported by facilities in China, Malaysia, and Vietnam, with expansion in Europe through financing [4] - The company is experiencing growth in emerging markets in Southeast Asia and steady orders in North America and Europe [4]

Core Viewpoint - Hangcha Group (603298) has recently published a patent for a "front-moving forklift hydraulic system," which aims to enhance operational efficiency and energy savings in forklift operations [1] Summary by Relevant Sections Patent Details - The patent describes a hydraulic system that includes a fuel tank, main motor, main pump assembly, auxiliary motor, auxiliary pump, and a controller [1] - The main pump assembly supplies oil to the lifting cylinder group, while the auxiliary pump provides oil to the front-back moving cylinder, side-moving cylinder, and tilting cylinder through corresponding control valves [1] - The controller communicates with and controls the speed of both the main and auxiliary motors, as well as the opening and closing of various valves [1] Operational Efficiency - The system allows for independent oil supply for lifting actions and other movements, enabling smooth and coordinated operations [1] - It prevents inefficient operation of the main pump assembly and incorporates energy recovery during descent, which reduces overall vehicle energy consumption [1] Environmental Impact - The design aims to improve battery usage duration, contributing to energy conservation and emission reduction [1] - The smooth transition of the mast cylinder enhances the safety and reliability of the equipment [1]

Core Insights - The report from Donghai Securities highlights the rapid advancement and increasing penetration of unmanned forklifts in the logistics and manufacturing sectors, driven by technological improvements, cost reductions, and expanding application scenarios [1][3] - Domestic leading forklift companies are actively investing in intelligent logistics and robotics, which is expected to reshape the competitive landscape of the logistics industry [1] Industry Overview - Unmanned forklifts represent a fusion of forklift and unmanned driving technologies, utilizing navigation and positioning technologies to enable autonomous operations [2] - These forklifts enhance material flow between production stages, contributing to a flexible internal logistics system and supporting the intelligent upgrade of warehousing logistics [2] - Key advantages of unmanned forklifts include high safety, cost reduction, 24/7 availability, flexibility, and strong environmental adaptability [2] Market Potential - The market for unmanned forklifts is entering an accelerated penetration phase, with significant growth expected in sales and market size [3] - In 2024, domestic sales of unmanned forklifts are projected to reach approximately 24,500 units, with a penetration rate of only 1.9% [3] - By 2027, the penetration rate is anticipated to increase to 5%, with sales expanding to 74,100 units and the market size expected to exceed 13.3 billion yuan, more than double the market size in 2024 [3]

Core Insights - The report from Donghai Securities highlights a significant growth forecast for the sales of unmanned forklifts in China, predicting an increase from approximately 24,500 units in 2024 to 74,100 units by 2027, with a penetration rate rising from 1.9% to 5% [1][3] Investment Recommendations - Unmanned forklifts represent a fusion of forklift and unmanned driving technology, enabling efficient material flow between production stages and supporting the intelligent upgrade of warehouse logistics [2] - The deployment of unmanned forklifts can yield a return on investment within 1-2 years, replacing 2-3 forklift drivers and saving annual labor costs of 150,000 to 300,000 yuan [2] Market Trends - The unmanned forklift market is entering an accelerated penetration phase, driven by technological advancements, cost reductions, and expanding application scenarios, with the market size expected to exceed 13.3 billion yuan by 2027, more than double that of 2024 [3] - The current market is in the early stages of large-scale application, transitioning from "early adoption" to a "golden phase of accelerated penetration" [3] Company Focus - Attention is drawn to leading domestic forklift companies actively engaging in the smart logistics and robotics sector, which is expected to reshape the competitive landscape of the logistics industry [3] - Key companies to watch include Anhui Heli, Hangcha Group, Zhongli Co., Jingsong Intelligent, and Geek+ due to their strong brand recognition, overseas presence, and robust R&D capabilities [3]

Investment Rating - The investment rating for the company is "Buy" and is maintained [8] Core Insights - In the first half of 2025, the company achieved revenue of 9.39 billion yuan, a year-on-year increase of 6.18%. The net profit attributable to shareholders was 796 million yuan, a decrease of 4.60% year-on-year, while the net profit excluding non-recurring items was 727 million yuan, an increase of 0.31% year-on-year. The company's domestic sales showed recovery, and overseas sales continued to grow, with overseas revenue increasing by 15.20% year-on-year [2][6] - The company is actively expanding new business lines, with revenue from components, aftermarket, and smart logistics segments growing by 16.4%, 15.3%, and 59.1% year-on-year, respectively. The establishment of a "Joint Innovation·Tianshu Laboratory" with Jianghuai Frontier Technology is expected to enhance the development of intelligent business, opening up growth opportunities for the company [2][11] Summary by Sections Financial Performance - In Q2 2025, the company achieved revenue of 5.12 billion yuan, a year-on-year increase of 9.89%, and a net profit of 474 million yuan, a year-on-year increase of 9.80%. The net profit excluding non-recurring items was 447 million yuan, a year-on-year increase of 17.75% [6] - The overall gross margin for the first half of 2025 was 23.6%, an increase of 0.4 percentage points year-on-year, indicating steady improvement in profitability [11] Market Position and Growth - The company maintained a strong market position, with domestic sales volume increasing by 11.28% year-on-year, outpacing industry growth. The overseas sales volume increased by 23.08% year-on-year, with overseas revenue accounting for 43% of total revenue [11] - The company is focusing on high-quality development and has implemented cost-reduction measures across the entire supply chain to enhance profitability [11] Strategic Initiatives - The company is pursuing strategic collaborations to deepen its intelligent logistics business, including partnerships with Huawei and logistics companies like SF Express and JD.com [11] - The outlook for the second half of 2025 is positive, with expectations of continued growth in domestic manufacturing demand and sustained overseas business growth, particularly in new energy products [11]

Core Insights - Hubei Zhongli Machinery Co., Ltd. has experienced over 50% annual sales growth since its production began in 2023, with over 6,000 units of forklifts sold in the first half of the year, marking a 20% year-on-year increase [1][3]. Company Overview - The company specializes in electric forklifts, particularly the high-pressure heavy-duty lithium battery forklifts, which utilize a 600V high-voltage platform and a self-controlled system, achieving significant reductions in energy consumption and carbon emissions [3]. - Zhongli Machinery has established two core R&D platforms: the Hubei Complete Machine Research Institute and the New Equipment Research Institute, supported by a team of experienced experts [3]. Product Development - The company has launched a series of products including 16 to 35-ton high-pressure heavy-duty lithium battery forklifts, lithium battery off-road forklifts, and telescopic forklifts, filling a technological gap in the heavy-duty lithium battery equipment sector [3]. - In response to the national "dual carbon" strategy, Zhongli Machinery introduced a circular regenerative lithium battery forklift, targeting the existing market of over 4 million internal combustion forklifts in China, and has sold 2,000 units of this eco-friendly product this year [3].

Core Viewpoint - The company reported a solid performance in the first half of 2025, with significant growth in various sectors despite a challenging global economic environment. The focus on innovation and strategic resource allocation has strengthened its competitive position in the market [4][5][6]. Financial Performance - The company achieved a net profit attributable to shareholders of RMB 564,345.30 million for the first half of 2025, with no statutory or discretionary reserves deducted [67][68]. - The profit distribution plan involves a cash dividend of RMB 3.58 per 10 shares, totaling approximately RMB 3,105,449,097.91, which represents 57% of the net profit [68][69]. Business Segments Overview Engine Business - The company sold 362,000 engines, with a notable 41% increase in sales of the M series large-bore engines and a 491% increase in data center engines [5][6]. - The launch of new high-efficiency engines and the establishment of a smart factory have enhanced product competitiveness [6]. Commercial Vehicle Business - The company reported a 14.6% increase in overall vehicle sales, reaching 73,000 units, with a remarkable 255% increase in new energy vehicle sales [7]. - Strategic partnerships and product innovations have strengthened market presence, particularly in overseas markets [7]. Agricultural Equipment Business - The agricultural equipment segment generated revenue of RMB 9.86 billion, with an 18.6% increase in export revenue [8]. - The introduction of advanced agricultural machinery has improved operational efficiency and reduced costs [8]. Smart Logistics Business - The overseas subsidiary, KION GROUP AG, secured new orders worth €6.21 billion, marking a 22.2% increase, with total revenue reaching €5.5 billion [9][10]. - The company has focused on AI-driven innovations and sustainable development, receiving high recognition in sustainability assessments [10]. Strategic Initiatives - The company is actively pursuing strategic layout planning, optimizing product structure, and enhancing core competitiveness through technological innovation [5][6]. - The establishment of a new energy power industry park and the launch of advanced battery technologies are part of the company's commitment to sustainable development [6]. Governance and Compliance - The company has revised several governance policies to align with the latest legal requirements and improve operational standards [17][19]. - The board of directors has ensured that all disclosures are accurate and complete, maintaining transparency with stakeholders [71].

Core Insights - The company achieved a revenue of 9.39 billion yuan in H1 2025, representing a year-on-year growth of 6.2% (adjusted) [1] - The net profit attributable to shareholders decreased by 4.6% year-on-year to 800 million yuan (adjusted), while the net profit excluding non-recurring items increased by 0.3% to 730 million yuan (adjusted) [1] - The gross profit margin stood at 23.6% [1] Group 1: Sales Performance - The company sold 204,000 forklifts in H1 2025, marking a year-on-year increase of 17.2%, with domestic sales reaching 126,000 units, up 11.3% [1] - The proportion of electric forklifts in the product mix increased to 68% by the end of H1 2025, up from the end of 2024 [1] Group 2: International Market Expansion - The company’s overseas forklift sales reached 74,000 units in H1 2025, a year-on-year growth of 23.1%, with overseas revenue accounting for 43% of total revenue [1] - The company achieved the highest market share in 34 overseas countries and regions and is investing in its first overseas manufacturing facility [1] Group 3: Smart Logistics Development - Revenue from components, aftermarket, and smart logistics segments grew by 16.4%, 15.3%, and 59.1% year-on-year, respectively [1] - The company is accelerating the professional integration of its smart logistics business and has established a "Joint Innovation Tian Gong Laboratory" in collaboration with Huawei's data communication product line [1] Group 4: Future Outlook - The company maintains a "buy" rating, with net profit forecasts for 2025-2027 at 1.42 billion, 1.60 billion, and 1.81 billion yuan, respectively, corresponding to EPS of 1.60, 1.80, and 2.03 yuan [1] - The company is expected to benefit significantly from the internationalization and electrification of the forklift industry, as well as the development of smart logistics [1]

Investment Rating - The report maintains a "Buy" rating for the company [5] Core Views - The company achieved a revenue of 9.39 billion yuan in H1 2025, representing a year-on-year growth of 6.2% (adjusted). The net profit attributable to shareholders was 800 million yuan, a decrease of 4.6% (adjusted), while the net profit excluding non-recurring items was 730 million yuan, showing a slight increase of 0.3% (adjusted). The gross margin was 23.6%, up by 0.4 percentage points (adjusted), and the net margin was 9.6%, down by 0.7 percentage points (adjusted) [1] - The company sold 204,000 forklifts in H1 2025, marking a 17.2% increase year-on-year, with domestic sales reaching 126,000 units, up 11.3%. The proportion of electric forklifts sold increased to 68%, up 2.5 percentage points from the end of 2024, indicating a strong benefit from the ongoing electrification of forklifts [2] - The company significantly expanded its international market presence, with overseas forklift sales reaching 74,000 units in H1 2025, a 23.1% increase year-on-year. Overseas revenue accounted for 43% of total revenue, and the company achieved the highest market share in 34 countries and regions. The establishment of its first overseas manufacturing plant is expected to further enhance its international operations [3] - The company is actively developing its smart logistics business, with revenue from components, aftermarket, and smart logistics segments growing by 16.4%, 15.3%, and 59.1% year-on-year, respectively. Collaborations with Huawei and Jianghuai are aimed at advancing research and development in smart logistics and robotics, positioning the company to capitalize on the increasing demand for intelligent logistics solutions [4] Summary by Sections Financial Performance - In H1 2025, the company reported a revenue of 9.39 billion yuan, a 6.2% increase year-on-year. The adjusted net profit was 800 million yuan, down 4.6%, while the adjusted net profit excluding non-recurring items was 730 million yuan, up 0.3%. The gross margin was 23.6%, and the net margin was 9.6% [1] Sales and Market Expansion - Forklift sales reached 204,000 units in H1 2025, a 17.2% increase year-on-year, with domestic sales at 126,000 units, up 11.3%. The electric forklift sales proportion increased to 68% [2] - Overseas forklift sales were 74,000 units, a 23.1% increase year-on-year, with overseas revenue making up 43% of total revenue. The company is establishing its first overseas manufacturing plant [3] Strategic Initiatives - The company is enhancing its smart logistics business, with significant revenue growth in related segments. Collaborations with technology partners aim to innovate in smart logistics and robotics [4]