Huayang Transmission's transformation and upgrading yields results: It successfully turned losses into profits in the first half of the year, with its new energy business soaring by 248% and the comprehensive gross profit margin increasing by 5.99 percentage points.
Text | Zhou Luyao, Wabeiwang
With the continuous advancement of the transformation and upgrading work of Huayang Transmission (839946.BJ), the revenue of the company's new energy passenger vehicle parts business in this period soared by 247.79%, enabling the company to turn losses into profits successfully in the first half of this year.
Recently, Huayang Transmission released its semi - annual report for 2025. In the first half of this year, the company achieved a total operating revenue of 178 million yuan, and the net profit attributable to the parent company was 1.8169 million yuan. In the same period last year, it suffered a loss of 13.4376 million yuan, turning losses into profits year - on - year. At the same time, the company's gross profit margin was 5.26%, an increase of 5.99 percentage points.
The new energy business soared by 248%, successfully turning losses into profits
The financial report shows that Huayang Transmission belongs to the automotive parts manufacturing industry, mainly engaged in the research, development, production and sales of aluminum alloy precision castings and die - castings such as automotive transmission system parts, power system boxes, and new energy series electric control boxes. The company is a manufacturer of shifting mechanisms for medium and heavy commercial vehicle transmission systems and new energy passenger vehicle parts, and an invisible champion in the automotive shifting mechanism sub - industry in Hubei Province.
In recent years, as the market demand for traditional fuel medium and heavy commercial vehicles has become saturated, Huayang Transmission has timely adjusted its product strategy, implemented transformation and upgrading, and developed towards the new energy field, and has achieved certain results.
In the first half of this year, the revenue of Huayang Transmission's new energy vehicle parts was 122 million yuan, a year - on - year increase of 247.79% compared with 34.9377 million yuan in the same period last year. At the same time, the revenue of the company's traditional automotive parts remained stable. The orders for automotive parts products of traditional fuel medium and heavy commercial vehicles increased slightly compared with the same period last year, reaching 54.9302 million yuan, a year - on - year increase of 1.75%.
It is worth mentioning that while accelerating the transformation towards the new energy field, Huayang Transmission actively stopped the aluminum ingot business with a relatively low gross profit margin. In this period, the company's aluminum ingot revenue was 0.00 yuan, a year - on - year decrease of 100.00% compared with 154 million yuan in the same period last year.
Due to the increase in one aspect and the decrease in another, in the first half of this year, Huayang Transmission's gross profit margin was 5.26%, an increase of 5.99 percentage points. The gross profit increased by 11.1331 million yuan compared with the same period last year, successfully enabling the company to turn losses into profits.
Adopting multiple measures to fully develop the new energy business
As the company's strategic direction, currently Huayang Transmission is fully developing the company's new energy vehicle parts business from multiple perspectives such as technology, products, production capacity, and market.
Firstly, in terms of products and technology, Huayang Transmission continuously optimizes the technical personnel and on - site management personnel related to the project management of passenger vehicles and the product development of passenger vehicle parts, and has accumulated rich experience in the product development and production of new energy passenger vehicle parts, improving the overall level of the technology R & D team. During the reporting period, the company developed a total of 14 new products. Some of the new energy and passenger vehicle parts products developed in the early stage have also achieved mass production.
Having qualified products is not enough; the production capacity must also keep up. In the first half of this year, Huayang Transmission adjusted the layout of some equipment, optimized the processing production line for new energy passenger vehicle parts products, accelerated the improvement of the production capacity of new energy products, and enhanced the production capacity and efficiency. At the same time, the company added a new intelligent and automated production line for new energy. This automated production line can realize product laser coding, CNC machining, parts cleaning, airtightness testing, and appearance inspection, with full - process automated processing, reducing labor costs and improving the level of automated production.
With excellent products and sufficient production capacity, Huayang Transmission has gradually opened up the new energy vehicle parts market. Currently, Huayang Transmission has implemented the strategy of "simultaneously developing commercial and passenger vehicles, and attaching equal importance to fuel and electric vehicles", gradually developing new customers, enhancing the company's risk - resistance ability, and committed to the high - quality development of the company.
This article is from the WeChat official account “Wabeiwang” (ID: wabeiwang). Author: Making information disclosure more timely. Republished by 36Kr with authorization.