On the evening of March 26, Weichai Power released its 2025 annual report. During the reporting period, the company achieved operating revenue of RMB 231.8 billion, a year-on-year increase of 7.5%, with net profit attributable to shareholders of RMB 10.9 billion. Based on its solid operating performance, the company plans to distribute a cash dividend of RMB 3.74 (pre-tax) per 10 shares to all shareholders, with the full-year cash dividend payout ratio (including share buybacks) reaching 65%.

　　From the perspective of the performance drivers, the company's mature business segments, including the power system and intelligent logistics, worked in synergy to continuously consolidate the core business performance. At the same time, the power energy business achieved accelerated breakthroughs and became a new growth engine, collectively building a new development pattern with both operational resilience and growth potential.

Synergistic Efforts Across Multiple Core Businesses Solidify the Performance Foundation

　　In 2025, Weichai Power's various traditional core segments operated steadily, with business synergies continuing to be released, providing solid support for overall performance.

　　Specifically, the cumulative sales of engines reached 743,000 units, of which direct exports accounted for 75,000 units, up 8% year-on-year. Sales of transmissions and axles reached 911,000 units and 1 million units respectively, up 7% and 25% year-on-year, further consolidating the advantages of the full-industry-chain supporting system. The commercial vehicle segment performed exceptionally well, with full-year heavy-duty truck sales of 153,000 units, maintaining a leading position in the industry's market share. New-energy heavy-duty truck sales reached 25,000 units, a significant year-on-year increase of 262%, while heavy-duty truck exports reached 59,000 units, with overseas market presence continuing to deepen.

　　At the same time, the company advanced both high-end upgrades and new-energy transformation of its power products, optimizing and upgrading its business structure. It launched the new-generation H/T 2.0 engines, with fuel consumption levels leading the industry. It also developed the world's first 5-megawatt high-speed diesel power generation product, the 20M61, which ranks first in the industry in terms of power density. Driven by the capacity release from the first phase of the Yantai New Energy Industrial Park, the new-energy power business achieved a leapfrog increase in production and sales scale. Its full-year revenue reached RMB 3.04 billion, nearly doubling in scale, with power battery sales of 6.3 GWh, up 162% year-on-year, accelerating the company's transformation in the new-energy sector.

　　The agricultural equipment segment implemented four major strategies—business focus, innovation-driven, quality upgrading, and globalization—to actively respond to and effectively overcome challenges such as the sluggish domestic market and international market volatility. It achieved an overall increase in market share for its major products, further consolidating its industry-leading position, with 2025 operating revenue of RMB 18.02 billion and net profit of RMB 900 million. In the intelligent logistics segment, its holding subsidiary, KION Group AG, achieved operating revenue of EUR 11.3 billion in 2025. As the company's efficiency improvement measures are completed, coupled with a significant increase in new order volumes, KION Group is expected to return to a profitable growth track, and the long-term investment value of the company's global strategic layout continues to emerge.

Power Energy Business Accelerates Its Rise, Building a Second Growth Curve

　　While the traditional mature businesses have firmly established the foundation for development, Weichai Power has precisely seized the opportunities arising from the global energy demand transformation triggered by the AI computing power boom. Leveraging a diversified product matrix including diesel engines, natural gas engines, and SOFCs, the company has strategically positioned itself in the high-growth power energy sector, and its second growth curve is taking shape at an accelerated pace. The M-series large-bore engines continued their rapid growth trend, achieving full-year revenue of RMB 5.81 billion, a 65% year-on-year increase, with sales of approximately 11,000 units, up 32% year-on-year, and significantly enhanced product added value. Sales of power generation products for data centers reached approximately 1,400 units, a surge of 259% year-on-year, achieving a leapfrog growth in business scale.

　　According to market forecasts, the global data center power generation sector holds significant growth potential. Leveraging its core technological advantages in large-bore engines, Weichai Power has seized industry development opportunities to quickly enter the core supply chain for data center backup power. It has completed the deployment of power generation products covering the full power range from 1250 kWe to 5000 kWe, with one of the broadest power coverage ranges globally. Key performance indicators such as instantaneous response speed and overload capacity have reached internationally advanced levels, successfully breaking the long-standing monopoly of foreign brands in the data center power generation equipment market.

　　Furthermore, Weichai Power is closely following the global energy transition trend and has made forward-looking deployments in new energy solutions such as SOFC (Solid Oxide Fuel Cells). Leveraging its advantages of high efficiency, low carbon emissions, environmental friendliness, and strong fuel adaptability, SOFC has become a key technological solution to the power supply challenges faced by data centers. Through a strategic investment in Ceres and the signing of a manufacturing license agreement, Weichai Power has fully mastered the core technology of next-generation metal-supported SOFC. Its power generation products have successfully obtained EU CE certification, with a maximum power generation efficiency exceeding 65%, firmly placing its performance indicators at the international leading level. These products have already been put into operation in multiple demonstration projects, fully validating the technological maturity and commercial feasibility, laying a solid foundation for subsequent industrialization.

　　It is noteworthy that Shandong Heavy Industry Group has officially designated power energy as its seventh core business segment. As the main entity responsible for this segment, Weichai Power has already built a full-scenario power energy business system. As the pace of product commercialization continues to accelerate, the growth potential of the power energy business is expected to be unleashed at a faster rate, injecting strong new momentum into the company's long-term, stable development.

　　A solid fundamental performance underpins the company's value base, and coupled with high growth expectations in emerging sectors, this is driving a comprehensive reconstruction of the company's valuation logic, with increasing recognition from the capital markets.

　　The company has stated that it will continue to take innovation-driven development as its core engine, solidifying the foundation of its traditional main businesses and strengthening its industry-leading advantages. It will accelerate the development of the power energy segment, cultivating it as a core strategic growth pole. The company will focus on creating differentiated product portfolios for niche markets, continuously promote the iterative upgrade of fuel-based power generation products and the market promotion of gas power generation products, accelerate the industrialization of SOFC technology and the development of manufacturing and sales capabilities, strive to establish a strong industry brand, and steadily join the global first tier. At the same time, it will comprehensively advance four major transformations—green, global, digital, and ecological development—to continuously cultivate new growth drivers, achieve breakthroughs in both operational quality and scale, and usher in a new phase of high-quality development.