Guangdong Construction Engineering Group Co Ltd
Guangdong Construction Engineering Group Co Ltd is a construction and engineering firm operating in the Industrials sector, generating revenue through engineering services and construction projects.
Business. Guangdong Construction Engineering Group Co Ltd is a construction and engineering firm operating in the Industrials sector, generating revenue through engineering services and construction projects.
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- Macro
- Rate decisionBank of England rate decision (press conf.)2026-08-06 · GB
- Rate decisionReserve Bank of Australia rate decision (press conf.)2026-08-12 · AU
- Rate decisionNorges Bank rate decision (press conf.)2026-08-20 · NO
- Rate decisionSveriges Riksbank rate decision (press conf.)2026-09-03 · SE
- Rate decisionBank of Canada rate decision (press conf.)2026-09-09 · CA
- Rate decisionEuropean Central Bank rate decision (press conf.)2026-09-10 · EU
- Macro & political
- ElectionSE Swedish Election2026-09-14 · SE
- ElectionUS U.S. Midterms2026-11-03 · US
- ElectionFR French Legislative2027-06-01 · FR
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Synthesis
Guangdong Construction Engineering Group Co Ltd is a construction and engineering firm operating in the Industrials sector, generating revenue through engineering services and construction projects.
The company maintains a highly leveraged capital structure, with total liabilities of CNY 134.4 billion against total equity of CNY 14.4 billion, resulting in a debt-to-equity ratio of 2.72. Long-term debt stands at CNY 39.2 billion. Liquidity is tight, evidenced by a current ratio of 1.0 and negative operating cash flow of CNY -3.5 billion. The firm generated negative free cash flow of CNY -1.9 billion, driven by capital expenditures of CNY -3.2 billion. The market capitalization is CNY 11.8 billion, trading at a price-to-book ratio of 0.82, indicating the market values the company below its book equity.
Profitability metrics show a net income of CNY 1.1 billion on revenue of CNY 68.9 billion, yielding a net margin of approximately 1.6%. Return on equity is 7.93%, while return on assets is a modest 0.77%. The gross profit is CNY 7.4 billion, and operating income is CNY 1.6 billion. Without specific cohort median data provided in the input, these returns are assessed in isolation, though the low ROA suggests significant asset intensity typical of the construction sector. The EV/EBITDA multiple is 32.54, which appears elevated relative to the low P/E of 10.31, potentially reflecting high net debt or low EBITDA relative to earnings.
- High leverage with a debt-to-equity ratio of 2.72 and total liabilities exceeding CNY 134 billion.
- Negative operating cash flow of CNY -3.5 billion and free cash flow of CNY -1.9 billion indicate cash burn.
- Trading at a discount to book value with a P/B ratio of 0.82 and a P/E ratio of 10.31.
- Low return on assets (0.77%) reflects the asset-intensive nature of the construction business.
- Medium liquidity risk due to a current ratio of 1.0 and negative net cash position.
Bull / Bear case
Generated · model-assistedRevenue grew at a 47.7% CAGR over four years, demonstrating strong historical top-line expansion capabilities.
Net income increased 5.3% year-over-year, indicating recent profitability resilience despite broader revenue fluctuations.
Cash conversion ratio of 2.07 significantly outperforms the cohort median of 1.2, highlighting strong operational cash generation.
Free cash flow improved by 20.2% year-over-year, suggesting better management of capital expenditures and working capital.
Debt-to-equity ratio of 2.72 is in the bottom quartile, indicating significantly higher leverage than peers.
Operating margin of 2.26% falls in the bottom quartile, reflecting thin profitability compared to industry standards.
High credit risk flag suggests significant potential for loan losses or counterparty defaults impacting financial stability.
Net margin of 1.65% is below the cohort median of 5.28%, indicating weaker bottom-line performance than peers.
Medium liquidity risk flag indicates potential challenges in meeting short-term financial obligations promptly.
In focus — financials by report
Revenue ¥80.86B, −2,1% YoY; Operating income −0,5% YoY.
- ▍Revenue ¥80.86B, −2,1% YoY
- ▍Operating income −0,5% YoY
- ▍Net income −10,3% YoY
- ▍Free cash flow −73,5% YoY
- ▍Net margin 1.9%
Revenue ¥82.57B, +475,0% YoY; Operating income +371,9% YoY.
- ▍Revenue ¥82.57B, +475,0% YoY
- ▍Operating income +371,9% YoY
- ▍Net income +421,1% YoY
- ▍Free cash flow −529,2% YoY
- ▍Net margin 2.1%
Revenue ¥14.36B; Operating income ¥426.5M.
- ▍Revenue ¥14.36B
- ▍Operating income ¥426.5M
- ▍Net margin 2.3%
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- Ev To Operating Incomeenterprise_value / operating_income
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- Enterprise Valuemarket_cap - net_cash
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- Guangdong Construction Engineering Group Co Ltd Market data — financials · 2026-07-06