Anhui Conch Cement Company Limited (SH600585) disclosed its 2025 annual report on the evening of March 24. Last year, the company achieved operating revenue of approximately 82.532 billion yuan, a decrease of 9.33% year-on-year. Net profit attributable to shareholders reached about 8.113 billion yuan, marking a year-on-year increase of 5.42%. Net profit attributable to shareholders of the listed company after deducting non-recurring gains and losses was 7.588 billion yuan, up 3.03% compared to the previous year. Basic earnings per share stood at 1.54 yuan.
According to data compiled by Wind, the consensus forecast from 13 institutions for Anhui Conch Cement's 2025 net profit was approximately 8.957 billion yuan, meaning the company's actual performance fell short of these expectations.
On the cost side in 2025, Anhui Conch Cement significantly enhanced its cost control capabilities through technological innovation, strengthened logistics management, and increased the use of alternative fuels. The comprehensive cost of self-produced cement clinker decreased by 11.12% year-on-year.
Regarding its industrial chain, Anhui Conch Cement actively expanded its upstream and downstream businesses in areas such as aggregates and commercial concrete during 2025. The company added 22 new ready-mixed concrete stations and completed and put into operation 13 projects for dry-mix mortar and tile adhesive, providing customers with integrated building material services. Meanwhile, the company's overseas projects progressed steadily, with the Conch Cement plant in Phnom Penh, Cambodia, successfully commencing operations.
The 2025 annual report highlighted that in technological innovation, Anhui Conch Cement obtained nearly 400 authorized patents during the reporting period. The intelligent cement plant built by Zongyang Conch, which features data-driven closed-loop optimization across the entire production process, was successfully selected for the Ministry of Industry and Information Technology's 2025 Top-Tier Smart Factory project. The company also released the building materials industry's first large-scale AI model, achieving breakthroughs in applying artificial intelligence technology across more than 40 scenarios in five categories: quality control, production optimization, equipment management, safety production, and intelligent Q&A. These advancements effectively enabled refined production control, contributing to cost reduction, efficiency improvement, and carbon emission reduction.
The report further showed that by the end of 2025, Anhui Conch Cement's operational installed capacity for wind, solar, and energy storage power generation reached 1,377 megawatts. A total of 56 subsidiaries were included in provincial or municipal "Green Factory" lists, while 29 subsidiaries were recognized as national-level "Green Factories." The company also owned 44 national-level green mines and 42 provincial-level green mines.
Notably, as of the end of 2025, Anhui Conch Cement's total assets under Chinese Accounting Standards amounted to 256.001 billion yuan. The asset-liability ratio decreased by a further 0.89 percentage points to 20.42%. Meanwhile, the current ratio remained at a healthy level of 3.19:1.
In terms of financial performance, Anhui Conch Cement's net profit attributable to shareholders increased by 5.42% in 2025. This represents the company's first year of positive growth in this metric over the past five years. However, while net profit saw positive growth, the net cash flow generated from operating activities in 2025 decreased by 9.92% year-on-year to 16.644 billion yuan.
Additionally, it is noteworthy that in its 2025 annual report, Anhui Conch Cement explicitly highlighted three primary risk factors for 2026: demand fluctuation risk, intensifying competition risk, and environmental policy pressure. Addressing the risk of heightened competition, the company stated, "Amid the ongoing decline in cement demand and persistent overcapacity, if supply-demand contradictions intensify and lead to low-price competition within the industry, the company may face the risk of further increasing profit pressure. In response to these risks, the company will actively comply with national 'anti-involution' policies, strictly enforce industry self-discipline, proactively promote industry capacity reduction, and collectively maintain a healthy industry ecosystem."
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