Core Viewpoint - China Shipbuilding Defense (中船防务) reported a significant increase in revenue and net profit for the first half of 2025, indicating strong operational performance and strategic focus on defense and shipbuilding sectors [1][2] Financial Performance - The company achieved an operating revenue of approximately 10.173 billion yuan, representing a year-on-year growth of 16.54% [1] - The net profit attributable to shareholders was about 526 million yuan, showing a remarkable year-on-year increase of 258.46% [1] - Basic earnings per share were reported at 0.3724 yuan, with a cash dividend of 0.80 yuan per 10 shares [1] Operational Highlights - The growth in net profit was attributed to improved production management, reduced key cycle times for main ship types, and enhanced cost management leading to increased gross margins [1] - The company reported a significant increase in investment income due to better performance from joint ventures and higher dividend levels from associated companies [1] Market Strategy - The company is committed to strengthening its defense capabilities and enhancing equipment supply, while also adapting to global shipbuilding market trends [1] - The total operating orders reached 15.498 billion yuan, marking a year-on-year increase of 64.6%, achieving 88.8% of the annual target [1] - New orders included 32 vessels across six types, with a focus on container ships, special ships, and gas carriers, highlighting the competitive edge of the "Honghu" series of feeder container ships [1] Order Backlog - As of the report date, the company held a total contract value of approximately 68 billion yuan in orders, with 65 billion yuan specifically for shipbuilding contracts [2] - The shipbuilding orders included 140 vessels totaling 4.664 million deadweight tons, alongside 30 million yuan in non-shipbuilding products such as offshore wind power equipment and ship repairs [2]

长江商报消息 ●长江商报记者 徐阳 造船市场火热，中船防务（600685.SH）实现首季业绩"开门红"。 根据业绩预告，中船防务预计2025年第一季度实现净利润1.7亿元至2亿元，同比暴涨10.06倍至12.01 倍。 中船防务称，业绩增长主要是公司聚焦年度目标任务，深化精益管理，船舶产品收入及生产效率稳步提 升，产品毛利同比改善；公司联营企业经营业绩向好，确认投资收益同比增加。 2025年第一季度，中船防务实现新接订单125.02亿元，完成年度计划的71.64%。订单的履行预计将对公 司现金流及后续经营业绩产生积极影响。 造船市场火热助业绩高涨 中船防务是集海洋防务装备、海洋运输装备、海洋开发装备和海洋科技应用装备四大海洋装备于一体的 大型综合性海洋与防务装备企业集团，主要产品包括防务装备产品、船舶海工产品、新兴业务产品。 业绩方面，回顾往年，2012年至2023年，中船防务归属于母公司所有者的扣除非经常性损益的净利润 （简称"扣非净利润"）连续亏损12年；2024年度扭亏，实现扣非净利润3.36亿元，当期营业收入和归属 于母公司所有者的净利润（简称"净利润"）分别为194.02亿元、3.77亿元，同比分别 ...

Investment Rating - The investment rating for the company is "Buy" (maintained) [8] Core Views - The company achieved a significant increase in net profit attributable to shareholders, with a year-on-year growth of 685% in 2024, driven by full production tasks and increased investment income from joint ventures [2][3] - The company has a robust order backlog, with a total contract value of approximately 61.6 billion yuan, including 130 new shipbuilding orders [4] - The shipbuilding industry is experiencing an upward cycle due to replacement cycles, environmental policies, and tight capacity, which are expected to drive ship prices higher [6][7] Financial Performance - In 2024, the company reported operating revenue of 19.402 billion yuan, a year-on-year increase of 20.17%, and a net profit of 377 million yuan, a year-on-year increase of 684.86% [2][3] - The gross margin and net margin for 2024 were approximately 7.76% and 2.43%, respectively, reflecting year-on-year increases of 1.13 and 1.98 percentage points [5] - The company’s core shipbuilding gross margin improved to 9.33%, with significant increases in the gross margins of container ships and bulk carriers [5] Business Segmentation - Revenue from shipbuilding products reached 16.727 billion yuan, up 26.39% year-on-year, while revenue from steel structure engineering declined by 38.43% [3] - The company secured new orders worth 25 billion yuan in 2024, achieving 165.56% of its annual target [3] - The company delivered 37 ships in 2024, totaling 1.0844 million deadweight tons [3] Order Backlog - The company has a total contract value of approximately 61.6 billion yuan in hand, with shipbuilding orders accounting for about 58.7 billion yuan [4] Profitability Outlook - The company forecasts net profits of 850 million yuan, 1.616 billion yuan, and 2.410 billion yuan for 2025, 2026, and 2027, respectively, indicating a compound annual growth rate (CAGR) of 68% [13][14]