Keytop Parking (2272) investor relations material

Executive summary

• Revenue for H1 2026 declined 11.9% year-over-year to RMB333.9 million, mainly due to delayed smart parking system projects and lower contract values for new contracts.

• Net profit for the period was RMB24.4 million, a 5.7% decrease compared to H1 2025; adjusted net profit (non-IFRS) was RMB28.7 million, down from RMB48.0 million, mainly due to lower smart parking systems revenue and higher marketing expenses.

• Gross profit decreased 10.6% to RMB151.9 million, but gross margin improved to 45.5% from 44.9% year-over-year, with net profit margin at 7.3%.

• The company expanded its parking facility operations, increasing contracted facilities by 131% year-over-year, and saw rapid growth in its online rental platform's transaction volume and user base.

• Continued investment in AI-driven solutions and R&D, including the deployment of AI kiosks and agents to enhance operational efficiency.

Financial highlights

• Smart parking systems revenue fell 17.4% to RMB161.5 million; management services revenue dropped 11.7% to RMB80.9 million.

• Parking facility and platform operations revenue remained stable at RMB90.8 million; gross profit margin for these operations improved by 7.5 ppt to 45.2%.

• Cost of sales decreased 12.8% to RMB182.0 million.

• Cash and cash equivalents increased to RMB503.8 million, mainly due to IPO proceeds.

• No interim dividend declared for H1 2026.

Outlook and guidance

• Plans to scale contract operation model and online rental platform, deepen domestic and overseas market penetration, and accelerate AI deployment.

• Management expects H2 2026 performance to improve as delayed projects are delivered and new sales staff contribute, with a strong order backlog and anticipated project execution.

• Continued focus on geographic expansion in China and overseas, especially Southeast Asia and the Middle East.