Fengfan Power

Fengfan Co. released its 2026 interim report. Total operating revenue was 1.877 billion yuan, up 43.20% year on year. Net profit attributable to the parent company was 91.1184 million yuan, up 922.93% year on year. Net cash flow from operating activities was negative 76.7272 million yuan, an improvement of 449 million yuan compared with the same period last year. The company's asset-liability ratio was 61.89%, gross margin was 15.26%, return on equity was 4.12%, and diluted earnings per share was 0.08 yuan. The number of shareholders was 62,100, and the top ten shareholders held 54.38% of total share capital.

The central government has explicitly designated the new-type power grid as a key investment direction under the 15th Five-Year Plan, with planned investment exceeding 5 trillion yuan. Of this, State Grid is expected to invest 4 trillion yuan, an increase of about 40 percent compared with the 14th Five-Year Plan period. Catalysed by the policy, A-share grid-related sectors surged across the board on 3 August, with the grid equipment index showing active performance. Jiuxing Electric led the gains with a 20 percent rise, while Baili Electric, Great Wall Electric, and Huijintong were among multiple stocks that hit their daily limit up. Grid equipment companies that have already disclosed interim earnings forecasts showed clear divergence. Dalian Insulator, Fanfan Steel Structure, and Baobian Electric benefited from full order books for ultra-high-voltage projects and achieved high growth, whereas Sanxing Electric and Great Wall Electric were dragged down by factors such as high raw material prices, declining bidding prices, and exchange losses, resulting in profit declines or even losses. Institutions’ analysis points out that there is typically a six- to nine-month time lag from grid investment tenders to revenue recognition. Ultra-high-voltage, distribution equipment, new-type energy storage, as well as digital and intelligent infrastructure such as smart grids and computing-power coordination, are expected to benefit from this round of policy dividends.

Fengfan Co. announced that it has won a bid in State Grid's 2026 third public tender for equipment and materials for ultra-high voltage projects, as well as third public tender for installation materials for power transmission and transformation projects. The winning bid amount is approximately 149 million yuan, accounting for about 5.00% of the company's audited 2025 operating revenue.