Hong Kong-listed Anhui Expressway released its unaudited 2026 first-quarter results. During the three months to 31 March 2026, operating income fell 44.22% year-on-year to RMB 1.57 billion, mainly owing to a sharp decline in construction service revenue. The contraction in top-line growth was partly offset by disciplined cost control, with operating costs down 63.52% to RMB 0.74 billion.

Net profit attributable to shareholders edged down 2.67% to RMB 0.54 billion, while core net profit (excluding non-recurring items) rose 16.17% to RMB 0.54 billion, reflecting stronger contributions from equity investments. Investment income surged 332.99% to RMB 58.62 million, driven chiefly by earnings recognised from the newly acquired 7% stake in Shandong Expressway, completed in early February.

The company’s weighted average ROE improved 0.78 percentage points to 4.10%. Total assets increased 3.78% from end-2025 to RMB 31.56 billion, supported by a 644.41% jump in long-term equity investments following the Shandong, Quanlu and Shutong Expressway transactions. Monetary funds declined 33.76% to RMB 3.56 billion after sizable capital outlays; cash paid for investments totalled RMB 2.78 billion, pushing operating cash flow down 18.09% to RMB 0.71 billion.

Toll-road operations remained stable. Aggregate toll revenue across controlled road sections rose 5.44% year-on-year to RMB 1.36 billion, with the Guangxuan Expressway reconstruction and expansion project posting the strongest growth (+61.51%). Conversely, Anqing Yangtze River Highway Bridge revenue fell 15.05% on a 20.43% traffic decline.

Policy-mandated waivers continued to weigh on collections: approximately RMB 0.32 billion in toll exemptions were granted during the quarter, including RMB 0.20 billion during the nine-day Spring Festival holiday.

On the investment front, Anhui Expressway advanced two major reconstruction projects: 1. G50 Shanghai-Chongqing Expressway (Gezidun–Hubei border) with a total budget of RMB 12.30 billion; cumulative spending reached RMB 1.25 billion. 2. G30 Lianhuo Expressway (Anhui section) with an estimated cost of RMB 5.42 billion; RMB 40 million was invested this quarter.

The group also injected capital into three new concession companies—Bozhou, Quanlu and Shutong Expressways—and made additional commitments to transport-related private-equity funds.

Interest expenses increased 53% to RMB 80.63 million following higher borrowings; outstanding long-term loans rose to RMB 10.21 billion, while bonds payable remained at roughly RMB 3.50 billion. The first annual coupon payment on last year’s RMB 2.00 billion rural-revitalisation corporate bonds was completed on 3 March 2026.

At quarter-end, the top three shareholders—Anhui Communications Holding Group, HKSCC Nominees and China Merchants Highway Network Technology—collectively held 82.50% of issued shares. The register listed 16,541 A- and H-share investors.

Management did not provide full-year guidance; however, continued capital deployment into expansion projects and rising finance costs will be key variables for earnings momentum in subsequent quarters.