en.Wedoany.com Reported - China CSCEC Western Construction Co., Ltd. (002302.SZ) released its semi-annual performance forecast on July 15, 2026, expecting a net loss attributable to shareholders of the listed company of 330 million yuan to 170 million yuan for the period from January to June 2026, compared with a loss of 96.2749 million yuan in the same period last year; the net profit after deducting non-recurring gains and losses is expected to be a loss of 355 million yuan to 195 million yuan, compared with a loss of 172 million yuan in the same period last year. Based on this calculation, the company's loss has significantly widened year-on-year.
China CSCEC Western Construction Co., Ltd. was established in 2009, with its headquarters in Chengdu, Sichuan Province. It is a specialized ready-mixed concrete listed company under China State Construction Engineering Corporation. The company's business covers the production and sales of ready-mixed concrete, cement products, and admixtures, with multiple regional companies and production sites both domestically and internationally. It is one of the largest specialized ready-mixed concrete production enterprises in China. According to the company's 2025 annual report, its full-year operating revenue was approximately 22.857 billion yuan, with commercial concrete business being the absolute main business, accounting for about 97% of revenue.
The announcement shows that during the reporting period, competition in the commercial concrete market intensified, the company's sales volume declined year-on-year, and market prices in the regions covered by its business showed a downward trend. At the same time, the decline in the cost of major raw materials was smaller than the decline in sales prices, leading to a narrowing of gross profit margins for commercial concrete sales. It is expected that the company's overall profitability will decline year-on-year.
The commercial concrete industry is highly correlated with the construction industry's prosperity. In the first half of 2026, affected by factors such as the continued decline in real estate investment and insufficient funding for infrastructure projects, the overall market demand for commercial concrete in China was weak, with prominent industry overcapacity issues and fierce price competition. According to data from the China Concrete and Cement Products Association, from January to May 2026, the national commercial concrete output decreased by about 12% year-on-year, and the industry's average price fell by about 8% compared with the same period last year. Meanwhile, although the prices of raw materials such as cement and sand and gravel have declined, the decline has not fully offset the profit erosion caused by the drop in product selling prices.
The ready-mixed concrete industry has a "short-leg" characteristic, with a transportation radius typically not exceeding 50 kilometers, and significant differences in regional market competition patterns. Western Construction's business covers multiple regions across the country, with the central and western regions and South China being its main markets. In the first half of 2026, the progress of infrastructure construction and the area of new housing starts in the above regions both slowed to varying degrees, further exacerbating the imbalance between supply and demand in the industry.
This performance forecast indicates that the market pressure faced by Western Construction has further increased compared with the same period last year. This is the company's second consecutive first-half loss, reflecting the common pressure faced by the commercial concrete industry under the current macroeconomic environment. With the advancement of infrastructure projects in the second half of the year and the arrival of the traditional peak construction season, the company's operating conditions may improve, but the industry's competitive landscape and price trends remain key variables affecting subsequent performance. Western Construction stated that this performance forecast is the company's preliminary estimate, and the specific financial data shall be subject to the 2026 semi-annual report.
