Blue-Chip "Stability" Lays a Foundation for "Proposed" Promising Development—2025 Annual Report Performance Review of Shanghai Main Board Companies

As of April 30, 2026, 1,706 companies listed on the Shanghai Stock Exchange (SSE) Main Board had disclosed their 2025 annual reports. Collectively, these companies achieved total operating revenue of RMB 49.49 trillion, a slight year-on-year decrease of 0.2%, and a net profit of RMB 4.40 trillion, up 0.5% year-on-year. Net profit excluding non-recurring items reached RMB 4.25 trillion, marking a year-on-year increase of 1.9%. The data highlights the blue-chip characteristics of the SSE Main Board, with stable and improving operational quality, continuous optimization of industrial structure, and solid progress in transformation and upgrading. The steadiness and resilience of these "ballast stones" are increasingly evident.

I. Core Performance Shows Stable Improvement

Leading companies remain strong. Net profit of SSE 50 Index constituents increased by 4.6%. SSE 180 Index constituents continued to contribute nearly 70% of total revenue and over 90% of net profit, with revenue and net profit rising by 0.6% and 2.8% respectively—significantly outperforming the overall market. Over a five-year period, the compound annual growth rates (CAGR) of revenue and net profit for the SSE Main Board reached 4.4% and 5.9%, respectively. For SSE 180 companies, the five-year revenue and net profit CAGRs were 4.9% and 7.3%, clearly reflecting the stabilizing role of blue-chip firms.

Key indicators remain steady. Operating cash inflow of real economy enterprises reached RMB 4.12 trillion, up 1.4% year-on-year, covering profits by 2.4 times—an increase of 21 percentage points—indicating a stronger cash flow buffer. The overall debt-to-asset ratio remained stable at 59.5%, and financing costs fell slightly to 2.9%, down 0.1 percentage points year-on-year, indicating steady improvement in major operational metrics.

Key industries maintain stability. Emerging sectors are gaining momentum. With iterative upgrades in AI computing power, net profits in electronics and computer sectors grew 27% and 15% year-on-year. Domestic substitution and global expansion continued to deepen, with net profits in machinery, automobiles, and pharmaceuticals & biotechnology increasing by 16%, 15%, and 11%. Out-licensing deals by innovative pharmaceutical companies exceeded USD 20 billion. Traditional sectors also saw profit growth: steel, electricity, textiles, and building materials posted net profit increases of 225%, 121%, 60%, and 6%, respectively. Non-ferrous metals benefited from demand driven by new energy and high-end manufacturing, while investment returns from non-bank financial equity markets boosted net profits by 36% and 27%, respectively.

Dividend returns remain solid. In 2025, 1,223 companies announced dividend plans, with full-year payouts reaching RMB 1.82 trillion, up 2.8% year-on-year, corresponding to an overall dividend yield of 3.0%. Among them, SSE 180 companies increased their dividend payments by 3.3%, with a dividend yield of 3.4%. Mid-year dividends became increasingly common, with 451 companies declaring interim dividends—112 more than the previous year—totaling RMB 687 billion, up 20%. Before the 2026 Lunar New Year, dividends paid reached RMB 350.1 billion, a year-on-year increase of 15%.

II. Transformation and Upgrading Reach a New Level

Industrial structure shifts toward new sectors. Revenue and net profit in the manufacturing sector increased by 5% and 12% year-on-year, significantly outperforming the broader real economy, contributing 36% to total corporate profits—up 6 percentage points from the previous year. High-tech manufacturing showed strong momentum, with revenue and profit growth of 11% and 20%, accelerating 5 and 17 percentage points respectively compared with last year. High-tech services steadily expanded their profitability, with revenue and net profit rising 1% and 4%, creating a two-way synergy with high-end manufacturing and further consolidating the foundation for industrial optimization. Over the past five years, the share of high-tech manufacturing and services in related industry revenue and net profit has risen steadily to 52% and 47%, highlighting the features of high-quality development. The composition of the top 50 listed companies by market capitalization has undergone a significant transformation, with the number of technology-oriented companies doubling compared with a decade ago.

Core technologies make breakthroughs. SSE Main Board companies invested a total of RMB 924.5 billion in R&D, up 4% year-on-year. "First Set (of Major Technical Equipment)" led the world globally: Dongfang Electric independently developed the G15H, a 15 MW pure hydrogen gas turbine, filling a technological gap in China's hydrogen energy equipment and placing the country in the global top tier of hydrogen energy applications. Sinomach Heavy Equipment successfully developed the world's largest mechanical 168 MN hot forging press, providing essential equipment for automotive, aerospace, and electronics high-end manufacturing. Strategic industrial chains were strengthened: Northern Rare Earth achieved breakthroughs across the full chain of key technologies, setting record production levels while maintaining industry-leading revenue, profit, and market value, ensuring the stability of the rare earth supply chain. Changfei Optical Fiber became the first to achieve kilometer-scale mass production of hollow-core optical fiber, mastering all three major preform fabrication processes independently, with a 100% self-sufficiency rate for high-end products. Key products also achieved independent breakthroughs: Aerospace Electronics' BeiDou satellite application chip project passed high-level acceptance, overcoming technical challenges in rapid on-orbit laser link construction and stabilization. GigaDevice achieved large-scale production of 45nm SPI NOR Flash, Shengyi Technology's M9-grade copper-clad laminates, and Honghe Technology's high-end electronic cloth broke overseas monopolies.

Traditional industries are evolved. Leading traditional sectors are moving toward high-end development. Gross margins in non-ferrous metals, steel, and building materials rose by 2.6, 2.8, and 2.9 percentage points in 2025. China Aluminum advanced the domestic production of high-end aluminum for aerospace and new energy vehicles. Baofeng Energy built a fully integrated coal–coke–methanol–olefin industrial chain, focusing on high-margin products like photovoltaic EVA and specialty polyolefins to capture high-demand, high-growth markets. Digital intelligence is upgrading manufacturing: Baosteel's C308 unit control system achieved full-stack domestic production and "smart manufacturing" leap, with six products, including non-oriented silicon steel B50AM250, launched globally for the first time. Luoyang Molybdenum applied autonomous driving and 5G technologies to create China's first remotely operated smart mine, increasing production efficiency by over 40%. Green transformation is accelerating: leading automobile manufacturers reported 37% of revenue from new energy vehicles, up 6 percentage points year-on-year. Thermal power leaders, including Huaneng International and Guodian Power, surpassed 40% in clean energy installed capacity. Yangtze Power's cascade hydropower stations generated over 300 billion kWh annually, with hydropower, wind, and solar capacity continuing to lead globally.

III. Export Expansion Achieves Growth in Both Scale and Quality

Export growth is rapid. In 2025, Shanghai Main Board companies generated RMB 7.3 trillion in overseas revenue and RMB 0.9 trillion in overseas profit, representing year-on-year increases of 14% and 21%, respectively—accelerating by 7 and 12 percentage points compared with the previous year. More industry players actively expanded into global markets, with half of the companies and 60% of industries achieving double-digit growth in overseas revenue. Major ports including Shanghai International Port Group (SIPG), Ningbo Port, and Qingdao Port set new records in container and cargo throughput, rising 8.3% and 5.5% year-on-year, while SIPG's container throughput maintained its world-leading position for the sixteenth consecutive year.

Export structures are upgraded. Over the past five years, the share of overseas revenue from emerging industries on the SSE Main Board increased by 8 percentage points, with a 25% year-on-year growth in 2025. Exports of electronic and digital products continued to rise. For example, OmniVision's automotive image sensors hold the world's largest market share, providing high-safety visual perception support for advanced autonomous driving. Green energy equipment exports also surged: TBEA produced ultra-high-voltage low-noise reactors and high-efficiency transformers, winning billion-dollar contracts in Saudi Arabia. The export strategy is shifting from "product output" to "ecosystem output", entering a new stage of full value-chain deployment. Yutong Bus transformed from a "manufacturing + product sales" model to a "manufacturing service + solution" model, achieving a 22% increase in bus exports, with overseas gross margins exceeding domestic levels by 10 percentage points. Haier Smart Home implemented a "trinity" localization strategy, with emerging market revenue rising over 24%. Kingfa Technology pursued a "partnered globalization" approach following downstream clients, with overseas production capacity exceeding 400,000 tons and overseas revenue up 18%.

Export markets are expanded. Emerging markets and "Belt and Road" Initiative countries have become key growth engines. Gan & Lee Pharmaceuticals signed a technology transfer and supply agreement for insulin glargine in Brazil exceeding RMB 3 billion, breaking long-term monopolies held by U.S. pharmaceutical giants. Sany Heavy Industry achieved a 55% increase in African revenue in 2025, maintaining the leading global export volume for mechanical and concrete machinery products. CRRC steadily advanced major Belt and Road projects, securing bulk orders for new-energy locomotives in Central Asia, while diesel locomotives were introduced for the first time to Cameroon, Morocco, and other African markets.

IV. Consumption and Investment Show Frequent Highlights

Consumption upgrade rebounds. Traditional consumer sectors are iterating and upgrading: household appliances achieved a 4% increase in net profit, with Hisense Vision's large-screen TVs (75 inches and above) accounting for 39% of sales. Ecovacs' flagship intelligent cleaning robots debuted at international exhibitions, achieving a 118% increase in net profit. Beverage, dairy, and condiment sectors showed steady growth; Haitian Flavor Health Products recorded over 48% growth. Textile and apparel profits surged 60%, with established brands such as Glorysee actively optimizing channels and products through internal upgrades. Offline retail accelerated transformation: Jiajia Yue enhanced store layouts and product structure, achieving simultaneous growth in foot traffic and profit, with net profit up 52% year-on-year. AI is reshaping the consumer ecosystem: leveraging the "Intelligent Brain", Tsingtao Brewery established an ultra-fast freshness chain achieving half-hour freshness for raw beer, while Yili Group realized second-level supply chain responsiveness, with net profit growing 37%. Smart wearable devices are increasingly adopted, with Huaqin Technology reporting 56% revenue growth. Service consumption scenarios are integrating across sectors: the Small Commodity City, relying on the International Trade City and Global Digital Trade Center, created a "shopping tourism" model attracting over 230,000 daily visitors. Passenger transport and load factors of China's three major airlines improved year-round, while Shanghai and Baiyun airports saw annual passenger throughput increase by 8% and 9%, respectively, indicating sustained vitality in travel-related consumption.

Investment structure optimizes. Supported by the strengthened implementation of the "Two New" policies, investment expenditure in marine equipment and aerospace equipment increased by 524% and 16%, respectively. Investment in livelihood-related sectors remained robust: lighting equipment, wind and solar power, and thermal energy investment grew 119%, 7%, and 7%, while commercial retail, hotels & catering, and tourism & scenic areas rose 23%, 20%, and 8%. Ultra long-term special treasury bonds and local government special bonds were issued in an orderly manner, driving investment expenditure growth of 38%, 11%, and 25% in infrastructure sectors including railways and highways, power grid equipment, and other power generation equipment, respectively. Investment in new infrastructure accelerated notably: communication equipment, consumer electronics, and electronic components rose 24%, 39%, and 55%, respectively. China's three major telecommunications operators continued expanding computing infrastructure and cloud computing: China Mobile's intelligent computing capacity reached 92.5 EFLOPS, establishing nationwide low-latency computing zones; 5G base stations exceeded 2.77 million. Emerging industries such as low-altitude aviation, embodied intelligence, and 6G are becoming new drivers for infrastructure investment growth.

V. M&A and Restructuring Activity Increased Significantly

M&A transactions are increasingly active. 2025 marked the first full calendar year following the implementation of the "Six Measures for M&A". Supported by policy incentives and strong market demand, the SSE Main Board recorded nearly 900 new asset restructuring transactions from the beginning of 2025 through Q1 2026, with total deal value approaching RMB 1 trillion. Among these, 72 major asset restructurings were newly disclosed, with transaction values exceeding RMB 300 billion, reflecting a new ecosystem focused on "optimizing existing assets and emphasizing long-term value".

Typical cases are landed. Large-scale, innovative acquisitions continued to emerge. Zhejiang Huhangyong planned to acquire Zhenyang Development, achieving rapid growth in "A+H" dual listings with a market capitalization exceeding RMB 100 billion. Industry mergers and shareholder capital injections worked in tandem, increasingly reinforcing consensus on quality enhancement and investment value. Zijin Mining continued acquiring critical mineral resources while strengthening operations, achieving a five-year net profit CAGR of 35% and a market value increase exceeding RMB 500 billion, consolidating its leading position in the mining sector. China Shenhua completed the acquisition of RMB 133.6 billion in coal and power assets, enhancing the integrated "coal-power-transportation" business model.

M&A-driven transformation supports high-quality development. Songfa Ceramics acquired large shipbuilding company Hengli Heavy Industry for RMB 8 billion, transitioning into high-end equipment manufacturing; its net profit reached RMB 2.655 billion in 2025, and Q1 2026 profit exceeded RMB 1 billion, rapidly becoming an industry chain leader with a market value over RMB 100 billion. Wego Holdings acquired leading pre-filled medical device company Wego Prefills in an RMB 8.5 billion deal, leveraging its own medical membrane technology with the target's client resources to enter high-end filtration and upstream biopharmaceutical products, achieving a "1+1>2" synergy. Dongyangguang acquired Qinhuai Data, a leading large-scale data center operator, transitioning from hardware manufacturing to AI computing infrastructure operations.

VI. The Ecosystem for Investment and Financing Coordination Continued to Improve

The "Corporate Value and Return Enhancement" action plan achieves results. By 2025, 1,293 companies had disclosed action plans under this initiative, accounting for nearly 80% of SSE Main Board listings, with full coverage among core index companies such as SSE 50 and SSE 180. More than half of the companies that disclosed plans achieved net profit growth, with over 200 companies reporting growth exceeding 50%. Key operational indicators significantly outperformed overall market levels, dividend payouts continued to increase, and R&D investment accelerated, effectively pressing the "fast-forward button" for long-term development. Share repurchases and equity increases became normalized: following the completion of large-scale repurchases in 2024, 2025 saw additional measures, with over 170 new repurchase disclosures totaling an upper limit of more than RMB 63 billion, and roughly 180 equity increase disclosures totaling an upper limit of over RMB 64 billion. Leading companies such as Haier Smart Home and Yangtze Power effectively stabilized market expectations and boosted investor confidence through large-scale buybacks and shareholder increases.

Sustainability gains deeper traction. 2025 marked the 20th anniversary of China's "Two Mountains" principle and the first mandatory ESG disclosure period for the SSE Main Board. A total of 1,114 companies issued standalone ESG reports, with a disclosure rate of 65.3%, up 2.3 percentage points year-on-year—a record high. ESG ratings steadily improved: over 70% of companies received China Securities ESG ratings between AAA and BB, with more than 20% of ratings rising compared with the previous year. Guided by sustainable development principles, SSE Main Board companies actively practiced social responsibility. In employment guarantee, they provided approximately 17 million jobs, maintaining year-on-year growth, and indirectly supported over 240 million jobs nationwide, accounting for nearly 30% of the national workforce based on GDP share calculations. In green and low-carbon initiatives, more than 90% of mandatory ESG disclosure companies prioritized climate change response, and over 80% developed mid- to long-term transition plans. Investments in greenhouse gas reduction totaled over RMB 30 billion, achieving a reduction of 1.06 billion tons of CO₂ equivalent. In rural revitalization, companies contributed over RMB 70 billion through industrial support, employment absorption, and other measures, benefiting nearly 28 million people and consolidating poverty alleviation achievements while advancing rural development.

Long-term investment market structure accelerates formation. By the end of 2025, the SSE ETF market exceeded RMB 4.2 trillion, up 55% year-on-year, with stock ETFs accounting for RMB 2.7 trillion, up 30%. Among newly issued products, more than 75% were stable, long-term oriented strategies such as broad-based, dividend, and cash-flow ETFs, attracting sustained capital inflows. On the funding side, mid- to long-term investors increased their SSE ETF holdings by 65% year-on-year, contributing over 40% of the market's ETF growth. By the end of 2025, excluding ETF-linked funds, institutional investors' holdings of SSE ETFs accounted for 65% of total ETF assets, up 6 percentage points from year-end 2024, further emphasizing the market's long-term allocation characteristics.

VII. Risk Resolution Advanced in an Orderly Manner

Delisting system is strictly enforced. Delisting reform has adhered to market-oriented, law-based, and normalized principles, with efforts made to foster a market environment featuring orderly entry and exit as well as timely clearance of underperforming companies. Poor-performing companies have been precisely removed from the market. Since early 2026, eight Main Board companies triggered or were subjected to mandatory delisting, including seven companies hitting financial delisting criteria—a 75% year-on-year increase. Additionally, 29 companies triggered financial delisting indicators after their annual reports and received delisting risk warnings. Diversified exit channels have continued to expand. One company voluntarily delisted, another completed a clean asset swap, and three companies are undergoing absorption mergers, supporting efficient industrial integration.

Risk resolution has advanced through a balanced approach combining easing and prevention measures. Delisting risks have been mitigated and resolved in accordance with laws and regulations, while the legitimate rights and interests of investors have been firmly protected. Under the strong disciplinary effect of the new delisting rules, which promote rectification through delisting pressure, four companies fundamentally resolved their fund occupation issues, recovering over RMB 3 billion, effectively mitigating regulatory delisting risks. Fifteen companies improved financial indicators sufficiently to apply for removal of delisting risk warnings. The 2025 annual reports showed that some companies faced performance pressure due to industry cycles. These firms proactively pursued breakthroughs through cost reduction, efficiency improvement, market expansion, and product optimization to overcome operational challenges.

Alongside annual report disclosures, SSE Main Board companies released their Q1 2026 results. Overall, performance accelerated, with total revenue of RMB 11.96 trillion, net profit of RMB 1.23 trillion, and net profit excluding non-recurring items of RMB 1.20 trillion, up 2.5%, 3.4%, and 3.9% year-on-year, respectively. Growth further expanded in sectors including non-ferrous metals, electronics, power equipment, and textiles & apparel, while banking maintained strong growth. Oil & petrochemicals and commercial retail sectors reversed declines to post gains. Overall, with accelerated policy effects and continuous growth of new industrial drivers, SSE Main Board companies began the "15th Five-Year Plan" period on a solid footing.