Zonqing Environmental Posts Lower 2025 Profit Despite Higher Gross Margin

Zonqing Environmental Limited ( (HK:1855) ) has shared an update.

Zonqing Environmental Limited reported audited annual results for the year ended 31 December 2025, with revenue declining to RMB1.64 billion from RMB1.74 billion in 2024, while gross profit improved to RMB345.3 million. The company’s profit attributable to equity shareholders fell to RMB22.0 million from RMB40.0 million, weighed down by lower other income, higher administrative costs, and increased losses from associates and a joint venture.

Despite improved gross margins and reduced impairment losses on receivables and contract assets, profit before tax only rose modestly to RMB56.6 million due to higher tax expenses that cut net profit to RMB27.2 million. The results suggest operational efficiency gains at the project level but highlight ongoing earnings pressure from financing costs, investee losses, and tax, which may constrain returns to shareholders in the near term.

The most recent analyst rating on (HK:1855) stock is a Hold with a HK$1.00 price target. To see the full list of analyst forecasts on Zonqing Environmental Limited stock, see the HK:1855 Stock Forecast page.

More about Zonqing Environmental Limited

Zonqing Environmental Limited is a Hong Kong‑listed company incorporated in the Cayman Islands that operates in the environmental engineering and related services sector. The group provides project-based solutions and services in mainland China, focusing on infrastructure and environmental projects that generate contract revenue and associated service income.

Average Trading Volume: 33,688,372

Technical Sentiment Signal: Sell

Current Market Cap: HK$292.9M

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