Dirui Industrial Co (300396) Q2 2026 earnings summary

Executive summary

• Revenue for H1 2026 reached ¥408.53 million, up 16.49% year-over-year, with net profit attributable to shareholders at ¥7.60 million, reversing a loss in the prior year.

• Gross margin improved, and both domestic and international markets contributed to growth, with notable expansion in reagent sales and overseas business.

• The company continued to invest heavily in R&D, launching new products and enhancing its AI-driven diagnostic solutions.

• Internal control reforms and compliance enhancements were implemented following regulatory scrutiny.

Financial highlights

• Operating income: ¥408.53 million, up 16.49% year-over-year.

• Net profit attributable to shareholders: ¥7.60 million, compared to a loss of ¥28.31 million last year.

• Gross margin: 45.41% for medical devices, up 6.50 percentage points year-over-year.

• Operating cash flow: -¥113.56 million, down significantly due to contract liability payments.

• Total assets: ¥2.57 billion, down 7.44% from year-end 2025.

Outlook and guidance

• The company expects continued growth in both domestic and international markets, focusing on reagent sales and high-value diagnostic solutions.

• Ongoing investment in AI and digitalization is expected to drive product innovation and operational efficiency.

• Management is committed to further improving internal controls and compliance to address regulatory risks.