Strong Financial Performance Fails to Prevent Sell-off as China Yuchai Shares Drop Over 8%

Stock News
昨天

Despite reporting impressive financial results for the second half of 2025, China Yuchai (CYD.US) saw its shares decline by more than 8.8% during Tuesday's trading session, reaching $50.171. According to a company release, China Yuchai achieved revenue of RMB 11.8 billion (approximately $1.7 billion) in the latter half of the year, representing a year-on-year increase of 33.5%. Gross profit rose by 58.4% to RMB 2.2 billion, with the gross margin improving to 18.9% from 15.9% in the same period last year. Operating profit surged by 193.1% to RMB 469 million, while profit for the period grew by 77.7% to RMB 276 million. Basic and diluted earnings per share increased by 108.7% to RMB 4.57 (about $0.65). Despite the notable improvement in financial metrics, market reaction remained cautious. Analysts suggested that the stock's decline may be attributed to short-term profit-taking, concerns over the sustainability of earnings growth, or uncertainties related to macroeconomic and industry demand.

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