Wuxi Huadong Heavy Machinery (002685.SZ) has released a profit warning, expecting a net profit of 100 million to 150 million yuan in 2024, turning losses into profits.

Wuxi Huadong Heavy Machinery (002685.SZ) has released a performance forecast for the year 2024, expecting a net profit attributable to shareholders of the listed company of 1 billion to 1.5 billion yuan for the full year, turning losses into profits year-on-year. The reasons for the performance change are as follows: the port machinery business is stable and improving. During the reporting period, the company seized the opportunity for upgrading and renovating port equipment, achieved significant results in expanding overseas markets, and, with sufficient orders in hand and an increase in market share both domestically and internationally, delivered key projects and provided customer service for port machinery successfully during the reporting period. During the reporting period, the company completed the divestiture of its CNC machine tool business, transferring 100% equity of Guangdong Runxing Technology Co., Ltd. on December 17, 2024. The investment income generated from this transaction had a positive impact on the net profit attributable to the parent company for the reporting period, increasing the total profit for the year by approximately 2.1 to 2.6 billion yuan. This item is considered as a non-recurring gain or loss. The company's solar business suffered losses during the reporting period due to the significant and sustained decline in prices across the solar industry chain, with solar cell prices continuing to remain low. This led to a loss in net profit after deducting non-recurring gains or losses.