Minth Group (0425) H1 2026 earnings summary

Executive summary

• Revenue grew 9.1% year-over-year to RMB13.41 billion, driven by strong performance in EMEA, Americas, and Japan & Korea, with stable operations in China despite domestic demand pressure.

• Profit attributable to owners rose 12.3% to RMB1.43 billion, with EPS up to RMB1.235, driven by improved gross margin, cost controls, and operational efficiency.

• Gross profit margin increased to 28.6%, up 0.3 percentage points year-over-year, reflecting cost control and operational efficiency.

• The Group advanced digital transformation, ESG integration, and global-local (GLOCAL) strategy, maintaining robust financial health amid global macroeconomic and industry challenges.

Financial highlights

• Revenue: RMB13,408 million (+9.1% YoY); gross profit: RMB3,840 million (+10.6% YoY).

• Profit attributable to owners: RMB1,434 million (+12.3% YoY); EPS: RMB1.235 (basic), RMB1.220 (diluted).

• Gross margin: 28.6% (up from 28.3% YoY).

• Net cash from operating activities: RMB1,649 million (down from RMB2,237 million YoY, due to increased strategic reserves).

• Capital expenditure: RMB1,621 million (up from RMB902 million YoY), focused on global capacity and new growth areas.

Outlook and guidance

• Global light vehicle sales expected to decline 2–3% in 2026; EMEA NEV penetration to rise, US and China markets to remain under pressure.

• Western Europe may see mild recovery, while the Group will deepen localization, diversify markets, and enhance risk management amid tariff and geopolitical uncertainties.

• Continued focus on high-value product development, operational excellence, and digital transformation to drive long-term growth and global competitiveness.