Analysis of the Financial Performance of Zhenhua Heavy Industries’ Digital Transformation

Abstract

Digital transformation has become a key pathway for heavy equipment manufacturers to break through development bottlenecks, improve quality and efficiency, and reshape value. This paper takes Zhenhua Heavy Industries (ZPMC) as its research subject and, based on financial data from 2021 to 2025, systematically analyzes the value-creation effects of digital transformation on the company’s financial performance across four dimensions: profitability, solvency, operating capability, and development capability. The study found that Zhenhua Heavy Industries’ digital transformation significantly improved operational efficiency and profitability; return on equity rose from 3.02% in 2021 to 4.52% in 2025, the operating profit margin rose from 2.26% to 3.06%, the inventory turnover ratio increased from 1.06 times to 1.29 times, and operating revenue grew from 25.978 billion yuan to 36.260 billion yuan. In 2025, net profit attributable to shareholders reached 732 million yuan, a year-over-year increase of 37.17%. The study indicates that digital transformation has effectively boosted the company’s financial performance through cost reduction, efficiency gains, process optimization, and improved resource allocation, providing a practical reference for the high-quality development of the heavy equipment manufacturing industry.