Main product gross profit margin increases, and stock investments also benefit by tens of millions of yuan. Xinqianglian's net profit attributable to the parent in 2025 soars by 1151% year-on-year.

Everyday News Reporter | Wen Duo Everyday News Editor | Chen Junjie

On March 26, Xinqiang Lian (SZ300850, stock price 45.91 RMB, market value 19.011 billion RMB), a leading company in wind turbine bearings, released its 2025 annual report, delivering an impressive performance.

The report shows that the company’s operating revenue in 2025 increased by 57.11% year-on-year, and net profit attributable to shareholders surged by 1,151.44%.

This performance demonstrates the company’s strong growth momentum amid the recovery of the wind power industry.

Xinqiang Lian’s 2025 operating results saw significant growth, with revenue rising from 2.946 billion RMB in 2024 to 4.628 billion RMB, a 57.11% increase. More notably, net profit attributable to shareholders reached 818 million RMB in 2025, compared to 65 million RMB in 2024, a year-on-year increase of 1,151.44%.

As of the end of 2025, the company’s total assets reached 11.679 billion RMB, up 16.75% from the previous year-end; net assets attributable to shareholders were approximately 7 billion RMB, an increase of 36.9%.

According to the company’s revenue composition data for 2025, wind power products remain the main source of income, with revenue growing 72.69% year-on-year to 3.58 billion RMB, further increasing their share of total revenue from 70.38% to 77.36%. The gross profit margin for wind power products was 29.99%, up 13.03 percentage points.

In terms of non-recurring gains and losses, the company received government subsidies of 17.6858 million RMB in 2025. Additionally, under the item “Fair value changes and gains/losses from disposal of financial assets and financial liabilities,” there was approximately 1.10 billion RMB in gains, mainly due to fair value changes in trading financial assets and other non-current financial assets, according to the annual report.

The annual report shows that last year, the company earned a total of 80.4397 million RMB from stock and bond investments during the reporting period. Notably, gains from holding and selling Pike New Material (SH605123) and Jindi Shares (SH603270) exceeded 80 million RMB.

Therefore, the company’s net profit after deducting non-recurring items in 2025 was 712 million RMB, a year-on-year increase of 377.56%.

Xinqiang Lian continued to increase R&D investment in 2025, with a total of 280 million RMB spent on R&D, including 156 million RMB on R&D expenses. The company employed 362 R&D personnel, accounting for 15.22% of total employees. Of the R&D expenses, about 111 million RMB was direct investment, with salaries and wages totaling 31.6193 million RMB.

The company’s technological innovation achievements are significant. By the end of 2025, the company and its subsidiaries held a total of 161 patents, including 33 invention patents and 128 utility model patents.

In terms of dividends, the company plans to distribute a cash dividend of 2.95 RMB (tax included) per 10 shares in 2025, totaling 122 million RMB.

Shareholding changes occurred among the top ten shareholders in 2025. The actual controller, Xiao Gaoqiang, became the largest shareholder, holding 59.407 million shares, accounting for 14.35% of the total, with a reduction of 4.3883 million shares during the reporting period. The second largest shareholder, Xiao Zhengqiang, held 59.3838 million shares, or 14.34%, and reduced holdings by over 7 million shares during the period. Aside from Hong Kong Central Clearing Co., Ltd., other increasing shareholders during the period included “Southern CSI 1000 ETF” and “Social Security Fund 17022 Portfolio,” among three new funds entering the top ten shareholders.

Compared to 2024, holdings of Xiao Zhengqiang and Xiao Gaoqiang decreased, while Haitong Kaiyuan Investment Co., Ltd.’s shareholding dropped from 7.32% to 3.58%.

Looking ahead, the annual report’s business plan includes reducing costs and increasing efficiency at the production end, developing high-end precision bearings, enriching product structure, and advancing informatization management. These measures aim to help the company maintain a competitive edge in wind power and other key markets.

According to Guojin Securities’ forecast, global new wind power installations are expected to reach 196 GW in 2026, an 18% increase year-on-year, with domestic installations reaching 132 GW, up 10%. As the global energy transition accelerates, the wind power industry, as a vital part of clean energy, is expected to continue its growth trend.

Cover image source: Caijing Media Asset Library