Yongjie New Materials marks its one-year listing anniversary: 2025 net profit up 30%, plans for nearly 90 million yuan in cash dividends

On March 11, 2025, the leading domestic aluminum sheet and strip company “Yongjie New Materials” officially listed on the Shanghai Stock Exchange. 385 days have passed,

The company also delivered its one-year listing performance report: total revenue for 2025 was 1.98B yuan, an increase of 18.86% year-on-year; net profit attributable to shareholders was 415 million yuan, up 30.00% year-on-year. The net cash flow from operating activities reached 421 million yuan, a significant increase of 208.38% year-on-year.

First-year report card after listing: from scale expansion to structural optimization

In terms of segmentation, in 2025, Yongjie New Materials’ product structure saw significant optimization.

During the reporting period, revenue from aluminum alloy sheets and strips used in lithium battery structural components increased by 52.83% year-on-year, revenue from power battery foils grew by 58.45%, and revenue from liquid cooling plate materials rose by 93.54%. These three high-growth categories jointly drove the main business growth of Yongjie New Materials.

In terms of proportion, its combined revenue from lithium batteries and electronic appliances applications has now risen to 81.49%; three years ago, this figure was less than 60%. This indicates that Yongjie New Materials is no longer a traditional aluminum rolling processing enterprise but has deeply integrated into the high-growth sectors of new energy and consumer electronics.

Yongjie New Materials’ 2025 quarterly operating performance Chart source: company announcement

Looking at quarterly data, in Q1 of last year, Yongjie New Materials’ revenue was 2.59B yuan; in Q2, 2.446 billion yuan; in Q3, 2.594 billion yuan; and in Q4, 2.621 billion yuan, setting a yearly peak. In terms of net profit, the high point for the year was 123 million yuan in Q3, with a decline to 107 million yuan in Q4, maintaining overall stability.

Regarding earnings per share, influenced by the expansion of share capital after listing (total shares increased from 147 million to 197 million), the company’s basic earnings per share in 2025 was 2.25 yuan, a 3.69% increase year-on-year, lower than the net profit growth rate. The weighted average return on net assets was 16.39%, down 4.68 percentage points from the same period last year, mainly due to the substantial increase in net assets after listing.

In terms of cash flow, Yongjie New Materials’ net cash flow from operating activities has jumped from 137 million yuan in 2024 to 421 million yuan, more than doubling. The annual report explains that this is mainly due to an increase in the proportion of bills issued for procurement payments, reducing operating cash outflows.

Yongjie New Materials’ historical net profit attributable to shareholders Chart source: Tonghuashun iFind

Meanwhile, its balance sheet has also been further improved.

Tonghuashun iFind shows that as of the end of 2024, the company’s total assets were 2.62B yuan; by the end of 2025, this increased to 3.5B yuan, a growth of 43.53%. Net assets rose from 5.03B yuan to 1.68B yuan, an increase of 74.46%. The asset-liability ratio also decreased from 52.17% to 41.86%. Short-term loans decreased by 96.17% from the end of last year, and long-term loans decreased by 89.02%, significantly easing debt repayment pressure.

In this context, Yongjie New Materials’ R&D investment has also surged.

Data shows that in 2025, the company’s R&D expenses reached 335 million yuan, an increase of 21.01%, accounting for 3.47% of total revenue, reaching a new high in nearly three years. According to its annual report, the company currently has innovation platforms such as a national postdoctoral research station and a provincial enterprise research institute, with an R&D team of over 1,000 people. During the reporting period, the project “Key Technologies and Industrialization of High-Performance Ultra-Thin Aluminum Foil” was also selected as a key scientific research project in Hangzhou for 2025.

Additionally, Caifu News also noted Yongjie New Materials’ 2025 dividend plan: proposing to distribute a cash dividend of 4.55 yuan (including tax) per 10 shares to all shareholders, totaling approximately 89.52 million yuan. Based on the closing price on March 30, the dividend yield is about 2.04%. Coupled with the interim dividend of 1.80 yuan per 10 shares already implemented in 2025, this means Yongjie New Materials has paid a total dividend of about 124.9172 million yuan (including tax) in just one year of listing, accounting for over 30% of the net profit attributable to shareholders in 2025.

Behind this, on one hand, it reflects Yongjie New Materials’ ample cash reserves, providing a material basis for high dividend payouts; on the other hand, paying out 125 million yuan in dividends in the first year of listing also demonstrates its management’s emphasis on shareholder returns and sharing development achievements with investors, which helps enhance market recognition of the company’s long-term value.

First major challenge after listing: how will the 1.7 billion yuan acquisition be implemented?

Of course, what truly draws market attention is not just the growth in the first year after listing, but a huge acquisition announced two months ago. On January 25, 2025, the company announced plans to acquire the equity of Qinhuangdao and Kunshan companies held by Olinick China for 2.42 billion USD (approximately 2.92B yuan). Among them, Olinick Qinhuangdao has an existing capacity of 200k tons, and Olinick Kunshan has a capacity of 50k tons. Both target companies were formerly core manufacturing bases of U.S. Aluminum in China. As a pioneer in the global aluminum processing industry, U.S. Aluminum has over 130 years of technological accumulation, leading in materials technology for aerospace and high-end automotive sectors, and is a core supplier for giants like Boeing and Airbus.

Yongjie New Materials’ major asset purchase plan Chart source: company announcement

Regarding acquisition expectations, Yongjie New Materials stated that this would increase the company’s capacity by about 50%, from 485k tons to approximately 730,000 tons, achieving a leap in scale. However, as of the end of 2025, the company’s cash on hand was only 719 million yuan, still significantly short of the 242M yuan transaction price.

According to previous transaction announcements, Yongjie New Materials will use self-owned funds and other cash payments, which likely means it will need to secure bank loans or refinancing later to make up the shortfall. The good news is that its latest annual report shows a significant decline in the asset-liability ratio, leaving room for leverage.

Yongjie New Materials factory site Chart source: company website

Reflecting on the company’s initial listing in March last year, founder Shen Jianguo once said: “Running a business can never stop; continuous progress and investment in innovation and R&D are essential, or you will be eliminated by the market.” This statement remains very relevant today. From frontline operators to the head of a listed company with nearly 10 billion yuan in annual revenue, he took 31 years to reach this point. Now, Yongjie New Materials is at a critical juncture: on one side, strong performance after listing; on the other, a nearly 1.7 billion yuan cross-border acquisition to digest.

In 2025, the number of above-scale enterprises in China’s aluminum sheet, strip, and foil industry reached 4,306, with an average output of only 11.3k tons, indicating very low industry concentration and pressure on processing fees. The path for leading companies to break through is clear: seek technology upstream and scale downstream. Yongjie New Materials has evidently chosen the latter: by acquiring U.S. Aluminum’s China base, it aims to step into the global high-end aluminum processing technology system and customer network.

The 2025 performance has already proven that this aluminum sheet and strip enterprise from Xiaoshan has seized the opportunities in new energy and consumer electronics sectors. The latest acquisition in 2026 will further test whether it can establish a foothold on a broader global stage.