Aviation Power's revenue in 2025 decreased by 3.23%, and net profit after deducting non-recurring gains and losses dropped by 62.81%

Blue Whale News, April 1 — On April 1, Aero Engine Dynamics released its 2025 performance report. The data shows that in 2025, the company recorded operating revenue of 46.33B yuan, down 3.23% year over year; net profit attributable to shareholders was 634 million yuan, down 26.27% year over year; and non-recurring profit or loss adjusted net profit was 294 million yuan, down 62.81% year over year. All three key financial indicators show a contraction trend, with the decline in non-recurring profit or loss adjusted net profit significantly higher than the declines in revenue and net profit attributable to shareholders.

During the reporting period, the company’s gross margin was 9.09%, down 0.93 percentage points year over year; its net profit margin was 1.37%, down 0.42 percentage points year over year. The total amount of non-recurring gains and losses was 340 million yuan, accounting for 53.56% of net profit attributable to shareholders, up markedly from the previous year.

R&D investment amounted to 773 million yuan, down 22.28% year over year, and its share of operating revenue fell to 1.67%; the number of R&D personnel remained at 9,888.

In terms of revenue composition, revenue from aero-engines and related products reached 43.48B yuan, accounting for 95.22% of revenue from principal business; export outsourcing revenue from foreign trade accounted for 4.27%. Domestic sales revenue represented 95.74% of total revenue, while overseas sales revenue accounted for 4.26%, which closely overlaps with the share of export outsourcing revenue from foreign trade.

In terms of business attributes, the scale of the company’s aero-engine and related products revenue has maintained a core supporting position among comparable engine OEMs across the entire industry. However, its operating revenue and net profit attributable to shareholders declined by 3.23% and 26.27% respectively year over year. Industry demand remains highly concentrated in domestic military aviation equipment systems, and the product mix and market structure continue to exhibit strong cyclicality and high concentration characteristics.

Regarding dividends, the company plans to distribute a cash dividend of 0.72 yuan per 10 shares (including tax), for a total distribution of profits of 192 million yuan, accounting for 30.26% of net profit attributable to shareholders; no bonus shares will be issued, and no capital will be converted from capital reserve funds. The dividend payout ratio is lower than the level in the same period last year, aligning with the company’s earnings pressure and cash flow situation for the current period.