Xianhui Technology secures a sales contract worth 945 million yuan with CATL again

On March 6, Xianhui Technology (688155.SH) announced that from November 19, 2025, through the date of this announcement, the company and its controlling subsidiaries, Fujian Dongheng, have cumulatively received from CATL and its controlling subsidiaries various types of contracts and appointment notice forms with a total value of approximately RMB 945 million (excluding tax). This contract is a contract for the company’s daily operating activities. The company has already fulfilled the internal approval procedures for signing this contract.

Regarding obtaining CATL orders, Xianhui Technology stated that, due to the fact that the new energy vehicle market is in a phase of rapid development, the implementation of this contract provides a favorable market opportunity. In addition, the company has certain advantages in technical quality indicators of the equipment itself—such as flexibility and intelligence, assembly precision, and operational stability—as well as the capacity for subsequent maintenance services. As a result, the two parties will strengthen their cooperation on the basis of their existing good collaboration. If this sales contract is smoothly fulfilled, it is expected to have a positive impact on the company’s performance for the 2025–2026 period, helping to enhance the company’s sustainable profitability and core competitiveness.

According to publicly available information, Xianhui Technology mainly engages in the research and development, production, and sales of various intelligent manufacturing equipment, and entered CATL’s battery automation production line supply chain in 2019. The announcement discloses that from 2022 to 2024, Xianhui Technology signed contracts (excluding tax) with CATL and its controlling subsidiaries with contract amounts (in ten-thousand yuan) of 1.597 billion, 2.078 billion, and 2.01 billion, respectively, accounting for 88.46%, 84.86%, and 81.57% of the company’s revenue for the respective year.

In 2025, Xianhui Technology also disclosed three times the contract information it entered into with CATL. According to its announcements from last April, August, and November, from November 20, 2024, to November 18, 2025, the company and Fujian Dongheng cumulatively received from CATL and its controlling subsidiaries various types of contracts and appointment notice forms with a total value of approximately RMB 2.182 billion (excluding tax).

According to its 2025 annual performance pre-announcement disclosed on February 27, last year the company achieved revenue of RMB 2.994 billion, up 21.52% year over year; net profit attributable to shareholders was RMB 352 million, up 57.75% year over year.

Regarding the changes in performance, Xianhui Technology said that this was mainly because the company implemented the lean management philosophy deeply, improving operating efficiency and thus increasing the gross profit margin of its main business. Second, the company’s overseas projects have significant advantages in gross profit margin; in 2025, the overseas projects for which revenue recognition was completed increased compared with 2024, effectively driving up the gross profit margin of the company’s main business.