Question · H2 2025
Steven Liu from Guotai Junan Securities asked about the current backlog for the data center business, comparing its size to six months prior, and whether supply for these engines is becoming more constrained. He also inquired about any increase in European business, specifying segments (diesel/gas), and the overall outlook for Yuchai's European market.
Answer
Kelvin Lai (General Manager of Operations) explained that for Yuchai-branded high-horsepower engines, component supply from China is generally stable, though raw material price increases led to cost markups. The MTU joint venture, however, faces supply chain bottlenecks from German partners, limiting component availability. He clarified that the backlog is not growing larger, with current delivery times remaining at 3-4 months. Regarding exports, Kelvin Lai stated Yuchai brand exports are small (around 10%), mainly to Asia, while the joint venture's exports (via OEM) are 20-25% and growing, also primarily to Asian markets, with no specific mention of European business growth.
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