MCC released its 2026 interim results, highlighting a contraction in top-line and bottom-line performance while underscoring improvements in cash generation, leverage and business structure.
Revenue and Profitability • Operating revenue fell 25.94 % year on year to RMB 175.91 billion. • Net profit attributable to shareholders declined 24.95 % to RMB 2.33 billion; basic EPS dropped to RMB 0.05. • Net margin slipped to 1.32 % from 1.30 % a year earlier.
Business Mix Shift • Core operations (metallurgical, non-ferrous and mining engineering) delivered RMB 37.80 billion, representing 21.37 % of total revenue—up 4.77 percentage points. • Main businesses (industrial and infrastructure construction) generated RMB 119.08 billion. • Featured businesses (engineering services, new materials, high-end equipment, energy & environmental protection, digital intelligence) contributed RMB 20.02 billion; digital-intelligence revenue grew 17.06 % to RMB 0.50 billion.
Contracting Activity • New contract value reached RMB 413.64 billion, down 24.55 %. • Overseas contracts totaled RMB 36.85 billion, with core-business projects accounting for nearly 70 %.
Liquidity and Leverage • Operating cash inflow exceeded revenue; cash-to-revenue ratio improved to 105.32 %, up 18.89 percentage points. • Net operating cash outflow stood at RMB 22.80 billion, broadly flat year on year. • Interest-bearing debt fell 37.90 % to RMB 80.01 billion; asset-liability ratio declined to 77.10 %, 1.04 percentage points lower than year-end 2025.
Balance-Sheet Metrics • Total assets decreased 3.89 % to RMB 806.79 billion. • Net assets attributable to shareholders edged up 0.59 % to RMB 156.68 billion.
Capital Management • Share repurchase: 85.73 million A shares bought back; 32.00 million H shares were cancelled on 2 June 2026. • Outstanding perpetual instruments remained at RMB 54.10 billion. • Post-period, MCC issued two tranches of three-year renewable medium-term notes totaling RMB 4.00 billion.
Dividend • Board authorised preparation of a 2026 interim dividend not exceeding RMB 2.33 billion (1H attributable profit) plus RMB 1.74 billion of parent undistributed earnings; detailed plan to follow.
Corporate Developments • New chairman and president appointed in August 2026. • No fund misappropriation, unlawful guarantees or audit reservations reported; Deloitte issued an unqualified review opinion on interim financials. • Management emphasised continued focus on “One Core, Two Main Bodies and Five Features” strategy and reiterated commitment to improve quality of earnings, strengthen risk controls and advance industrial and technological upgrading.
Outlook and Risks • MCC cited ongoing challenges from slower domestic infrastructure demand, evolving low-carbon requirements for the steel industry, and heightened geopolitical uncertainties in overseas markets. It aims to mitigate these through lean project management, overseas risk controls, and accelerated R&D commercialisation.
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