Dmall (2586) investor relations material

Executive summary

• H1 revenue rose 7.1% YoY to RMB1,154.5m, led by 24.0% growth in AI retail core solutions to RMB647.0m; AI-related services generated RMB36.8m.

• Profit for the period increased 66.2% to RMB103.3m; adjusted profit rose 52.7% to RMB117.6m.

• Served 415 customers, with 112% 12-month net revenue retention; overseas revenue reached 12.2% of total.

• Strategic focus is shifting toward retail AI agents embedded in workflows, with commercialization, platform development and overseas expansion central to the next phase.

Financial highlights

• Revenue was RMB1,154.5m versus RMB1,078.4m; gross profit was RMB429.7m versus RMB413.9m, while cost of revenue was RMB724.8m versus RMB664.5m.

• Operating profit reached RMB78.2m versus RMB60.1m; profit for the period was RMB103.3m versus RMB62.2m, including an income tax benefit of RMB28.9m versus RMB0.2m.

• Adjusted profit was RMB117.6m versus RMB77.0m; profit attributable to equity shareholders was RMB108.6m versus RMB67.5m.

• Other net income of RMB42.3m in H1 2025 shifted to a RMB6.9m loss, mainly reflecting lower government grants and tax preferences.

• Selling and marketing costs rose to RMB77.2m, while G&A fell to RMB121.1m and R&D to RMB143.3m.

Outlook and guidance

• No numerical FY guidance was stated; priorities include developing retail AI agents, upgrading the unified AI platform and advancing Merchandise, Store and Data Insight Agent clusters.

• Planned commercialization models include platform licensing, agent subscriptions, scenario packages, compute credits and outcome-based pricing, supported by standardized, scalable delivery.

• Priorities include replicating validated products in domestic and overseas markets, expanding ecosystem collaboration and linking AI decisions with on-site execution and feedback.