Shenzhen Zhaowei Machinery & Electronics (003021) Q2 2026 earnings summary

Executive summary

• Revenue for H1 2026 reached ¥816.45 million, up 3.80% year-over-year, while net profit attributable to shareholders fell 34.10% to ¥74.65 million.

• Gross margin declined to 30.76% from 31.97% year-over-year, with basic EPS at ¥0.30, down from ¥0.47.

• Cash flow from operations surged 183.53% to ¥132.59 million, and total assets increased 36.84% to ¥5.91 billion.

• H-share listing on the Hong Kong Stock Exchange completed in March 2026, raising significant capital.

Financial highlights

• Operating income: ¥816.45 million (+3.80% YoY); net profit: ¥74.65 million (-34.10% YoY).

• Net profit excluding non-recurring items: ¥54.18 million (-43.97% YoY).

• Gross margin: 30.76% (down 1.21 p.p. YoY); basic EPS: ¥0.30 (-36.17% YoY).

• Cash flow from operations: ¥132.59 million (+183.53% YoY); total assets: ¥5.91 billion (+36.84% from year-end 2025).

• Net assets attributable to shareholders: ¥5.07 billion (+45.56% from year-end 2025).

Outlook and guidance

• Focus remains on high-growth sectors: smart vehicles, AI terminals, advanced manufacturing, and robotics.

• Continued investment in R&D and platform-based product development to enhance competitiveness.

• Global expansion ongoing, with new facilities in Suzhou and Thailand supporting international growth.