Key takeaway

JEREH GROUP signed a USD1.465bn gas turbine generator unit supply contract with a globally renowned cloud service provider, with deliveries planned in batches in 2027. This order represents not only a repeat purchase from the same customer, but also indicates that the company’s gas turbine business is shifting from breakthroughs in individual projects to large-scale and sustainable supply. Leveraging partnerships with Siemens Energy, Baker Hughes, FTAI, Kawasaki Heavy Industries, and Everllence, the company has established a multi-engine-resource and multi-power-range product portfolio; meanwhile, the company is expanding its integrated gas turbine capabilities into energy storage, power transmission and distribution, microgrid control, and full life cycle services, upgrading its AIDC energy business from equipment supply to integrated power solutions.

Event

On July 22, 2026, JEREH GROUP announced that it officially signed a gas turbine generator unit supply contract with a globally renowned cloud service provider, with a contract value of USD1.465bn (equivalent to approximately RMB9.949bn).

Risks:

(1) Gas turbine core engine supply falls short of expectations: The core engines of gas turbines mainly rely on external suppliers. If upstream capacity becomes constrained, deliveries are delayed, or cooperative re lationships change, the company’s production and delivery of integrated equipment may be affected;

(2) New capacity construction and large-order delivery fall short of expectations: The company is advancing capacity expansion both domestically and overseas. If plant construction, personnel recruitment, supply chain support, and capacity ramp-up fall short of expectations, the timely delivery of large orders may be affected;

(3) Overseas policy, trade, and localization compliance risks: The North American business faces risks including changes in trade policies, tariffs, export controls, and localization compliance requirements, which may increase project execution costs.

(4) AIDC customer capital expenditure and project construction progress fall short of ex pectations: Demand for AIDC gas turbines is closely related to cloud service providers’ capital expenditure and data center construction progress. If customers reduce investment or project approval and construction schedules are delayed, subsequent order acquisition and execution of existing orders may fall short of expectations.