CIMC Vehicles (301039.SZ) net profit in the first half of 2024 was 563 million yuan, with remarkable achievements in the "Star Chain Plan" and a significant increase in revenue from Chinese semi-trailers.

On the evening of August 22, as a global leader in the high-end manufacturing of semi-trailers and special vehicles, a pioneer in the high-quality development of road transport equipment in China, and an innovator in the field of special vehicles of Shanxi Guoxin Energy Corporation, CIMC Vehicles (301039.SZ) released its 2024 interim report. In the first half of the year, the company overcame challenges, actively cultivated new productive forces, and achieved operational performance surpassing the industry. In the first half of 2024, the global economy was complex and volatile, with challenges in both domestic and international environments. CIMC Vehicles achieved a revenue of 10.7 billion yuan; gross profit margin reached 14.91%; net profit attributable to shareholders of the listed company was 563 million yuan; net profit attributable to shareholders of the listed company after deducting non-recurring gains and losses was 551 million yuan; and the company sold a total of 62,000 vehicles globally. The company also disclosed the profit distribution plan for the first half of 2024: based on 1.874 billion shares, it plans to distribute a cash dividend of 2.80 yuan (including tax) to all shareholders for every 10 shares. Despite the challenges, CIMC Vehicles' net profit attributable to mother increased by 12.45% in the second quarter compared to the first. Profits in the Chinese market significantly recovered, with sales and gross profit margins both increasing. The "Star Chain Plan" yielded remarkable results, with a sharp increase in sales of star chain semi-trailers by 24.67%, significant growth in Chinese semi-trailer sales, and a 4.03 percentage points increase in gross profit margin compared to the same period last year. Under the guidance of the cross-border operating strategy, the company's resilience in overseas markets has strengthened, with the North American container chassis EAPA survey passing smoothly, maintaining the base in the European market, emerging in the Australian market, and achieving breakthrough profit growth. All businesses or groups have steady development, with the star chain semi-trailer business continuing to deepen the "Star Chain Plan", fully upgrading the production line, iterating modular products, seizing market share, and achieving a 24.67% increase in sales, with revenue increasing significantly to 2.629 billion yuan. The main models of the "Star Chain Plan", flatbed and its derivative models, increased sales in the Chinese market by over 50%, and market share increased. CIMC Vehicles' market share in the Chinese semi-trailer market reached 14.12%, maintaining the top position; the Strong Crown Business Group initiated the "Strong Crown Rising Plan" to promote structural changes in production organization, consolidate domestic business, seize overseas markets, innovate new energy products, with revenue reaching 2.508 billion yuan, gross profit margin increasing year-on-year, maintaining a leading position in the tank truck market; the North American business promoted governance structure transformation and upgrading, enhanced cross-border operation capabilities, controlled operational risks, with revenue reaching 3.684 billion yuan, gross profit margin recovering to normal levels after reaching a high level; European and other businesses continued to optimize manufacturing processes, upgrade flexible production lines, leverage global supply chain management advantages, maintain steady operations, with revenue reaching 1.514 billion yuan. SDC maintained its top position in market share in the UK, and LAG maintained its leading position in the European tank truck market; the special vehicle upfitting business efficiently carried out the "Mid-Island Plan", focusing on cost reduction and efficiency improvement, restructuring organizational development, upgrading products, and expanding overseas markets, significantly improving business quality, with sales increasing by over 50%, revenue increasing year-on-year, and the market share of urban dump trucks in China reaching 16.65%. It is worth noting that CIMC Vehicles' "Star Chain Plan" entered a phase of efficient execution in 2024, breaking through first, and steadily implementing the plan, innovating design and technology, structural changes in enterprise organization, optimizing enterprise resource allocation, building new productive forces i