BJ Ent Water (Beijing Enterprises Water Group Ltd.) reported a mixed first-half 2026 performance, with revenue sliding while profit declined more sharply amid lower construction activity and technical services income.
Financial Highlights (1H 2026) • Revenue: RMB 9.87 billion, down 5.6% year on year • Gross profit margin: 40%, unchanged from 1H 2025 • Profit attributable to shareholders: RMB 0.69 billion, down 23.3% • Basic EPS: RMB 0.0643 • Interim cash dividend: HK 5.54 cents per share (payable 26 Oct 2026; shareholders can elect HKD or RMB)
Operating Metrics • New daily design capacity added: 244,138 tons, entirely from entrustment-operation projects • Total daily design capacity: 42.57 million tons across 1,210 plants and town-size facilities • Water treatment services contributed 60% of revenue (RMB 5.91 billion) and 90% of segment profit • Urban resources services (via 72.4%-owned Beijing Enterprises Urban Resources Group) generated RMB 3.13 billion, up 3%, with profit contribution of RMB 14.7 million • Construction services revenue fell 30% to RMB 0.50 billion as BOT project activity slowed
Geographic Breakdown • Mainland China produced 89% of group revenue (RMB 8.75 billion) • Overseas operations—Portugal, Singapore, Australia, New Zealand, Saudi Arabia—delivered RMB 1.13 billion
Balance Sheet & Liquidity • Cash and cash equivalents: RMB 8.11 billion (-15.2% since end-2025) • Total borrowings: RMB 74.82 billion; net gearing edged up to 1.20× equity • New bond issues during the period: RMB 4.20 billion; bond repayments: RMB 3.00 billion • Average financing cost declined; multiple bond tranches successfully issued
Strategic Developments • Continued pivot to asset-light model: pilot digital O&M contracts and supply-chain platform expansion • Intensified cash-flow management, receivables collection and asset disposals • Technology push: rollout of “Enki” AI process-control agent and progress in anammox and granular sludge R&D • Sustainability focus: safety, ESG metrics and green supply-chain standards
Outlook Management reiterated commitment to “customer-centric, resilience-driven, innovation-led” strategy under China’s 15th Five-Year Plan, aiming to balance incremental expansion with revitalisation of existing assets while containing leverage and financing costs.