# Power Construction Corp of China (601669.SHG)

Canonical: https://gigainvestors.com/s/601669.SHG

Analysis as of: 2026-10-16T07:35:39.188Z. Financial observations: FY2007–FY2025.

Listing currency: CNY. Reporting currency: CNY.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: CNY 4.53 per share; close as of 2026-10-15.

## Checklist

### understandable: pass

- 0 revenue declines in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 0

- Years with a net loss: 0

- Operating margin variation: 0.16×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.04×

- FY2017: 0.04×

- FY2018: 0.04×

- FY2019: 0.04×

- FY2020: 0.04×

- FY2021: 0.03×

- FY2022: 0.03×

- FY2023: 0.03×

- FY2024: 0.03×

- FY2025: 0.05×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 3.8%

- ROIC, second-lowest year: 3.3%

- Typical minus recent gross margin: 0.7 pp

- Typical gross margin (annual median): 13.2%

- Recent gross margin (lower of latest and 3-year median): 12.5%

- Years with nonpositive capital: 0

- Capital spending / revenue: 14.9%

- ROIC including acquisitions, ten-year median: -7.4%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 4.5%

- FY2017: 3.5%

- FY2018: 3.6%

- FY2019: 3.3%

- FY2020: 3.8%

- FY2021: 3.9%

- FY2022: 3.9%

- FY2023: 3.7%

- FY2024: 3.3%

- FY2025: 5.1%

### economics: fail

- owner earnings cash conversion below threshold

- incremental invested capital return below threshold

- Owner earnings / net income, 5-yr: -0.90×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: CNY -51B

- Net income, five-year total: CNY 56B

- Return on incremental invested capital: 10.7%

- Working capital / revenue, annual change: -5.0 pp

- Working capital / revenue, change between three-year averages: -30.6 pp

- Working capital / revenue, final three-year average: 2.0%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 0.91×

- FY2022: -1.62×

- FY2023: -1.71×

- FY2024: -1.17×

- FY2025: -0.50×

### management: fail

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 3.6% vs 3.7%

- Per-share earnings: 0.41 to 0.63 (three-year endpoint medians)

- five-year and ten-year diluted share growth both above threshold

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 3.3%

- Ordinary dilution, 5-year annual growth: 1.4%

- Market cap gain: CNY -19B

- Cumulative retained earnings: CNY 56B

- Diluted shares, 10-year annual growth: 3.3%

- Diluted shares, 5-year annual growth: 1.4%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 5.6%

- Per-share value change: CNY 0.22

- Per-share value, starting three-year median: CNY 0.41

- Per-share value, ending three-year median: CNY 0.63

- Buyback history: 0 years

- Debt-funded buybacks: No

- Acquisition spending: CNY 234B

- Cumulative net income, 10 years: CNY 93B

- ROIC, first three-year median: 3.6%

- ROIC, last three-year median: 3.7%

Chart: Earnings per share; fiscal year observations.

- FY2016: CNY 0.42

- FY2017: CNY 0.41

- FY2018: CNY 0.43

- FY2019: CNY 0.40

- FY2020: CNY 0.45

- FY2021: CNY 0.65

- FY2022: CNY 0.68

- FY2023: CNY 0.68

- FY2024: CNY 0.63

- FY2025: CNY 0.53

### accounting: pass

- Sloan accruals: -1.5%

- Receivables to sales index (DSRI): 0.38×

- Restructuring years, last five: 0

- Earnings backed by cash: Yes

- Operating cash / earnings: 3.07×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 1.40×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -4.4%

- FY2017: 0.3%

- FY2018: -1.6%

- FY2019: -0.2%

- FY2020: -3.9%

- FY2021: -0.6%

- FY2022: -1.9%

- FY2023: -0.8%

- FY2024: -1.0%

- FY2025: -1.5%

## Holders

## Price story

Down 48% since Jan 2022 · sales +2%

Story as of 2026-10-16T10:00:05.736Z; price observation 2026-10-15.

### Sales · FY2024–2025

sales +2%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: CNY 239B 

- FY2017: CNY 266B 

- FY2018: CNY 295B 

- FY2019: CNY 348B 

- FY2020: CNY 401B 

- FY2021: CNY 565B 

- FY2022: CNY 572B 

- FY2023: CNY 609B 

- FY2024: CNY 634B 

- FY2025: CNY 646B 

### Gross margin · FY2025

gross margin 12.5%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 12.8% 

- FY2017: 14.0% 

- FY2018: 14.5% 

- FY2019: 13.8% 

- FY2020: 14.1% 

- FY2021: 12.0% 

- FY2022: 12.2% 

- FY2023: 13.2% 

- FY2024: 13.2% 

- FY2025: 12.5% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in engineering & construction; annual sales are CNY 646.2 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:39.188Z); FY2025: revenue 646237283223.32; grossProfit 80862022317.86; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 601669.SHG: Power Construction Corporation of China, Ltd, together with its subsidiaries, engages in the power construction business in China and internationally. It constructs solar, wind, hydro, pumped storage hydropower, nuclear, thermal, transmission, biomass, hydrogen, and other power plants; and railway, highway, urban rail transit, airport, and port. The company also offers building design, construction, and investment; water conservancy, wastewater and solid waste disposal, and water environmental management; investment and financing; planning design; engineering construction; equipment manufacturing; and operation management. In addition, it is involved in survey and design; monetary financial and capital investment services; water pollution treatment; project investment, construction, and operation; software and information technology services; and insurance broker. The company was founded in 2011 and is headquartered in Beijing, China. Power Construction Corporation of China, Ltd operates as a subsidiary of Power Construction Corporation of China.

### Why customers stay

Margins ranged from 12.5% to 13.2% during 2023–25; it earns 3.8% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:39.188Z); FY2023: grossProfit / revenue = 13.2%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:39.188Z); FY2024: grossProfit / revenue = 13.2%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:39.188Z); FY2025: grossProfit / revenue = 12.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:39.188Z); 10-year return on capital observations [[2016,0.04509048873144594],[2017,0.03494553650432536],[2018,0.03601726784261289],[2019,0.03282782996309891],[2020,0.038272944268525635],[2021,0.038532635852636186],[2022,0.039037670144871466],[2023,0.037067822803053437],[2024,0.03284663372753538],[2025,0.05058522123580879]]; median 0.03767038353578954. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Can it raise prices

Kept about a 12% gross margin through 2022 cost inflation.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:39.188Z); Gross margin observations: [[2021,0.12007471541308641],[2022,0.12215364587164086],[2023,0.13232771485065942]]; range within 2 percentage points.

### Where the cash goes

Paid dividends in 10 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:39.188Z); FY2021: growth capex 29617668413.510002; upkeep 12829879000; owner earnings 9008626310.032. Growth capex / owner earnings = 3.287700854072256.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:39.188Z); Dividend observations: [[2016,10519420694.53],[2017,12472178592.5],[2018,15608161526.62],[2019,1481558551],[2020,602206454],[2021,1627290782],[2022,1508091006],[2023,19353062528],[2024,19509455000],[2025,18698591365.3]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 54.5% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 601669.SHG SharesStats.PercentInsiders = 54.53 percentage points; cache date 2026-10-16.

### What the price says

The price is 0.1 times annual sales; cash earnings are negative.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:39.188Z); Closing price 4.53 CNY; reporting-to-trading FX 1; FY2025 annual sales per share 34.071140066059684; price multiple 0.13295710067866517. FY2025 cash earnings/share -0.2633249852884694. Closing-price date 2026-10-15.

## Monthly share-price history (CNY per share)

- 2016-10: CNY 6.79 per share

- 2016-11: CNY 8.04 per share

- 2016-12: CNY 7.26 per share

- 2017-01: CNY 7.25 per share

- 2017-02: CNY 7.61 per share

- 2017-03: CNY 7.68 per share

- 2017-04: CNY 8.32 per share

- 2017-05: CNY 7.94 per share

- 2017-06: CNY 7.92 per share

- 2017-07: CNY 8.11 per share

- 2017-08: CNY 8.19 per share

- 2017-09: CNY 8.03 per share

- 2017-10: CNY 7.82 per share

- 2017-11: CNY 7.27 per share

- 2017-12: CNY 7.22 per share

- 2018-01: CNY 7.33 per share

- 2018-02: CNY 7.34 per share

- 2018-03: CNY 6.71 per share

- 2018-04: CNY 6.36 per share

- 2018-05: CNY 5.84 per share

- 2018-06: CNY 5.36 per share

- 2018-07: CNY 5.67 per share

- 2018-08: CNY 5.37 per share

- 2018-09: CNY 5.35 per share

- 2018-10: CNY 4.73 per share

- 2018-11: CNY 4.71 per share

- 2018-12: CNY 4.86 per share

- 2019-01: CNY 5.00 per share

- 2019-02: CNY 5.63 per share

- 2019-03: CNY 5.77 per share

- 2019-04: CNY 5.43 per share

- 2019-05: CNY 4.92 per share

- 2019-06: CNY 5.29 per share

- 2019-07: CNY 4.96 per share

- 2019-08: CNY 4.68 per share

- 2019-09: CNY 4.63 per share

- 2019-10: CNY 4.46 per share

- 2019-11: CNY 4.08 per share

- 2019-12: CNY 4.34 per share

- 2020-01: CNY 4.07 per share

- 2020-02: CNY 4.25 per share

- 2020-03: CNY 3.94 per share

- 2020-04: CNY 3.57 per share

- 2020-05: CNY 3.41 per share

- 2020-06: CNY 3.46 per share

- 2020-07: CNY 4.21 per share

- 2020-08: CNY 4.07 per share

- 2020-09: CNY 3.77 per share

- 2020-10: CNY 3.84 per share

- 2020-11: CNY 4.22 per share

- 2020-12: CNY 3.88 per share

- 2021-01: CNY 3.78 per share

- 2021-02: CNY 3.87 per share

- 2021-03: CNY 4.12 per share

- 2021-04: CNY 3.82 per share

- 2021-05: CNY 3.90 per share

- 2021-06: CNY 3.87 per share

- 2021-07: CNY 4.87 per share

- 2021-08: CNY 6.21 per share

- 2021-09: CNY 8.47 per share

- 2021-10: CNY 8.21 per share

- 2021-11: CNY 6.57 per share

- 2021-12: CNY 8.08 per share

- 2022-01: CNY 8.66 per share

- 2022-02: CNY 7.65 per share

- 2022-03: CNY 7.29 per share

- 2022-04: CNY 7.76 per share

- 2022-05: CNY 7.81 per share

- 2022-06: CNY 7.87 per share

- 2022-07: CNY 7.25 per share

- 2022-08: CNY 7.72 per share

- 2022-09: CNY 6.97 per share

- 2022-10: CNY 7.04 per share

- 2022-11: CNY 7.64 per share

- 2022-12: CNY 7.08 per share

- 2023-01: CNY 7.02 per share

- 2023-02: CNY 7.18 per share

- 2023-03: CNY 7.13 per share

- 2023-04: CNY 7.69 per share

- 2023-05: CNY 6.63 per share

- 2023-06: CNY 5.74 per share

- 2023-07: CNY 6.00 per share

- 2023-08: CNY 5.15 per share

- 2023-09: CNY 5.35 per share

- 2023-10: CNY 5.26 per share

- 2023-11: CNY 4.99 per share

- 2023-12: CNY 4.89 per share

- 2024-01: CNY 5.03 per share

- 2024-02: CNY 5.11 per share

- 2024-03: CNY 4.97 per share

- 2024-04: CNY 5.08 per share

- 2024-05: CNY 5.35 per share

- 2024-06: CNY 5.59 per share

- 2024-07: CNY 5.50 per share

- 2024-08: CNY 4.80 per share

- 2024-09: CNY 5.64 per share

- 2024-10: CNY 5.50 per share

- 2024-11: CNY 5.56 per share

- 2024-12: CNY 5.46 per share

- 2025-01: CNY 5.08 per share

- 2025-02: CNY 5.00 per share

- 2025-03: CNY 4.79 per share

- 2025-04: CNY 4.72 per share

- 2025-05: CNY 4.72 per share

- 2025-06: CNY 4.87 per share

- 2025-07: CNY 6.83 per share

- 2025-08: CNY 5.92 per share

- 2025-09: CNY 5.58 per share

- 2025-10: CNY 5.64 per share

- 2025-11: CNY 5.43 per share

- 2025-12: CNY 5.20 per share

- 2026-01: CNY 5.66 per share

- 2026-02: CNY 5.73 per share

- 2026-03: CNY 5.74 per share

- 2026-04: CNY 5.59 per share

- 2026-05: CNY 5.34 per share

- 2026-06: CNY 4.70 per share

- 2026-07: CNY 4.89 per share

- 2026-08: CNY 4.61 per share

- 2026-09: CNY 4.57 per share

- 2026-10: CNY 4.56 per share

## Annual estimated value (CNY per share)

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.