Realord Group (1196) H1 2026 earnings summary

Executive summary

• Revenue for H1 2026 was HK$278.2 million, up 0.4% year-over-year, with net loss narrowing to HK$475.2 million from HK$496.2 million.

• Gross profit increased by HK$12.0 million to HK$76.8 million, mainly due to higher revenue and improved gross margin in the Environmental Protection segment.

• Administrative expenses and impairment losses both decreased significantly, contributing to the reduced net loss.

• The Group continued to focus on property development in Shenzhen, financial services, environmental protection, and the Grenada project.

• No interim dividend was declared for the period.

Financial highlights

• Revenue: HK$278.2 million (up 0.4% year-over-year).

• Net loss: HK$475.2 million (improved from HK$496.2 million in H1 2025).

• Gross profit: HK$76.8 million (up from HK$64.8 million year-over-year).

• Finance costs increased to HK$315.0 million (from HK$296.0 million year-over-year).

• Gearing ratio: 769.0% (up from 639.8% at year-end 2025).

Outlook and guidance

• Focus remains on five Shenzhen property projects, with continued development and leasing activities.

• Financial Services segment expects stable growth in H2 2026 despite market uncertainties.

• Environmental Protection segment to control costs, minimize credit risk, and expand customer base amid market volatility.

• LAC segment to advance Grenada project and explore further Caribbean and Latin American opportunities.

• Strategic cooperation in mobile game distribution in China is being explored.