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China Oriental Boosts 2025 Profit and Margins Despite Revenue Decline

Story Highlights
  • China Oriental lifted steel output and margins in 2025, boosting gross profit despite lower revenue.
  • Stronger earnings supported higher dividends, while leverage and asset base remained broadly stable.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
China Oriental Boosts 2025 Profit and Margins Despite Revenue Decline

Meet Samuel – Your Personal Investing Prophet

The latest update is out from China Oriental Group Co ( (HK:0581) ).

China Oriental Group reported higher sales volumes of self-manufactured steel in 2025, with tonnage rising 9.6% even as overall revenue slipped 5.9% to RMB 40.41 billion due to weaker prices and declines in power equipment and trading businesses. The company nonetheless significantly improved profitability, as gross profit jumped 40.6% and gross profit per tonne for self-manufactured steel surged nearly 70%, reflecting better margins and product mix.

EBITDA grew 20.4% and EBIT rose 60.1%, driving profit attributable to shareholders up 50.9% to RMB 225 million and lifting basic earnings per share to RMB 0.06. The board proposed a higher total dividend of HK$0.07 per share, including a maintained special dividend, while return on equity improved modestly and the debt-to-capital ratio stayed essentially flat, signaling stronger earnings with broadly unchanged leverage.

The most recent analyst rating on (HK:0581) stock is a Hold with a HK$1.50 price target. To see the full list of analyst forecasts on China Oriental Group Co stock, see the HK:0581 Stock Forecast page.

More about China Oriental Group Co

China Oriental Group Company Limited is a Bermuda-incorporated steel producer listed in Hong Kong, focusing on self-manufactured steel products, trading of steel and raw materials, as well as related power equipment and a small real estate segment. The group serves the mainland Chinese market with an integrated steel value chain, while maintaining a relatively leveraged but stable capital structure.

Average Trading Volume: 3,589,125

Technical Sentiment Signal: Sell

Current Market Cap: HK$4.88B

For an in-depth examination of 0581 stock, go to TipRanks’ Overview page.

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