Sichuan Hexie Shuangma Co., Ltd. (000935.SZ) Bundle
Sichuan Hexie Shuangma Co., Ltd., founded in 1998 as Sichuan Shuangma Cement Co., Ltd. and rebranded in February 2022, has transformed from a regional cement producer into a diversified group spanning building materials, biopharmaceutical R&D, peptide API production and private equity asset management; in 2024 it reported revenue of 1.07 billion CNY and a net income of 309.38 million CNY (a decline of 68.61% year-on-year), while its Shenzhen-listed shares (000935.SZ) traded at 24.43 CNY on December 12, 2025, implying a market capitalization of 18.50 billion CNY and 757.22 million shares outstanding; controlling shareholder Beijing Harmony Hengyuan Technology holds 202,446,032 shares (26.52%) with cumulative pledged shares of 107,406,667 (14.07%) and a recent pledge extension of 16,666,667 shares (2.18%) to June 18, 2026, and the company leverages a workforce of ~956 employees to operate two main segments-building materials and asset management-supplying cement, clinker and aggregates, managing private equity funds, producing peptide APIs (including semaglutide, liraglutide and tilpotide) and investing across photovoltaics, chip design and intelligent equipment; regionally it commands a ~30% market share in southwestern China with over 50 distribution centers and an 85% customer loyalty rating, while published projections anticipate net profits of 3.5 billion CNY in 2024, 6.5 billion CNY in 2025 and 9.5 billion CNY in 2026-details explored in the sections that follow
Sichuan Hexie Shuangma Co., Ltd. (000935.SZ): Intro
History- Founded in 1998 as Sichuan Shuangma Cement Co., Ltd., originally focused on cement production and sales in China.
- In February 2022 the company rebranded to Sichuan Hexie Shuangma Co., Ltd., reflecting diversification beyond traditional cement manufacturing.
- Post-rebrand, business scope expanded into biopharmaceutical R&D, peptide API production, and private equity investment fund management.
- Corporate information and a detailed company profile can be found here: Sichuan Hexie Shuangma Co., Ltd.: History, Ownership, Mission, How It Works & Makes Money
| Metric | 2023 | 2024 | Change |
|---|---|---|---|
| Revenue (CNY) | 1.214 billion | 1.070 billion | -11.87% |
| Net income (CNY) | 986.00 million | 309.38 million | -68.61% |
| Reported business focus | Cement (historical), Biopharma R&D, Peptide API, Private equity fund management | ||
| Stock price (as of 12-Dec-2025) | 24.43 CNY | ||
| Market capitalization (as of 12-Dec-2025) | 18.50 billion CNY | ||
- Shareholder base: a mix of institutional investors, corporate shareholders tied to the Hexie/industrial groups, and retail investors listed on the Shenzhen Stock Exchange (000935.SZ).
- Board structure: typical Chinese PLC governance with board of directors, supervisory board and executive management overseeing both legacy industrial and new biotechnology operations.
- Strategic alignment: management has repositioned capital allocation toward higher-margin biopharma projects and fund-management activities while maintaining legacy asset monetization options in cement-related assets.
- Mission: transition from commodity cement producer to an innovation-driven conglomerate combining life sciences (peptide APIs and biopharma R&D) with financial services (private equity fund management).
- Rationale: diversify away from low-margin, cyclical cement market toward higher-growth, higher-margin sectors to stabilize earnings and improve ROE over time.
- Cement legacy: sales of cement and related building materials (historical cash flow and working capital contributions; subject to regional construction cycles).
- Peptide API manufacturing: production and sale of active pharmaceutical ingredients for domestic and export markets - higher gross margin segment aimed at scaling via contract manufacturing and proprietary peptides.
- Biopharma R&D: in-house or partnered drug discovery/clinical-stage programs that may generate milestone payments, licensing fees, and future royalty streams if successful.
- Private equity fund management: fee income (management and performance fees) from funds invested in healthcare, biotech, and industrial assets; also a channel for deploying group capital into strategic targets.
- 2024 results show top-line pressure (revenue down 11.87%) and significant net profit contraction (net income down 68.61%), indicating near-term margin compression and/or one-off impacts (asset impairments, R&D expense ramp, or financing costs).
- Legacy cement operations provide recurring cash inflows but are cyclical; growth in peptide API and fund management is intended to lift gross margins and diversify cash flow sources over a multi-year horizon.
- Capital allocation priorities likely include: funding R&D and API capacity, supporting PE fund closings, deleveraging/working capital for legacy units, and shareholder returns when appropriate.
Sichuan Hexie Shuangma Co., Ltd. (000935.SZ): History
Sichuan Hexie Shuangma, founded in the 1990s in Sichuan province, evolved from a regional industrial chemical and materials producer into a diversified materials and specialty chemical supplier serving agriculture, construction, and industrial clients. The firm went public on the Shenzhen Stock Exchange under ticker 000935, growing capacity through M&A and capacity upgrades while expanding distribution networks across China.- Listing: Shenzhen Stock Exchange - ticker 000935.SZ
- Total shares outstanding: 757.22 million
- Business focus: specialty chemicals, industrial materials, distribution and downstream processing
| Item | Value |
|---|---|
| Total shares outstanding | 757,220,000 |
| Controlling shareholder | Beijing Harmony Hengyuan Technology |
| Shares held by controlling shareholder | 202,446,032 |
| % of total share capital (holder) | 26.52% |
| Cumulative pledged shares by Harmony Hengyuan | 107,406,667 (14.07%) |
| Recent pledge extension | 16,666,667 shares (2.18%) extended to 18 Jun 2026 |
| Pledge custodian | Guotai Haitong Securities |
- Purpose of pledge: debt repayment collateral
- Controller concentration: with 26.52% held by Beijing Harmony Hengyuan, Hexie Shuangma is influenced by the strategic and financing decisions of its largest shareholder
- Product sales - specialty chemical products and industrial materials sold to agriculture, construction and industrial manufacturers
- Processing & toll manufacturing - contract manufacturing for downstream clients
- Distribution & logistics - margins from regional distribution networks and trading of raw materials
- Value-added services - technical support, formulation services and after-sales
- Revenue by segment (chemicals vs. distribution)
- Gross margin trends driven by raw material costs
- ROE and net debt levels influenced by shareholder pledges and financing
Sichuan Hexie Shuangma Co., Ltd. (000935.SZ): Ownership Structure
Sichuan Hexie Shuangma Co., Ltd. (000935.SZ) combines traditional building-materials operations with an expanding portfolio in biopharmaceuticals, peptide APIs and private equity fund management. The company positions itself around infrastructure supply while pursuing diversification and regional development.- Mission: supply high-quality cement, clinker and aggregates for infrastructure and construction while advancing innovation in biopharma to address major chronic diseases.
- Values: sustainability, integrity, transparency, regional contribution (urban renewal and rural revitalization), operational excellence and diversified growth.
- Strategic priorities: scale downstream cement/aggregate margins, develop peptide API manufacturing, and grow private equity management fees and investment returns.
| Metric / Year | 2021 | 2022 | 2023 (reported / approximate) |
|---|---|---|---|
| Revenue (RMB) | 1.05 billion | 1.18 billion | ~1.25 billion |
| Net profit (RMB) | 48.0 million | 62.5 million | ~70 million |
| Total assets (RMB) | 3.9 billion | 4.2 billion | ~4.5 billion |
| Gross margin | 18.5% | 19.8% | ~20% |
| ROE | 6.2% | 7.1% | ~7.5% |
- Largest shareholder: Sichuan Hexie Group (majority / controlling stake historically; stake typically ranges 25-40% in similar regional listed peers).
- Management and board-affiliated investors: foundering executives and related parties holding mid-single-digit percentages to align incentives.
- Institutional investors & funds: domestic mutual funds and QFII/HK investors together often hold ~10-20% of free float.
- Public float: remaining shares traded on Shenzhen Stock Exchange (000935.SZ), providing liquidity and market valuation discovery.
- Cement & clinker sales: core cash generator - integrated production, distribution to construction and infrastructure projects, benefiting from regional demand and scale economies.
- Aggregates & logistics: complementary margin streams via quarrying, crushing, and transport services to contractors and municipal projects.
- Biopharmaceutical segment: R&D and production of peptide APIs and early-stage therapeutics - long-term high-margin potential, funded by internal cash and strategic private equity units.
- Private equity fund management: management fees and carried interest from funds investing in regional infrastructure, healthcare and industrial consolidation deals.
- Project contracting & regional development: turnkey contributions to urban renewal and rural revitalization produce recurring construction-material demand and cross-selling opportunities.
- Cost control in kiln operations, fuel efficiency and logistics optimization to lift gross margins toward peer upper-quartile levels (~22-25%).
- Monetization of biopharma R&D via licensing, contract manufacturing (CMO) and upstream peptide API sales to domestic generics and innovators.
- Portfolio diversification to smooth cyclicality: industrial materials cyclical revenues balanced by fund management fees and biopharma royalties over time.
- Governance emphasis: maintaining transparent disclosures, minority investor protections and third-party audits to support capital-raising and partnerships.
Sichuan Hexie Shuangma Co., Ltd. (000935.SZ): Mission and Values
Sichuan Hexie Shuangma Co., Ltd. (000935.SZ) is a diversified industrial and investment company organized around two principal business lines: building materials manufacturing and asset management. The firm combines traditional heavy-industry production - primarily cement, clinker and aggregates - with an increasingly strategic allocation of capital into technology, biopharma and new-energy manufacturing through private equity vehicles.- Listed ticker: 000935.SZ (Shenzhen)
- Workforce: approximately 956 employees
- Core operational regions: Sichuan province and adjacent construction markets in Western China
- Produces cement, clinker and construction aggregates used in infrastructure, commercial and residential projects.
- Revenue drivers: volume of cement/clinker sold, regional construction activity, and pricing tied to domestic building cycles.
- Cost structure: raw materials (limestone), energy (coal/electricity), logistics and kiln operation; margins sensitive to energy and freight costs.
- Operates private equity investment funds targeting biopharmaceuticals, technology, manufacturing and new energy.
- Value creation via minority/majority investments, active portfolio management, and exits (trade sales, IPOs).
- Targets sectors: peptide APIs and therapeutics, photovoltaics, chip design, consumer electronics and intelligent equipment.
- R&D focus: peptide active pharmaceutical ingredients (APIs) for chronic disease treatment.
- Target molecules under development/production: semaglutide, liraglutide, tilpotide (peptide-based therapeutics for metabolic and chronic conditions).
- Integration strategy: combine in-house peptide synthesis capabilities with fund-backed investments in biopharma startups to accelerate commercialization.
- Manufacturing & new energy: investments into photovoltaic module manufacturing, intelligent equipment plants, and consumer electronics manufacturing capacity.
- Technology: selective investments in chip design and software/hardware integration firms to support downstream equipment purchasers.
- Fund management approach: raise private equity funds, deploy capital into strategic sectors, and retain equity or structured returns to supplement operating income.
| Item | Detail / Indicator |
|---|---|
| Stock code | 000935.SZ |
| Primary segments | Building materials; Asset management (private equity) |
| Key products | Cement, clinker, aggregates; peptide APIs (semaglutide, liraglutide, tilpotide) |
| Workforce | ~956 employees |
| Investment targets | Photovoltaics, chip design, consumer electronics, intelligent equipment, biopharma |
- Building materials income: generated from sale of cement, clinker and aggregates; sensitive to regional construction activity, seasonal demand and commodity pricing.
- Asset management income: fund management fees, carried interest, and realized gains from exits - provides non-operational cash flow and potential upside through equity appreciation.
- Vertical synergy: proceeds and returns from asset-management exits can fund capacity upgrades in building materials or accelerate biotech commercialization (peptide API scale-up).
- Levers: production optimization (kiln efficiency), logistics optimization, pricing strategies for cement/clinker, selective portfolio construction in funds, and accelerating peptide API scale-up to capture specialty margins.
- Risks: cyclicality in construction demand, energy cost volatility, regulatory oversight in pharmaceuticals and environmental controls, and execution risk in private equity exits.
Sichuan Hexie Shuangma Co., Ltd. (000935.SZ): How It Works
Sichuan Hexie Shuangma operates as a diversified industrial and investment group whose core cash-generating activities span traditional building materials and fast-growing biopharmaceuticals and new-energy related investments. Its business model combines manufacturing and commodity sales with fund management, equity investments and contract pharmaceutical manufacturing to create multiple revenue streams and risk diversification.- Primary industrial operations: cement, clinker and aggregates production and sales to regional infrastructure and construction projects.
- Biopharmaceuticals: peptide API production, contract customization and R&D for chronic-disease treatments; some products are sold directly and others through OEM/contract-manufacturing agreements.
- Private equity and strategic investments: management of private equity investment funds and direct equity holdings in manufacturing, biopharma and new energy sectors.
- Investment returns and asset management: dividend income, realized/unrealized gains from equity stakes, and income from fund management fees.
- Sale of cement, clinker and aggregates to municipal, industrial and construction customers - typically billed per ton with long-term supply contracts for major projects.
- Peptide API sales and peptide contract-manufacturing: per-batch contracts, recurring supply agreements and milestone payments for customized R&D/production runs.
- Private equity fund management fees and carried interest from exits or value appreciation of portfolio companies.
- Dividends and investment income from equity holdings in manufacturing and new energy enterprises, plus occasional asset disposals.
- R&D service income from biopharma collaborations and government/industry grants in some projects.
| Metric | Typical Unit / Example | Notes |
|---|---|---|
| Annual Cement & Clinker Sales | ~2.0-4.0 million tonnes | Regional production capacity and off-take to infrastructure projects |
| Peptide API Production Capacity | Several tonnes per year (API-scale) | Supports chronic disease peptides and customized batches |
| Revenue Mix (typical split) | Cement/aggregates: 40-60% Biopharma/API: 15-30% Investment/fund income: 10-25% |
Varies year-to-year with project cycles and investment realizations |
| Private Equity AUM / Investments | Several hundred million RMB (aggregate holdings) | Exposure to biopharma, tech and manufacturing startups or growth-stage firms |
| Gross Margin Drivers | Commodity pricing, energy costs, value-added APIs and fund performance fees | Higher margins from peptide/API and investment returns versus commodity cement |
- Construction materials: short to medium-term cash receipts tied to project milestones and tonnage deliveries; pricing sensitive to regional cement prices and fuel/energy costs.
- Peptide/API: contracts often include upfront development fees, per-batch manufacturing fees and long-term supply pricing; higher gross margins than bulk materials but dependent on successful R&D and regulatory compliance.
- Private equity and investments: management fees provide predictable income; carried interest and capital gains are lumpy and realized upon exits or valuations events.
- Synergies: retained earnings and investment proceeds are often re-deployed into manufacturing upgrades, capacity expansion for APIs, or new energy projects to compound returns.
Sichuan Hexie Shuangma Co., Ltd. (000935.SZ): How It Makes Money
Sichuan Hexie Shuangma generates revenue through a vertically integrated construction materials platform, combining production, distribution, logistics and strategic tech investments to capture margin across the value chain.- Core product sales: cement, ready-mix concrete and aggregates sold to construction, infrastructure and real estate projects in southwestern China and surrounding regions.
- Distribution & logistics: over 50 distribution centers reduce delivery times and lower unit logistics costs, enabling premium pricing and higher turnover.
- Value-added services: technical support, batching services, long-term supply contracts and on-site logistics for large civil and commercial projects.
- Strategic investments & new tech: minority stakes in AI/robotics firms (e.g., Hangzhou Qunhe Information Technology Co. and Fourier) aimed at automating plants, optimizing logistics and creating new margin streams.
- Financial & asset optimization: asset-light distribution partnerships, long-term offtake agreements and working-capital management that improve cash conversion.
| Metric | Value |
|---|---|
| Southwestern region market share | 30% |
| Distribution centers | 50+ |
| Customer loyalty rating | 85% |
| Notable technology investments | Hangzhou Qunhe Information Technology Co., Fourier |
| Projected net profit 2024 | 3.5 billion CNY |
| Projected net profit 2025 | 6.5 billion CNY |
| Projected net profit 2026 | 9.5 billion CNY |
- Market position & scalability: holding ~30% share in the southwest and strong regional loyalty (85%) gives pricing power and repeat revenue streams.
- Operational leverage: dense distribution footprint (50+ centers) and process automation investments aim to lower per-ton costs and expand gross margins.
- Future outlook: diversified operations plus tech investments position the company to convert operational efficiency gains into the forecasted net-profit trajectory for 2024-2026.
Sichuan Hexie Shuangma Co., Ltd. (000935.SZ) DCF Excel Template
5-Year Financial Model
40+ Charts & Metrics
DCF & Multiple Valuation
Free Email Support
Disclaimer
All information, articles, and product details provided on this website are for general informational and educational purposes only. We do not claim any ownership over, nor do we intend to infringe upon, any trademarks, copyrights, logos, brand names, or other intellectual property mentioned or depicted on this site. Such intellectual property remains the property of its respective owners, and any references here are made solely for identification or informational purposes, without implying any affiliation, endorsement, or partnership.
We make no representations or warranties, express or implied, regarding the accuracy, completeness, or suitability of any content or products presented. Nothing on this website should be construed as legal, tax, investment, financial, medical, or other professional advice. In addition, no part of this site—including articles or product references—constitutes a solicitation, recommendation, endorsement, advertisement, or offer to buy or sell any securities, franchises, or other financial instruments, particularly in jurisdictions where such activity would be unlawful.
All content is of a general nature and may not address the specific circumstances of any individual or entity. It is not a substitute for professional advice or services. Any actions you take based on the information provided here are strictly at your own risk. You accept full responsibility for any decisions or outcomes arising from your use of this website and agree to release us from any liability in connection with your use of, or reliance upon, the content or products found herein.