CM Energy Tech Co., Ltd. Overview
CM Energy Tech is a Hong Kong-listed, China Merchants Group-controlled small-cap that is attempting to pivot from a legacy offshore oil-and-gas drilling-equipment and rig-services business (the former TSC Group) into a "green energy and equipment service provider." Since FY2025 it reports four segments: hydrogen-based energy (alkaline electrolysers, green methanol/ammonia, ISCC certification services), shipbuilding and offshore equipment support (WindWings® rigid sails, methanol/LNG/ammonia fuel-supply systems, offshore cranes, jacking systems, launch-and-recovery systems), smart electronic control (drilling and vessel electrical/drive systems, hydrogen power supplies), and marine services (supply-chain, asset management, diving-support-vessel and rig subleasing across ~40 service sites). Revenue was US$135.4m in FY2025, down 18.8%, with attributable profit of just US$1.6m, and the group swung to a US$9.3m loss in H1 2026 after a US$9.5m Pemex-related provision. Its investment case rests on a cash-rich balance sheet (US$125m cash at June 2026), parental captive demand from China Merchants' shipyards and fleets, and a RMB1.53bn order backlog.
Company's own description (FY2025 Annual Report, published 24–30 April 2026)
In its 2025 annual report the company describes itself as listed on the HKEX Main Board under code 00206, formerly known as CMIC Ocean En-Tech Holding Co., Ltd., focusing on four core business segments — hydrogen-based energy, shipbuilding and offshore equipment support, smart electronic control, and marine services — and aspiring to become an innovation driver in the green technology sector. The H1 2026 interim announcement (28 August 2026) restates the mission as "green energy and equipment service provider," with the strategic motto "船海为基、绿能为翼" ("marine as the foundation, green energy as the wings"), anchored in China Merchants Group's new-energy plan, and the aim of becoming "China's leading green energy and equipment service provider."
Segment definitions (H1 2026 interim, Note 4)
Hydrogen-based energy (氢基能源): alkaline water-electrolysis hydrogen production; green fuel preparation and bunkering services; ISCC-certified skid-mounted hydrogen production systems; core equipment for hydrogen refuelling stations; hydrogen-bicycle operating services.
Shipbuilding & offshore equipment support (船海配套): design, manufacture, installation and commissioning of land and offshore drilling-rig equipment and offshore wind installation platform equipment — jacking systems, leg chords/racks, cranes, deep-water active wave-compensated gangways, launch-and-recovery systems (LARS); leasing of owned land rigs; production and sale of rigid sails, LNG/methanol/ammonia fuel-supply systems and cargo-handling systems.
Smart electronic control (智能电控): design, manufacture and installation of intelligent electrical control systems for offshore drilling rigs, wind-installation platforms and vessels.
Marine services (海事服务): supply-chain and integration services for oilfield consumables and materials via a global service network; asset management, engineering services, marine services; subleasing of land and offshore drilling rigs and saturation diving support vessels (DSVs).
Business and revenue model
| Revenue line | H1 2025 | H1 2026 |
|---|---|---|
| Electrolysers, green fuel preparation/bunkering, HRS core equipment | 0 | 194 |
| Rigid sails, LNG/methanol/ammonia FSS, offshore rig equipment, smart control systems | 28,228 | 23,517 |
| Marine services and sale of oilfield consumables and related installation | 10,341 | 14,819 |
| Asset management and engineering service fees | 8,537 | 7,192 |
| Sub-total, contracts with customers (HKFRS 15) | 47,106 | 45,722 |
| Rental income — land and offshore rigs (operating lease) | 320 | 491 |
| Rental income — saturation DSV sublease (operating lease) | 14,623 | 17,116 |
| Offshore rig sublease (finance lease) — sale and interest | 581 | 0 |
| Sub-total, other sources | 15,524 | 17,607 |
| Total revenue | 62,630 | 63,329 |
The model is a hybrid of (i) project-based equipment sales recognised over milestones (sails, fuel systems, cranes, jacking systems, electrical packages, electrolysers), (ii) service and asset-management fees, (iii) commodity-like supply-chain distribution of oilfield consumables, and (iv) charter/sublease rental income from vessels and rigs that the group leases in and lets out. There is no meaningful subscription or licensing revenue; the group is itself a licensee (BAR Technologies WindWings®, KenzFigee gangway technology).
Revenue by type (USD thousands; H1 2026 interim, Note 3)
On H1 2026 data, product sales were ~37% of revenue, services/consumables/fees ~35%, and vessel/rig rental ~28%. The DSV sublease alone (US$17.1m in six months) is now the single largest discrete revenue stream, which explains the strategic logic of buying the vessel outright.
Value-chain position, customers and end-markets
CM Energy sits mid-stream as a Tier-1/Tier-2 equipment and systems supplier to shipyards and rig builders, and as a service/charter intermediary to oil companies and offshore contractors. Per the January 2026 research note, legacy customers include drilling contractors (Transocean, Technip), offshore engineering firms (Rolls-Royce, MODEC), oil majors (ExxonMobil, Shell, BP) and shipyards (CSSC, CIMC Raffles, Keppel); new-energy partners include China Minmetals, China Merchants Energy Shipping, MCC South and Yantian Port. Related-party sales to China Merchants Shipbuilding Industry subsidiaries are material: trade receivables from those entities were US$4.3m at 30 June 2026 (US$2.3m at 31 Dec 2025), and a continuing-connected-transactions framework for product sales and vessels was approved at an EGM on 30 December 2025. Pemex (Mexico's state oil company) was a major customer until the partial termination of a drilling and equipment supply/service project in H1 2026.
End-markets: (1) green shipping (newbuild and retrofit decarbonisation equipment); (2) offshore wind installation vessels; (3) offshore and onshore oil and gas (rigs, consumables, DSV subsea services in the Middle East); (4) hydrogen/green fuels (electrolysers, green methanol, green ammonia); (5) emerging marine applications (marine ranching cages, cable-laying vessels).
Independent characterization
Analytically, CM Energy is best understood as three businesses of very different quality. First, a cash-generative but cyclical and lumpy marine-services/charter book (DSV subleases in the Middle East, rig management in Mexico) that has delivered most of the gross profit. Second, a genuinely growing green-shipping equipment line (rigid sails, methanol fuel-supply systems, cranes/LARS) that benefits from privileged access to China Merchants' shipyards and Chinese yards' 72% share of global new orders. Third, a sub-scale, loss-making hydrogen venture (US$0.5m FY2025 revenue) that carries most of the narrative weight. The equity market currently values the whole at less than net cash, signalling deep scepticism about capital allocation (connected-party asset purchases) and earnings quality.
Strategy
Stated strategy
"1234" strategic framework (2026–2030 guidance, announced 16 January 2026):
"1" — one overall positioning: become China's leading green energy and equipment service provider.
"2" — two business mainlines: marine equipment support as the foundation business; green energy as the innovation business ("marine as the foundation, green energy as the wings").
"3" — three fundamental shifts: from fragmented to coordinated operations; from selling products to providing solutions; from production-based to ecosystem-based.
"4" — four business portfolios: hydrogen-based energy (leading), marine equipment (cornerstone), smart control technology (innovation), and overseas business (hub).
The H1 2026 interim adds an "products + energy + services" integration path and the direction of "industrial scale, high-end products and global markets." No quantitative revenue, margin or profit targets for 2026–2030 have been published in the sources reviewed.
Initiatives in the last 24 months
| Initiative | Date | Detail |
|---|---|---|
| Parent capital injection | Dec 2024 – pending | HK$324.3m subscription by CM Innovation Tech (HK) at HK$0.20; approved Feb 2025; not completed by Aug 2026 |
| China Merchants Shipbuilding Global Service Center | Jan 2025 | Operated by CM Energy from Hong Kong |
| Electrolyser export | H1 2025 | First overseas order |
| Segment reorganisation | FY2025 | Four segments |
| ISCC EU green methanol | Nov 2025 | Access to EU green-fuel market |
| Continuing connected transactions framework | Dec 2025 | Product sales and vessel-related CCTs with China Merchants approved |
| 5-year strategy guidance | Jan 2026 | "1234" framework |
| Petronas Sepat FPSO JV | Mar–May 2026 | US$15.9m equity commitment; equipment pull-through via CMHI (Jiangsu) EPC |
| DSCV Lichtenstein purchase | May 2026 | US$110m; financed by US$100m term loan + internal cash |
| Huazhou Green Energy Transport JV (LNG bunkering vessel) | May–Jun 2026 | 50/50 with Golden Valley; US$3.94m each by shareholder loan |
| Global Energy Overseas strategic cooperation | H1 2026 | LNG and green methanol dual-fuel cross-border supply |
| International Green Fuel Alliance (IGFA) | May 2026 | Company is a principal founder and hosts the secretariat; first council meeting in Shenzhen with 20+ members |
| Huashang Xiageng refocus | H1 2026 | Core-material R&D and industrialisation; preparing to bring in outside capital/strategic investors |
| Graduate recruitment programme | H2 2026 | Talent pipeline |
| Equity cooperation in green energy production projects (NW/SW China) | Ongoing | "Moderate-scale, risk-controlled" targets |
H2 2026 operating plan (H1 2026 interim)
Hydrogen: expand electrolyser and core-material sales domestically and abroad, commercialise green-fuel projects, "view the new-business incubation cycle rationally." Marine equipment: deliver sails, methanol FSS and marine cranes on schedule; certify new products; capture retrofit orders. Smart control: validate new-energy power supplies and hydrogen power units; small-batch launches. Marine services: fulfil existing contracts, tighten project selection, improve operating cash flow. Internal: cost reduction, collections and cash-flow management, continued R&D, supply-chain resilience, internal controls.
Management guidance
No numerical guidance. Order KPIs disclosed: H1 2026 new orders ≈ RMB740m (+22% YoY); backlog ≈ RMB1.53bn (+78% YoY), with an explicit caution that conversion timing and amounts are uncertain and that framework agreements/MOUs signed in the period are non-binding.
Products & Services
Pricing is not publicly disclosed product-by-product unless noted.
Hydrogen-based energy
| Product / service | Description and key specifications | Target customer | Status / latest | Flagship evidence |
|---|---|---|---|---|
| Alkaline (ALK) water electrolysers (Huashang Xiageng) | In-house multi-element composite electrodes and high-temperature nano-composite diaphragms; DC energy consumption 3.75 kWh/Nm³ at 2,000 A/m², claimed 10–15% saving vs conventional; 1,000 Nm³/h stack class | Green hydrogen/methanol/ammonia project developers, EPCs | First export achieved H1 2025 (3 large units ordered, 1 overseas); anode process finalised and diaphragm coating length exceeding mainstream domestic peers (H1 2026) | TERA-Award gold (2024); China Energy Engineering 2024 framework supplier; CNAS certification |
| Core materials — electrodes and composite diaphragms | Self-produced; production lines in pre-production commissioning (H1 2025) | Internal use; potential third-party sales | Strategic refocus of Huashang Xiageng onto core materials (H1 2026) | — |
| Offshore green ammonia system | Flexible synthesis, 1,000 t/yr design capacity, ~2,000 t/yr CO₂ reduction; China's first 100 kW-class ALK offshore-condition adaptability test completed | Demonstration / ports / offshore wind | Detailed design phase (H1 2026) | — |
| Green methanol ("Huashang brand") | Shandong green-methanol project; ~4,000 t produced cumulatively; ISCC EU certified (Nov 2025) and feedstock-scope extension certificate (H1 2026) | Ship bunkering, EU-compliant buyers | Small-scale commercial | ISCC EU certification |
| Ningxia Taiyangshan integrated green hydrogen-ammonia-methanol project | Government filing completed; advancing "according to market conditions" | — | Pre-FID | — |
| ISCC certification services / skid-mounted hydrogen systems | Certification-ready modular hydrogen production | Fuel producers | Being built out | — |
| Hydrogen refuelling station core equipment and EPC | Purification, compression, dispensing integration | Station operators | Legacy product listed | — |
| Hydrogen bicycle operation services | Operating service | Municipal/consumer | Minor | — |
| Green fuel bunkering | LNG + green methanol cross-border supply with Global Energy Overseas (Singapore); LNG bunkering vessel via Huazhou JV | Ship operators | 2026 agreements | — |
Shipbuilding & offshore equipment support
| Product / service | Description and key specifications | Target customer | Status / latest | Flagship evidence |
|---|---|---|---|---|
| WindWings® rigid wing sails (licence from BAR Technologies, UK) | Three-element rigid sail, steel/composite; 37.5 m class; DNV design type approval; Wolfson Unit/Lloyd's verification; ~1.6 t fuel and 5.12 t CO₂ saved per sail per day in normal conditions | Bulk carrier and tanker owners; yards | 12 delivered cumulatively (H1 2026); 17 sets on hand (2025); 12 sets signed in 2024 worth RMB190m (~RMB15.8m per set, derived) | Customers include Shanghai Waigaoqiao, Yangzijiang, Wuhu Shipyard; claimed #2 globally by cumulative orders behind Econowind |
| Methanol fuel supply system (MFSS) | Bunkering, storage, supply, inert gas and safety control integration; R&D since late 2022; "first domestic supplier with a real-ship project" | Methanol dual-fuel newbuilds | 5 core-unit orders and 10 full-system orders; partly delivered | Production with Yangzhou Jinling |
| LNG fuel gas supply system (FGSS) | Design, tank fabrication, control | LNG dual-fuel ships | Ship-proven | — |
| Ammonia fuel supply system (AFSS) | In development; designs for CMB, Höegh ammonia-fuelled ships | Ammonia-ready newbuilds | R&D | — |
| Liquid cargo systems | Three fully-pressurised LPG cargo designs (2022); semi/fully refrigerated in development; first domestic 6,300 m³ liquid-ammonia bunkering vessel cargo system order (H1 2026) | Gas carriers, bunkering vessels | Commercial | First domestic ammonia bunkering cargo system |
| Ship deck cranes | 62,000 DWT deck crane prototype for Intercontinental Shipping passed testing; entering delivery (H1 2026) | Bulk carriers | First unit | — |
| Offshore wind installation vessel equipment | 1,600 t around-leg crane, 350 t deck crane, leg chord sections, jacking system and whole-ship control for a 1,600 t self-elevating platform (up to 20 MW turbines) | Wind installation vessel builders | 2024 crane projects totalled 755 t | 1,600 t crane on provincial first-set catalogue |
| Jacking systems and leg racks | Self-elevating platform jacking systems | Liftboats, wind-installation vessels | 2024 deliveries: Guangzhou Shipyard Int'l 1,600 t, China Railway Major Bridge 2,000 t platforms; two liftboat systems delivered H1 2025 | Claimed top-two domestic market share (2024) |
| Active wave-compensated gangways (3-DOF) | KenzFigee licence (2022); fixed and liftable bases; CCS product certificate | Offshore wind O&M vessels | Prototype sea-proven (2024) | "First Chinese owner-user" of the technology |
| Launch and recovery systems (LARS) | A-frame, snubber (80 t), docking device to 30 m depth; DNV-ST-0378 | Cable-laying, research, subsea mining | Commercialised active heave-compensated LARS, "a domestic first" (H1 2026) | Shandong Province first-set equipment (2024) |
| Wave-compensated marine cranes | Orders for cable-laying and research vessels | Special-purpose vessels | Orders won H1 2025 | — |
| Marine-ranch net-cage lifting system | Truss-type lifting for eastern Guangdong marine ranch | Aquaculture | Installed H1 2026 | — |
| Land and offshore drilling rig equipment | Hoisting, drill floor, pipe handling, BOP/subsea handling, mud systems, well control; land rigs incl. 9,000 m rig (Xinjiang Petrol) | Drilling contractors, NOCs | Legacy | Pemex project (partly terminated 2026) |
| Drilling-fluid processing equipment | New design sold in year of launch | Drilling contractors | Commercial | — |
| Land rig leasing | Leasing of owned land rigs | Drilling contractors | Small (US$0.49m H1 2026) | — |
| FPSO EPC participation | Equipment supply into Petronas Sepat FPSO via JV and CMHI (Jiangsu) EPC | Petronas Carigali | 2,026 | Entry into large floating-unit packages |
Smart electronic control
| Product / service | Description | Target customer | Status |
|---|---|---|---|
| Drilling rig electrical control and drive systems | VFD/SCR drive and control for land and offshore rigs; >550 sets delivered historically | Rig builders, NOCs | First two land-rig e-control sets for Pemex delivered (H1 2025) |
| Offshore platform/liftboat and cable-layer electrical systems | Integrated power and control | Yards | Cable-layer and liftboat systems delivered H1 2026 |
| Ship hybrid power systems and shaft generators | Power electronics for marine propulsion | Shipowners/yards | First hybrid system and shaft generator project (2025) |
| DC/DC hydrogen production power supply | Rectifier/power supply for electrolysers | Electrolyser OEMs, projects | Rolled off line 2025; flexible power supply testing |
| After-market retrofit and O&M | Upgrades for oil & gas assets | Rig owners | Building out |
Marine services
| Service | Description | Status / scale |
|---|---|---|
| Saturation DSV subleasing | DSCV Lichtenstein (built 2017) bareboat-chartered from China Merchants and time-chartered to an independent third party; two saturation DSVs in the Middle East per 2023 annual report | US$17.1m H1 2026 rental revenue; vessel acquisition pending |
| Rig asset management | Two jack-up rigs operating in Mexico (2023 annual report); added management of "Huizhong 301" (H1 2026) | Ongoing |
| Supply chain and integration | Oilfield consumables and materials via global network | Part of US$14.8m H1 2026 service/consumables revenue |
| Global service network | Service centres in West Africa and the Netherlands; ~40 owned/partner sites; 22 overseas service jobs in 13 countries in H1 2026; annual service agreements with major Chinese yards; operates China Merchants Shipbuilding Global Service Center (HK) | Expanding |
| Engineering services | Engineering and technical services for offshore assets | US$7.2m H1 2026 fees (with asset management) |
Financial Narrative
Sources: S&P Global Market Intelligence standardized data via StockAnalysis.com (FY2021–FY2025 annual, TTM to June 2026), cross-checked with company headline figures from the FY2022, FY2023, FY2024 and FY2025 results announcements (revenue, gross profit and attributable profit all reconcile). S&P "operating income" and "EBITDA" are standardized definitions and exclude part of right-of-use depreciation; company-defined EBITDA is not disclosed.
Income statement
Note on EPS: derived from attributable profit ÷ 3,172.9m weighted shares (issued shares less ~70.5m held by share-award trustees). Note on DPS: dividends are attributed to the fiscal year they were declared for (FY2022 final paid 2023; FY2024 final paid H1 2025); no FY2025 final dividend was paid in H1 2026.
Margins (%)
Revenue CAGR: FY2021–FY2025 = +24.1% p.a. (derived); FY2023–FY2025 = −13.6% p.a. (derived). The five-year growth flatters the business: FY2021 was a trough, and revenue peaked in FY2023.
Commentary. Three inflections stand out. (1) FY2022–FY2023 scale-up: revenue tripled from US$57m to US$181m as the group took on Mexican rig upgrade/O&M work (the US$163.8m Mexico contract) and DSV subleasing in the Middle East; gross margin fell from 36% to 23% as lower-margin pass-through service and charter revenue entered the mix. (2) Earnings quality: FY2021 profit relied on an US$11.4m asset-disposal gain and FY2022 on a US$19.3m JV gain — core operating income has never exceeded US$13.3m. (3) FY2024–FY2025 contraction: revenue fell 26% across two years as Mexican deliveries slowed and electrical-control orders dried up; operating margin halved to 4.0% while SG&A stayed flat at ~US$28–29m, demonstrating high operating leverage to the downside. The FY2025 effective tax rate of 36% reflects profits taxed overseas while HK holding-company costs are not deductible.
Interim trend: notes and sources
Sources: H1 2024 (Reuters/PUBT summary and interim highlights), H1 2025 and H1 2026 interim results. In H1 2026, G&A rose 27% to US$13.2m (attributed to higher R&D), selling expenses fell 41% to US$0.8m, and FX turned to a US$0.8m loss. TTM to June 2026: revenue US$136.1m, attributable net loss US$10.45m.
Balance sheet
30 June 2026 snapshot (interim): cash US$125.1m plus pledged deposits US$2.2m; inventory US$55.7m; trade and other receivables US$86.6m; lease receivables US$7.3m; contract liabilities US$76.4m; lease liabilities US$14.0m (current US$13.1m); total assets US$313.9m; equity attributable US$176.6m; gearing (total liabilities ÷ total assets) 43.2% vs 45.2% at end-2025. No pledged assets besides deposits; no material contingent liabilities.
Commentary. The balance sheet carries no bank debt; all "debt" is IFRS 16 lease liability, chiefly the DSV bareboat charter. The FY2025 jump in cash to US$133m was driven by a US$33.7m increase in customer advances (contract liabilities doubled to US$63.1m) and a US$10.8m receivables release, i.e., working-capital-funded rather than earnings-funded. Receivables quality warrants attention: at 30 June 2026, US$21.0m of net trade receivables were 12–24 months old (US$30.1m at end-2025) and the loss allowance was US$8.1m. Inventory rose 36% in FY2025 (work-in-progress +56% to US$30.6m) with a first write-down of US$1.1m.
Cash flow
H1 2026: operating cash inflow US$14.8m, but management itself notes that, reclassifying lease principal and interest into operations on a management-accounts basis, operating cash flow would be an outflow of US$1.9m. Investing outflow US$8.1m (incl. US$3.94m JV loan to Huazhou, US$1.9m capex); financing outflow US$16.7m (lease capital US$16.6m).
Commentary. Under IFRS 16, OCF is structurally overstated because charter costs for the DSV appear as financing outflows. The economically relevant measure — FCF after lease payments — was negative in three of five years and positive only in years with large customer advances (FY2023, FY2025). The cash pile is therefore partly customer money that will unwind as projects are delivered.
Ratios (analyst-derived from S&P data)
Interest coverage is not meaningful as a solvency signal because most lease interest is booked in cost of sales. The CCC deteriorated by ~140 days from FY2023 to FY2025, driven by slower collections and inventory build — a recurring pattern for project-based equipment suppliers with NOC customers.
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Segment revenue (USD Mn)
| Segment revenue (USD Mn) | FY2023 | FY2024 | FY2025 |
|---|---|---|---|
Hydrogen-based energy | — | 0.4 | 0.52 |
Shipbuilding & offshore equipment support | — | 41.0 | 59.41 |
Smart electronic control | — | 32.7 | 12.34 |
Marine services | — | 92.6 | 63.09 |
Total group revenue | 181.34 | 166.77 | 135.36 |
Segment growth and mix (%)
| Segment growth and mix (%) | FY2024 | FY2025 |
|---|---|---|
Hydrogen-based energy — % of revenue | 0.2 | 0.4 |
Shipbuilding & offshore equipment — % of revenue | 24.6 | 43.9 |
Smart electronic control — % of revenue | 19.6 | 9.1 |
Marine services — % of revenue | 55.5 | 46.6 |
Shipbuilding & offshore equipment — YoY growth % | — | 44.9 |
Smart electronic control — YoY growth % | — | -62.3 |
Marine services — YoY growth % | — | -31.9 |
Revenue by Segment
| Segment (USD K) | H1 2025 | H1 2026 |
|---|---|---|
Hydrogen-based energy — external revenue | 2 | 200 |
Shipbuilding & offshore equipment — external revenue | 25,964 | 30,432 |
Smart electronic control — external revenue | 9,709 | 4,190 |
Marine services — external revenue | 26,955 | 28,507 |
Inter-segment revenue (all segments) | 12,541 | 12,902 |
Hydrogen-based energy — segment result | -669 | -1,428 |
Shipbuilding & offshore equipment — segment result | 3,401 | 926 |
Smart electronic control — segment result | 945 | -316 |
Marine services — segment result | 2,948 | -5,819 |
Total segment result | 6,625 | -6,637 |
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View Subscription PlansSegment margin (result ÷ external revenue, %)
| Segment margin (result ÷ external revenue, %) | H1 2025 | H1 2026 |
|---|---|---|
Shipbuilding & offshore equipment | 13.1 | 3.0 |
Smart electronic control | 9.7 | -7.5 |
Marine services | 10.9 | -20.4 |
Group segment result margin | 10.6 | -10.5 |
Segment Assets & Liabilities
| Segment balance sheet (USD K) | 31 Dec 2025 | 30 Jun 2026 |
|---|---|---|
Hydrogen-based energy — assets | 975 | 4,469 |
Shipbuilding & offshore equipment — assets | 65,614 | 80,235 |
Smart electronic control — assets | 12,395 | 13,704 |
Marine services — assets | 101,004 | 62,755 |
Hydrogen-based energy — liabilities | 2,086 | 1,848 |
Shipbuilding & offshore equipment — liabilities | 74,196 | 76,491 |
Smart electronic control — liabilities | 6,143 | 9,639 |
Marine services — liabilities | 64,033 | 43,391 |
Group Entities
| Entity | Role | Source |
|---|---|---|
CM Energy Tech Co., Ltd. (Cayman) | Listed holding company | Filings |
TSC Offshore Pte. Ltd. (Singapore) | Wholly owned; DSV bareboat charterer; JV investor in Malaysian FPSO | H1 2026 interim |
Qingdao TSC Offshore Equipment Co. (青岛天时海洋石油装备, "Qingdao Haizhuang") | Cranes, gangways, wind-installation equipment | Jan 2026 research note |
Zhengzhou TSC Offshore Equipment Co. (郑州天时海洋石油装备) | Jacking systems; designated "specialised, refined, unique and new Little Giant" | Jan 2026 research note |
Qingdao TSC Oil & Gas Equipment Co. (青岛天时油气装备) | Drilling-fluid processing equipment | Jan 2026 research note |
Haierhaisi (Xi'an) Control Technology Co. (海尔海斯) | Smart electronic control platform; >550 control systems delivered | Jan 2026 research note |
Huashang Xiageng Hydrogen Technology (Xiamen) Co. (华商厦庚) | Alkaline electrolyser JV with Tan Kah Kee Innovation Laboratory | Interim; Gelonghui |
CM Green Energy Technology (HK) Ltd. (华商绿能科技香港) | Wholly owned; 50% of Huazhou Green Energy Transport | H1 2026 interim |
Huazhou Green Energy Transport Ltd. (华洲绿能运输) | 50/50 JV with Golden Valley Marine Investment; vessel financing/ordering (LNG bunkering) | H1 2026 interim |
Oceanstar FPSO Asset 01 Sdn. Bhd. (Malaysia) | FPSO lease/O&M JV for Petronas Sepat redevelopment | H1 2026 interim |
Jiangsu Modern Shipbuilding Technology Co. | Equity-linked digital-design partner for fuel-supply systems | Jan 2026 research note |
Income Statement and Margin Analysis (%)
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Revenue (USD Mn) | 57.03 | 113.04 | 181.34 | 166.77 | 135.36 |
Revenue growth (%) | -13.4 | 98.2 | 60.4 | -8.0 | -18.8 |
Cost of revenue (USD Mn) | 36.36 | 85.29 | 140.34 | 125.29 | 104.02 |
Gross profit (USD Mn) | 20.66 | 27.75 | 41.00 | 41.48 | 31.34 |
SG&A (USD Mn) | 23.69 | 24.63 | 27.95 | 28.60 | 28.84 |
Operating income, S&P basis (USD Mn) | 2.06 | 5.48 | 11.41 | 13.33 | 5.36 |
EBITDA, S&P basis (USD Mn) | 3.99 | 7.99 | 14.40 | 17.12 | 8.36 |
Share of associates/JV (USD Mn) | 1.63 | 19.30 | -0.08 | -1.89 | -2.15 |
Pre-tax income (USD Mn) | 15.74 | 26.46 | 13.96 | 12.16 | 2.78 |
Income tax (USD Mn) | 6.40 | 0.57 | 4.35 | 2.97 | 1.01 |
Net income attributable (USD Mn) | 9.22 | 25.88 | 9.50 | 9.16 | 1.58 |
EPS basic and diluted (US cents, derived) | 0.29 | 0.82 | 0.30 | 0.29 | 0.05 |
Dividend per share (HKD) | 0 | 0.01 | 0 | 0.01 | 0 |
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View Subscription PlansMargin (%)
| Margin (%) | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Gross margin | 36.2 | 24.5 | 22.6 | 24.9 | 23.2 |
Operating margin (S&P) | 3.6 | 4.8 | 6.3 | 8.0 | 4.0 |
EBITDA margin (S&P) | 7.0 | 7.1 | 7.9 | 10.3 | 6.2 |
Net margin | 16.2 | 22.9 | 5.2 | 5.5 | 1.2 |
Effective tax rate | 40.6 | 2.1 | 31.1 | 24.4 | 36.2 |
Income Statement and Margin Analysis (%) (Half-Yearly)
| Metric | H1 2024 | H1 2025 | H1 2026 |
|---|---|---|---|
Revenue (USD Mn) | 77.60 | 62.63 | 63.33 |
Gross profit (USD Mn) | 17.54 | 15.52 | 5.47 |
Gross margin (%) | 22.6 | 24.8 | 8.6 |
Operating profit (USD Mn) | 5.72 | 4.81 | -7.43 |
Attributable net profit (USD Mn) | 4.79 | 2.72 | -9.30 |
EPS (US cents) | 0.15 | 0.09 | -0.29 |
Balance Sheet
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Total assets (USD Mn) | 229.90 | 278.67 | 326.30 | 310.37 | 334.96 |
Cash and equivalents (USD Mn) | 33.51 | 24.92 | 73.37 | 84.10 | 133.10 |
Trade receivables (USD Mn) | 71.52 | 93.61 | 81.32 | 112.93 | 82.60 |
Inventory (USD Mn) | 33.39 | 36.24 | 39.95 | 37.18 | 50.48 |
Property, plant and equipment (USD Mn) | 24.06 | 20.90 | 53.24 | 31.36 | 21.31 |
Goodwill and intangibles (USD Mn) | 0.20 | 1.14 | 2.13 | 1.80 | 1.78 |
Total current assets (USD Mn) | 153.22 | 239.88 | 244.86 | 257.08 | 291.99 |
Total current liabilities (USD Mn) | 79.16 | 108.12 | 128.34 | 127.54 | 150.25 |
Contract liabilities / unearned revenue (USD Mn) | 15.00 | 29.82 | 34.17 | 28.17 | 63.06 |
Short-term debt — current lease liabilities (USD Mn) | 18.54 | 14.66 | 29.71 | 45.40 | 30.86 |
Long-term debt — non-current lease liabilities (USD Mn) | 2.16 | 1.53 | 22.14 | 3.58 | 1.11 |
Total debt incl. leases (USD Mn) | 20.70 | 16.19 | 51.84 | 48.98 | 31.97 |
Bank borrowings (USD Mn) | 0 | 0 | 0 | 0 | 0 |
Net cash (USD Mn) | 12.82 | 8.73 | 21.52 | 35.12 | 101.13 |
Total equity (USD Mn) | 148.58 | 169.03 | 175.82 | 179.25 | 183.36 |
Equity attributable to owners (USD Mn) | 148.71 | 169.17 | 175.04 | 178.19 | 181.76 |
Working capital (USD Mn) | 74.06 | 131.76 | 116.51 | 129.54 | 141.74 |
Cash Flow
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Operating cash flow (USD Mn) | 14.06 | 15.88 | 55.46 | 8.78 | 82.61 |
Capital expenditure (USD Mn) | 6.72 | 1.26 | 1.02 | 1.48 | 1.69 |
Free cash flow (USD Mn) | 7.34 | 14.62 | 54.44 | 7.30 | 80.92 |
Lease principal repaid (USD Mn) | 27.02 | 18.66 | 37.64 | 11.69 | 34.83 |
FCF after lease payments (USD Mn) | -19.68 | -4.04 | 16.80 | -4.39 | 46.09 |
Dividends paid (USD Mn) | 0 | 0 | 4.05 | 0 | 4.05 |
Share buybacks (USD Mn) | 0.15 | 0 | 0 | 0 | 0 |
Change in working capital (USD Mn) | 11.15 | 10.76 | 26.98 | -15.33 | 60.36 |
Returns & Leverage Ratios (%) and Financial Ratios (x)
| Ratio | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
ROE (%, year-end owners' equity) | 6.2 | 15.3 | 5.4 | 5.1 | 0.9 |
ROA (%) | 4.0 | 9.3 | 2.9 | 3.0 | 0.5 |
ROIC (%, NOPAT ÷ equity + leases − cash) | 0.9 | 3.3 | 5.1 | 7.0 | 4.2 |
Current ratio (x) | 1.94 | 2.22 | 1.91 | 2.02 | 1.94 |
Debt incl. leases ÷ equity (x) | 0.14 | 0.10 | 0.29 | 0.27 | 0.17 |
Net debt ÷ EBITDA (x; negative = net cash) | -3.2 | -1.1 | -1.5 | -2.1 | -12.1 |
Interest coverage, EBIT ÷ reported interest expense (x) | 4.2 | 34.3 | 126.8 | 266.6 | 107.2 |
Asset turnover (x) | 0.25 | 0.41 | 0.56 | 0.54 | 0.40 |
Days sales outstanding | 458 | 302 | 164 | 247 | 223 |
Days inventory outstanding | 335 | 155 | 104 | 108 | 177 |
Days payables outstanding | 289 | 187 | 88 | 70 | 80 |
Cash conversion cycle (days) | 504 | 270 | 180 | 285 | 320 |
Revenue by Region
| Region (USD Mn) | FY2024 | FY2025 |
|---|---|---|
Mainland China | 78.9 | 54.29 |
Middle East | 29.7 | 37.38 |
South America | 46.1 | 18.63 |
Europe | 2.65 | 0.47 |
Hong Kong + Singapore + Indonesia combined | — | 15.8 |
Other incl. North America (residual) | — | 8.8 |
Total | 166.77 | 135.36 |
Region growth FY2025 vs FY2024 (%) | FY2025 | — |
Mainland China | -31.2 | — |
Middle East | 25.9 | — |
South America | -59.6 | — |
Europe | -82.2 | — |
Hong Kong | 12,586.7 | — |
Singapore | 163.3 | — |
Indonesia | 805.1 | — |
Revenue by Region (Half-Yearly)
| Region (USD K) | H1 2025 | H1 2026 |
|---|---|---|
Hong Kong SAR | 943 | 45 |
Mainland China | 24,023 | 33,502 |
North America | 2,103 | 6,644 |
South America | 6,288 | 1,071 |
Europe | 2,030 | 943 |
Singapore | 1,576 | 168 |
Indonesia | 6,729 | 0 |
Middle East | 17,527 | 17,464 |
Other | 1,411 | 3,492 |
Total | 62,630 | 63,329 |
Share Price History
| Date | Price (HKD) | Source |
|---|---|---|
28 Nov 2005 | 0.73 (GEM listing price) | etnet |
26 Jan 2026 | 0.44 (intraday, after >20% jump) | etnet |
12 Jun 2026 | 0.38 | Google Finance |
3 Jul 2026 | ~0.385 | etnet |
15 Jul 2026 | 0.245 | etnet |
17 Aug 2026 | 0.222 | StockAnalysis |
18 Sep 2026 | 0.210 | StockAnalysis |
8 Oct 2026 | 0.195 | StockAnalysis |
52-week range (as at Jun 2026) | 0.21 – 0.66 | Google Finance |
Valuation Snapshot
| Multiple | Value | Basis |
|---|---|---|
Market capitalisation | ≈ US$81m (HK$632.5m) | 3,243.43m shares |
Price / book | ≈ 0.46x | Owners' equity US$176.6m (30 Jun 2026) |
P/E (FY2025) | ≈ 51x | Attributable profit US$1.58m |
P/E (TTM to Jun 2026) | n.m. (loss) | TTM loss US$10.45m |
Enterprise value | ≈ −US$32m | Market cap − cash and pledged deposits US$127.3m + leases US$14.0m |
EV / Sales, EV / EBITDA | n.m. (negative EV) | — |
Pro forma EV after DSCV purchase | ≈ US$78m | Assumes US$110m outflow funded by loan and cash |
Pro forma EV / TTM sales | ≈ 0.57x | TTM revenue US$136.1m |
Dividend metric
| Dividend metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Final dividend per share (HKD) | 0 | 0.01 | 0 | 0.01 | 0 |
Dividend cash paid in year (USD Mn) | 0 | 0 | 4.05 | 0 | 4.05 |
Analyst Conclusions
Guidance and expectations
Management provides no numerical guidance. Its stated H2 2026 priorities are on-time delivery of sails, methanol fuel systems and cranes; selective project intake in marine services; collections and cash-flow improvement; and patient incubation of hydrogen. The RMB1.53bn backlog (≈US$210m) exceeds trailing revenue, implying visible 2027 equipment revenue if conversion holds. No consensus forecasts exist.
Bull case
-
Asset value floor: at HK$0.195 the equity trades at ~0.46x book and below net cash; even after the DSCV purchase, the company would own a vessel that generated US$11.6m PBT in 2025, plus US$100m+ of working capital.
-
Backlog-led recovery: backlog up 78% to RMB1.53bn and new orders up 22% indicate equipment revenue growth in 2027, as already seen in the +17.2% shipbuilding/offshore segment revenue in H1 2026.
-
Parent commitment: completion of the HK$324.3m subscription would add ~US$41.6m of cash and lock in China Merchants' captive demand for green-shipping equipment and fuels.
Bear case
-
Earnings have structurally deteriorated: operating income fell from US$13.3m (FY2024) to US$5.4m (FY2025) and to an operating loss of US$7.4m in H1 2026; the core shipbuilding/offshore margin fell to 3.0%.
-
Capital allocation favours the parent: a US$110m vessel bought from the controlling shareholder with US$100m of new debt, plus connected JVs, shifts asset and leverage risk onto minorities while the subscription remains unconsummated.
-
Hydrogen narrative lacks substance and the methanol cycle has stalled: US$0.5m hydrogen revenue against a "leading" strategic role; only 2 methanol-fuelled newbuild orders globally in H1 2026.
Catalysts and monitorables (next 12 months)
| Catalyst | Timing | What to watch |
|---|---|---|
| DSCV Lichtenstein completion | Long-stop 31 Oct 2026 | Completion vs lapse; loan terms; charter renewal |
| Parent subscription | Pending | Completion or extension/lapse |
| Pemex negotiation | Ongoing | Recovery of confirmed contract monies |
| FY2026 results | ~Mar 2027 | H2 profitability, provisions, dividend |
| Sepat FPSO | 2026–2027 | JV equity calls and equipment orders |
| IMO net-zero framework | 2026–2027 | Methanol/ammonia fuel-system order revival |
| Huashang Xiageng outside capital | 2026–2027 | Strategic investor and valuation |
| Board/auditor transition | 2,026 | BDO audit of FY2026; governance stability |
Concluding analyst verdict
CM Energy Tech is a company in mid-transformation whose financial profile has moved in the opposite direction to its strategic narrative. Since FY2023, revenue has fallen by a quarter, attributable profit has gone from US$9.5m to a trailing loss of US$10.5m, and gross margin collapsed to 8.6% in H1 2026 under the weight of a US$9.5m Pemex provision. The four-segment "green energy and equipment" story is real in only one place — shipbuilding and offshore equipment support, where rigid sails, cranes, LARS and fuel-supply systems are winning orders on the back of Chinese shipyards' dominance and China Merchants' captive demand. Hydrogen remains a sub-scale option rather than a business.
Against that, the valuation already discounts a great deal. The shares trade at roughly 0.46x book and below net cash, and the controlling shareholder has committed new equity at HK$0.20, close to today's price. The decisive questions are about governance and capital allocation rather than markets: whether the parent completes its long-pending subscription, whether the US$110m DSCV purchase is executed on terms that genuinely transfer the vessel's charter economics to minority shareholders, and whether management can convert the RMB1.53bn backlog at margins above the 3% recorded in H1 2026.
On balance, this is a special-situation, deep-value small-cap with poor earnings visibility and meaningful related-party risk. Investors should expect volatility around three near-term binary events — vessel completion by 31 October 2026, the subscription, and Pemex recoveries — and treat the hydrogen narrative as upside optionality rather than the core thesis. A constructive view requires evidence of H2 2026 margin recovery in the equipment segment and a clean completion of parent transactions; absent those, the discount to net assets is likely to persist.
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View Subscription PlansExecutive Leadership
Board of Directors
| Name | Role | Notes (tenure/background where disclosed) |
|---|---|---|
Mei Zhonghua (梅中华) | Non-executive Director and Chairman; Chair of Nomination Committee | Chairman since at least mid-2025 (etnet); China Merchants nominee; did not attend 29 Jun 2026 AGM (CG Code F.1.3 deviation) |
Zhan Huafeng (詹华锋) | Executive Director and Chief Executive (Executive President); Chair of ESG Committee | NED in Aug 2023; sole ED from at least Mar 2024; holds 1,000,000 shares (0.03%) |
Zhang Menggui (张梦桂) | Non-executive Director | Co-founder of TSC; holds 65,979,100 shares (2.03%) |
Liu Jiancheng (刘建成) | Non-executive Director | On board since at least 2023 |
Lin Changsen (林昌森) | Non-executive Director | — |
Tong Qiang (童强) | Non-executive Director | — |
Ding Jianliang (丁健亮) | Non-executive Director | — |
Liu Qingzheng (刘清正) | Non-executive Director | — |
He Li (何力) | Non-executive Director | — |
Jiang Dibing (江的兵) | Non-executive Director | — |
Zou Zhendong (邹振东) | INED; Chair of Remuneration Committee; Audit Committee member | On board since at least 2023 |
Zhang Zhen (张真) | INED; Audit Committee member | Female director |
Xue Jianzhong (薛建中) | INED; Chair of Audit Committee | — |
Zhou Ruiping (周瑞平) | INED | Appointed 29 Jun 2026 |
Du Wandou (杜万斗) | INED | Appointed 18 Sep 2026; age 60; senior engineer; master's in mineral processing engineering and bachelor's in coal chemical engineering, China University of Mining & Technology; three-year term; fee HK$10,000 per month |
Board & Management Changes
| Date | Change | Context |
|---|---|---|
Aug 2023 | Board: Yu Zhiliang Chairman and sole ED; NEDs Mei Xianzhi, Liu Jiancheng, Zhan Huafeng, Fu Rui, Wang Jianzhong, Zhang Menggui, Jiang Binghua; INEDs Chan Ngai Sang Kenny, Zou Zhendong, Chen Weidong, Sun Dongchang | HKEX announcement 21 Aug 2023 |
Mar 2024 | Mei Xianzhi Chairman; Zhan Huafeng sole ED; Tam Wing Tim, Zhang Xizheng join as NEDs | HKEX announcement 12 Mar 2024 |
By mid-2025 | Mei Zhonghua Chairman; Zhan Huafeng CEO; INEDs Zou Zhendong, Zhang Zhen, Xue Jianzhong | etnet profile |
1 Jun 2026 | Prime Force (controlling shareholder) requisitions removal of NED Zhang Xizheng | Unusual: parent removing a director by requisition |
26 Jun 2026 | Zhang Xizheng resigns "due to other work arrangements"; removal resolution withdrawn | HKEX announcement |
29 Jun 2026 | NED resignation(s), new appointments (incl. Zhou Ruiping), Rule 3.10A non-compliance announced | HKEX announcement |
18 Sep 2026 | Du Wandou appointed INED | Restores compliance |
May–Jun 2026 | Auditor ShineWing retires; BDO proposed | HKEX announcement 28 May 2026 |
Major Shareholders
| Holder | Shares | % of issued |
|---|---|---|
Prime Force Investment Corp. (China Merchants Group chain) | 1,530,372,000 | 47.18 |
Huaxintong / Quam Plus International Financial (華富建業) — controlled by Lin Jianxing (51%) and Han Xiaosheng (49%) via Huaxintong | 517,684,000 | 15.96 |
China International Marine Containers (Hong Kong) Ltd. (CIMC) | 185,600,000 | 5.72 |
Zhang Menggui (director) | 65,979,100 | 2.03 |
Share-award trustees (2019 and 2025 schemes) | 70,499,000 | 2.17 |
Zhan Huafeng (CEO) | 1,000,000 | 0.03 |
Pending: China Merchants Innovation Technology (HK) subscription (not yet issued) | 1,621,717,000 | — |
Competitive Landscape
Competitors by Segment
| Segment | Named competitors | CM Energy relative position |
|---|---|---|
Wind-assisted propulsion | Econowind BV (#1 by cumulative orders per research note), Norsepower (rotor sails), Anemoi Marine (rotor sails), bound4blue (suction sails), Alfa Laval / Oceanbird (wing sails) | Claimed #2 by cumulative rigid-sail orders; advantage via Chinese yards and China Merchants fleets |
Marine fuel-supply systems (methanol/LNG/ammonia) | Wärtsilä, Alfa Laval, MAN Energy Solutions-related system integrators, Chinese CSSC-affiliated suppliers | Early Chinese mover in MFSS with 15 ship-sets ordered; small scale |
Offshore cranes, jacking systems, LARS, gangways | NOV (incl. GustoMSC jacking), Huisman, Liebherr Offshore, MacGregor, Kongsberg, SMST, Sany Marine Heavy Industry | Claimed top-two domestic jacking-system share (2024); domestic substitution play |
ALK electrolysers | LONGi Hydrogen, PERIC (CSSC 718 Institute), Sungrow Hydrogen, Trina Green Hydrogen, Envision, Nel ASA, thyssenkrupp nucera | Sub-scale entrant; top-6 global players held ~70% share in 2024 |
Drilling/marine electrical control | Siemens, ABB, NOV, Honghua Electric (domestic) | Niche; >550 legacy systems |
Saturation diving / subsea services | Subsea7, Saipem, TechnipFMC, McDermott, Next Geosolutions (bought a comparable DSV for ~US$112m in 2026) | Asset-light charterer-operator with one high-spec DSV |
Green methanol/ammonia production | Goldwind, Envision, CIMC Enric, Shanghai Electric and many project developers | Pilot-scale (~4,000 t produced) |
Competitor Detail
| Metric | CM Energy (FY2025) |
|---|---|
Revenue | US$135.4m |
Revenue growth | −18.8% |
Gross margin | 23.2% |
Operating margin | 4.0% |
Relative positioning | Niche Chinese supplier with SOE parent |
