① Last year, China Pass's revenue in the general engineering contracting and system delivery service sectors decreased by 28.48% and 18.83%, respectively, resulting in a decline in the company's annual revenue; ② As of March 2024, the total total number of new contracts signed by China Express was 11.361 billion yuan, down 17.07% from the same period last year.
“Science and Technology Innovation Board Daily”, April 27 (Reporter Wu Xuguang) Global rail transit control system company China Tonghao did not perform well in Q1.
On the evening of April 26, China Communications announced that in the first quarter of 2024, the company's revenue was 6.5 billion yuan, down 13.10% year on year; net profit was 604 million yuan, down 10.84% year on year, after deducting non-net profit of 594 million yuan, down 10.29% year on year. It continues the state of double decline in performance last year.
According to the 2023 annual report, China Connect achieved revenue of 37.087 billion yuan, a year-on-year decrease of 7.79%; net profit to mother of 3.477 billion yuan, a year-on-year decrease of 4.30%; deducted non-net profit of 3.266 billion yuan, a year-on-year decrease of 4.41%; and net cash flow from operating activities was 2,058 billion yuan, a year-on-year decrease of 1.16%.
China Tonghao's industry is railway transportation equipment manufacturing. The company's main business is rail transit control system design and integration, equipment manufacturing and system delivery, and can provide services for the entire rail transit control system industry chain.
China Express's main profit model is mainly to obtain orders through public tenders. The demand in the rail transit and related engineering general contracting market where it is located is influenced to a certain extent by macroeconomics, related industry policies, and downstream customer bidding plans.
The “Science and Technology Innovation Board Daily” reporter noticed that new orders from China Express continued to slow down.
The annual report shows that in 2023, although there was an increase in new orders signed by China Connect, the revenue of some business lines has declined. In 2023, the company signed a total of 73.121 billion yuan of new contracts for the whole year, an increase of 0.15% over the same period in 2022. As of March 2024, China Express signed a total of 11.361 billion yuan of new contracts, a decrease of 17.07% over the same period last year. **
Among them, the amount of new contracts signed in the railway sector was 3,985 billion yuan, up 10.13% from the same period last year; the amount of new contracts signed in the urban rail transit sector was 1,524 billion yuan, down 55.41% from the same period last year; the amount of new contracts signed in the overseas business sector was 1,326 billion yuan, down 0.24% from the same period last year; and 4.527 billion yuan in general engineering contracting and other fields, down 15.17% from the same period last year.
China Connect officially landed on the Science and Technology Innovation Board in July 2019. On the first day of listing, the stock price closed at 12.27 yuan/share, up 109.74% from the issue price of 5.85 yuan. Since then, China Express's stock price has been hovering around 5 yuan/share.
As of the close of April 26, China Express's stock price was 5.56 yuan/share, with a total market value of 58.879 billion yuan.
The company's declining stock price trend since its listing has also attracted investors' attention. On recent investor relations platforms, several investors have asked questions about how its stock price has fallen below the issue price for a long time since listing.