Western Development: Proactively Serving the National Strategy, New Contracts Signed in 2025 Exceed 53 Billion Yuan

Sourced from: China Securities Journal · Cnzx Net

Cnzse Net News (Reporter: Wu Kereng) On the evening of April 2, Western Construction released its 2025 annual report. During the reporting period, the company’s newly signed contract value reached RMB 53.037 billion, achieving operating revenue of RMB 18.108 billion, and it has not yet returned to profitability.

Western Construction focuses on ready-mixed concrete and related businesses. According to data from China Concrete Network, in recent years the company has consistently ranked second in China’s ready-mixed concrete industry, and is one of the leading listed professional ready-mixed concrete companies by national scale.

Over the past year, Western Construction has proactively served national strategies. On the one hand, the company has deeply integrated into the national regional coordinated development strategy, adding 35 new sites in key regions including the Beijing–Tianjin–Hebei region, the Yangtze River Delta, and the Guangdong–Hong Kong–Macao Greater Bay Area; on the other hand, its overseas business has accelerated breakthroughs. It has put into operation 6 plants and sites in the Southeast Asia region, achieved a breakthrough in infrastructure business in the Africa region, established preparation groups for 3 countries including the United Arab Emirates, and advanced, in an orderly manner, the registration of overseas entities and project contracting.

Operating conditions align with industry trends

As a leading enterprise in China’s ready-mixed concrete industry, Western Construction’s business covers 25 provinces, autonomous regions, and municipalities. It maintains leading positions in regions including Xinjiang, Hubei, Sichuan, Shaanxi, and Hunan. The company steadily advances its internationalization strategy, establishing strong production and supply capabilities and a comprehensive industrial chain layout both in China and abroad. In addition, the concrete industry internet platform it has built—“Tonglian” has covered more than 320 cities nationwide, with more than 8,900 companies onboard.

Affected by factors including the continued decline in real estate investment and the slowing of growth in infrastructure investment, in 2025, the demand for concrete in the national market continued to trend downward, and the industry as a whole showed a pattern of both volume and price declines, with companies’ profit margins continuing to narrow. During the reporting period, Western Construction’s operating conditions basically matched the overall industry development trend. Its production volume and sales volume of ready-mixed concrete products were 57.9277 million cubic meters and 57.9277 million cubic meters, respectively, both down 1.56% year over year. Due to the impact of the decline in major raw material costs being smaller than the decline in product selling prices, the gross profit margin of its ready-mixed concrete business was 4.25%, down 3.01 percentage points year over year.

Western Construction stated that in 2025, affected by the overall downturn in market conditions, the procurement prices of major raw materials overall trended downward. The company ensured continuous and stable raw material supply and effectively controlled production costs by promoting centralized procurement of key raw materials such as cement and sand and gravel, conducting dynamic tracking of raw material market conditions, actively coordinating with leading companies in the industry, and other measures.

By the end of 2025, Western Construction had ready-mixed concrete design capacity of 130.53 million cubic meters. During the reporting period, the company invested in 8 new ready-mixed concrete capacity projects under construction. It is expected that after completion and commissioning, these projects will add production capacity of 6.80 million cubic meters.

The foundation for green development has been continuously strengthened. By the end of 2025, Western Construction had been recognized cumulatively as 1 national-level green factory, 10 green factories at the provincial and municipal level, and 11 zero-carbon factories. It had built 13 distributed photovoltaic projects across plants and sites and had put into use more than 1,700 new-energy vehicles.

Strategic emerging industries have taken initial shape

In 2025, Western Construction accelerated the layout of strategic emerging industries. The annual report shows that the company held five special meetings in succession, released industry guidance documents, organized two product promotion events, differentiated its evaluation of emerging business, strengthened coordination between its main and specialized segments, and promoted the landing and conversion of a series of products. The share of operating revenue from strategic emerging industries increased to 13% for the full year.

By business segments, the subsidiary research institute’s wind power “mixed tower” business achieved operating revenue of RMB 300 million. Its grouting materials business successfully landed in multiple projects. Its ultra-high performance concrete (UHPC) business has gradually achieved large-scale development. China National Building Materials New Material was selected in the “Top Ten Comprehensive Strength of China Concrete Admixture Enterprises” for four consecutive years. Its customer structure has been continuously optimized, and the signed contract value for municipal infrastructure projects increased 104% year over year. Tonglian Technology and the centralized procurement company completed integration; the battle-procurement business has effectively merged and transitioned. Operating revenue from emerging businesses such as transaction services, data services, and digitalized projects increased 154% year over year.

Western Construction has continuously strengthened innovation-driven development. In 2025, 22 technology achievements of the company reached the level of international advanced or above; it won 16 provincial/ministerial-level science and technology awards; it obtained 153 authorized patents; and contributed to 1 international standard, 4 national standards, and 19 other standards. One subsidiary was recognized as a provincial-level “single champion” enterprise in manufacturing, and two provincial-level scientific research platforms were added.

Notably, over the past year, two national standards in the field of intelligent manufacturing that were led and compiled by Western Construction obtained approval for filing and were launched. At the same time, it has built demonstration points for intelligent manufacturing workshops in multiple locations. The company’s key technologies have strongly empowered the construction of major engineering projects. Its business growth in nuclear power and wind power has been rapid; it signed the Huaneng Xiapu Nuclear Power project with a volume of 1.893 million cubic meters. It also helped set the Guinness World Record for the global longest white exposed-clearwater concrete curtain wall engineering project (length approximately 612 meters) with the scientific research office building project of Zoomlion Heavy Industry Science and Technology Co., Ltd. The Wuhan Yangtze River Center project set the record for the highest domestic “top record” for one-time pumping of all-lightweight concrete.

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