DEC Releases 2025 Performance Review and 2026 Action Plan Centered on “Enhancing Quality, Increasing Efficiency and Emphasizing Returns”

Bulletin Express04-29 22:23

Dongfang Electric Corporation Limited (DEC) published its 2025 annual evaluation and 2026 action plan, outlining progress in national strategy execution, order growth, technological breakthroughs and capital-market initiatives while setting measurable targets for the coming year.

• 2025 OPERATING HIGHLIGHTS – New effective orders reached RMB117.25 billion, up 15.93% year on year; energy equipment manufacturing accounted for 67.33% of the total, manufacturing services 22.15% and emerging businesses 10.52%. – Cash dividend payout ratio rose to 47.84%, reflecting a strengthened shareholder-return policy. – Controlling shareholder increased its stake by 4.37 million A shares during a market downturn. – DEC completed a private placement of 272.88 million A shares in April and placed 68.00 million H shares in September to finance core projects.

• TECHNOLOGY & INNOVATION – R&D investment totalled RMB3.88 billion. Key milestones included: • Commercial launch of the world’s first supercritical CO₂ power-generation unit. • Grid-connection of a 26 MW semi-direct-drive offshore wind turbine and rollout of a 17 MW direct-drive floating model. • Full-load operation of a 15 MW heavy-duty gas turbine with pure-hydrogen combustion capability. • Delivery of main equipment for the 600 MW high-temperature gas-cooled reactor demonstration project. – Seven home-grown pieces of equipment were listed among the National Energy Administration’s “first-set” catalogue; 15 provincial and ministerial science-and-technology awards were received.

• GOVERNANCE & ESG – Three shareholders’ meetings and 11 board meetings approved 64 proposals, including Articles-of-Association amendments and dividend policy. – DEC maintained an A-grade information-disclosure rating on the Shanghai Stock Exchange for the 11th consecutive year and remained in ENR’s Top 250 International Contractors.

• 2026 ACTION PLAN 1. Profitability & Efficiency: • Optimise operating cash flow, asset-liability ratio and fund turnover; tighten control over “three capitals and one payment”; conduct a special campaign to lift core-product gross margin. 2. Innovation Drive: • Advance key national science projects; complete high-altitude wind-power research base; expand “AI+” industrial applications; maintain robust R&D funding with higher allocation to strategic emerging industries. 3. Governance & Risk Control: • Strengthen board-level ESG oversight, deepen three-system reform, expand digital finance and audit supervision, and implement a new three-year lean-management plan. 4. Human Capital & Compliance: • Enhance training for directors and senior management on capital-market regulations; bolster oversight of high-risk subsidiaries. 5. Investor Relations & Returns: • Execute the 2025–2027 shareholder-return plan; raise the 2026 cash-dividend payout ratio by at least one percentage point; expand multi-channel communication including results briefings, investor days and proactive media engagement.

DEC will provide periodic updates on the execution of these measures and cautions that outcomes remain subject to macro-economic, policy and industry dynamics.

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