Youlife (YOUL) investor relations material

Executive summary

• H1 2026 revenue rose 114.8% YoY to RMB1,961.9 million; net profit was RMB30.3 million as platform expansion and investment continued.

• Growth reflected employee management services expansion and the January acquisition of YouheHR, which added nationwide delivery capabilities.

Financial highlights

• Gross profit increased 31.7% YoY to RMB169.2 million; gross margin declined to 8.6% from 14.1%, mainly from the larger, lower-margin employee management mix after the YouheHR acquisition.

• Operating income was RMB30.4 million versus RMB45.8 million; total operating expenses rose 67.9% to RMB138.8 million, reflecting acquisition costs and higher R&D investment.

• Net profit was RMB30.3 million versus RMB37.7 million; basic and diluted EPS was RMB0.38 versus RMB0.54.

• Adjusted EBITDA was RMB51.5 million versus RMB63.7 million; adjusted net profit equaled GAAP net profit at RMB30.3 million.

Outlook and guidance

• Priorities include YouheHR integration, operating efficiency, gross-margin improvement, capital discipline and selective investment in businesses and technology.

• Existing cash and anticipated operating cash flows are expected to cover working capital and capital expenditures for at least 12 months; additional financing may be considered, with potential dilution or debt obligations.