Ascentage Integrated 2025 Net Profit Grows 40.30% Year-over-Year, Overseas Business Becomes Core Growth Engine

Reprinted from: Securities Daily

Reporter Chen Hong

On the evening of March 12, Yaxiang System Integration Technology (Suzhou) Co., Ltd. (hereinafter referred to as “Yaxiang Integration”) released its 2025 annual report. During the reporting period, the company optimized its business layout and focused on high-margin projects, achieving a significant improvement in profitability; it plans to distribute a cash dividend of 16.50 yuan (tax included) for every 10 shares to all shareholders, totaling 352 million yuan, demonstrating strong shareholder returns.

It is understood that Yaxiang Integration is a leading domestic provider of complete solutions for cleanroom system integration engineering. Its main business focuses on cleanroom engineering, electromechanical engineering, and construction services for high-tech electronics industries such as IC semiconductors and optoelectronics. The company has full EPCO service capabilities—engineering design, procurement, construction, and maintenance—and enjoys high brand recognition and market competitiveness within the industry.

In 2025, Yaxiang Integration’s overall operations showed a “slight decline in revenue but a substantial increase in profit.” The company achieved an operating revenue of 4.907 billion yuan, down 8.81% year-over-year; net profit attributable to shareholders of the listed company reached 892 million yuan, up 40.30% year-over-year. Regarding the performance change, the company stated that in recent years, fierce domestic market competition prompted it to proactively adjust its business layout: selectively undertaking higher-margin projects domestically, which led to a decline in revenue; meanwhile, in the Singapore market, leveraging its competitive advantages, it secured several large projects with high gross margins, becoming the core driver of profit growth.

Looking at the business segments, engineering construction remains Yaxiang Integration’s core pillar. In 2025, revenue from this segment was 4.747 billion yuan, a decrease of 10.30% year-over-year, accounting for 96.74% of total revenue. Equipment sales performed strongly, with revenue of 125 million yuan, a significant increase of 90.05%, accounting for 2.55% of total revenue. In terms of profitability, the company’s overall gross profit margin improved from 13.55% in 2024 to 24.57%, an increase of 11.02 percentage points.

The outstanding performance in overseas markets has become a key engine for growth. In 2025, the Singapore branch achieved revenue of 3.571 billion yuan and a net profit of 831 million yuan, making a significant contribution to profitability. During the reporting period, Yaxiang Integration continued to advance the VSMC project in Singapore, signed new electromechanical engineering orders with semiconductor clients, and, thanks to a good reputation for early project delivery, further consolidated its market share in Southeast Asia. As of December 2025, the company’s overseas assets totaled 3.636 billion yuan, accounting for 67.43% of total assets, demonstrating the effectiveness of its globalization strategy.

Zhan Junhao, partner at Fuzhou Gongsun Ce Public Relations Consulting Co., Ltd., told Securities Daily: “The contrast between the company’s profit growth and slight revenue decline in 2025 mainly reflects its shift from a scale-expansion model to a focus on quality improvement. By concentrating on high-value-added businesses and optimizing market layout, the company has effectively enhanced profitability efficiency. Strengthening cost control has further amplified profit resilience, significantly improving overall operational robustness.”

Research and development innovation underpin the company’s technological foundation. During the reporting period, Yaxiang Integration invested a total of 178 million yuan in R&D, accounting for 3.63% of operating revenue. As of December 2025, the company held 85 valid patents and established a database of cleanroom engineering projects, digitizing and scientific analyzing years of engineering experience to support project acquisition and implementation. Additionally, the company possesses industry-leading “Computational Fluid Dynamics Analysis Application Technology” and “Air Sampling and Analysis Technology,” which enable pre-simulation and post-sampling analysis to optimize cleanroom layouts and improve production processes, greatly enhancing project stability and reliability.

“From an industry perspective, the cleanroom engineering sector relies on the rapid development of downstream high-tech industries such as IC semiconductors and optoelectronics, with market demand continuously releasing. Supported by relevant industrial policies and driven by AI and new energy sectors expanding chip production capacity, high-end cleanroom projects—due to their high technical thresholds and strict supporting requirements—are especially in demand. Meanwhile, the trend of overseas semiconductor industry deployment extending into Southeast Asia and other regions has created new market opportunities. Under the dual opportunities of industry upgrading and globalization, companies with core technologies, mature project experience, and cross-border service capabilities are better positioned to seize industry dividends and consolidate leadership,” said Zheng Lei, chief economist at Samoyed Cloud Technology Group.

As of the end of the reporting period, Yaxiang Integration had total orders worth 4.83 billion yuan. Looking ahead, the company stated that in 2026 it will continue its development strategy of “steady domestic market, expanded overseas deployment, and ongoing technological innovation,” focusing on the five major industries of “chips, displays, people, cloud, and energy.” It plans to expand the CNAS accreditation scope of its R&D laboratories, promote digital tools such as AI design assistants for cleanrooms, and strengthen overseas team building to further develop international markets.

Zhan Junhao believes: “Yaxiang Integration’s core competitiveness is gradually upgrading toward a dual-driven model of technological innovation and global operations. With ample order reserves domestically and abroad, and sustained R&D investment laying a solid foundation for long-term growth, the ongoing optimization of business structure is expected to further enhance profitability stability and growth certainty, providing strong support for future development.”

(Edited by Qiao Chuan Chuan)