Shares of YZJ Shipbldg SGD (BS6.SI) plunged 3.27% in Friday's trading session, as investors reacted to the company's disappointing first-quarter order intake report. The Chinese shipbuilder secured only six vessel orders worth US$300 million in Q1 2025, accounting for a mere 5% of its US$6 billion annual target.

The weak performance stands in stark contrast to the same period last year when Yangzijiang won orders for 38 vessels valued at US$3.3 billion, representing 74% of its target. Executive Chairman and CEO Ren Letian attributed the slowdown to U.S. policies and global trade tariffs, which have led customers to adopt a cautious stance, delaying new vessel commitments.

Despite the setback in new orders, Yangzijiang reported steady progress in vessel deliveries, with no delays or cancellations to date. The company has delivered 21 ships, or 38% of its 56-vessel target for the fiscal year, and maintains a strong order backlog of 230 vessels worth US$23.2 billion. This backlog ensures revenue visibility through 2028, potentially offering some consolation to worried investors. However, the market's immediate reaction suggests concerns over the company's ability to meet its ambitious annual targets in the face of challenging global trade conditions.

YZJ Shipbldg SGD tumbles 4.67% at 10:59 am, May 23rd.