(Yicai) March 6 -- Yinlun Machinery’s shares hit a record high after the Chinese maker of heat exchangers said its Mexican factory has secured a large order for gas generator components from an overseas buyer.

Yinlun Machinery [SHE: 002126] closed up 5.9 percent at CNY54.31 (USD7.87) in Shenzhen today, after jumping by as much as 8.9 percent in morning trading to an all-time high of CNY55.83. The stock has gained over 47 percent since the beginning of last month.

Its US subsidiary Yinlun TDI has been chosen by a well-known international machinery maker as the designated supplier of exhaust emission treatment systems for a gas generator project, the Zhejiang province-based company announced yesterday.

Deliveries are scheduled to begin in the fourth quarter of this year, and the order is expected to generate about USD131 million in annual sales for Yinlun Machinery. The company did not disclose the contract’s duration nor the identity of the buyer.

Yinlun Machinery had revenue of CNY12.7 billion (USD1.8 billion) in 2024, of which overseas sales accounted for about 26 percent, according to its most recent annual earnings report.

The new contract reflects the buyer’s recognition of Yinlun Machinery’s global delivery capabilities, manufacturing standards, and quality management, it said.

Yinlun Machinery is one of China's leading producers of thermal management equipment for vehicles, and automakers are among its main customers. Its Shanghai plant supplies Tesla's local factory. The firm's generator parts mainly include cooling modules, heat exchangers, and exhaust emission treatment systems.

Explosive growth in artificial intelligence computing capacity is driving a surge in electricity demand. Gas generators, valued for their high reliability and fast response times, are increasingly being used as key supporting equipment for the AI industry, with demand continuing to grow.

Editor: Futura Costaglione