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Xinchen China Power flags 45% profit drop on absence of impairment reversal

Story Highlights
  • Xinchen China Power expects 2025 profit to drop about 45% to no more than RMB21 million.
  • Earnings are pressured by the absence of last year’s large impairment reversal despite lower expenses.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Xinchen China Power flags 45% profit drop on absence of impairment reversal

Meet Samuel – Your Personal Investing Prophet

An update from Xinchen China Power Holdings Ltd. ( (HK:1148) ) is now available.

Xinchen China Power Holdings has warned shareholders that profit attributable to equity holders for 2025 is expected to fall to no more than RMB21 million, about 45% lower than 2024. The decline is mainly due to the absence in 2025 of a substantial one-off reversal of impairment losses of roughly RMB88.2 million that boosted last year’s results.

Management noted that operating expenses have been reduced during the period, but the savings cannot offset the lost benefit from the prior-year impairment reversal, underscoring pressure on underlying profitability. The company is finalizing its 2025 audited results, due for release in late March 2026, and has urged investors to exercise caution when trading its shares amid the weaker earnings outlook.

The most recent analyst rating on (HK:1148) stock is a Buy with a HK$0.40 price target. To see the full list of analyst forecasts on Xinchen China Power Holdings Ltd. stock, see the HK:1148 Stock Forecast page.

More about Xinchen China Power Holdings Ltd.

Xinchen China Power Holdings Ltd. is a Cayman Islands-incorporated company listed in Hong Kong, operating in the powertrain and automotive engine sector. The group focuses on manufacturing and supplying engines and related components for the mainland China vehicle market, serving automakers and other industrial customers in the broader automotive supply chain.

Average Trading Volume: 479,040

Technical Sentiment Signal: Hold

Current Market Cap: HK$365.4M

For detailed information about 1148 stock, go to TipRanks’ Stock Analysis page.

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