China Resources Beverage (Holdings) Company (2460) H1 2026 earnings summary

Executive summary

• Revenue for H1 2026 was RMB5,455.2 million, down 12.1% year-over-year, mainly due to lower product sales volume.

• Gross profit decreased 10.3% to RMB2,596.8 million, but gross margin improved to 47.6% from 46.7% due to reduced sales discounts and product mix changes.

• Net profit declined 26.4% to RMB592.3 million, with net profit margin dropping to 11.1% from 13.3% in H1 2025.

• Packaged drinking water accounted for 88.7% of revenue, while beverage products contributed 11.3%.

• Interim dividend of RMB0.087 per share declared, with a new dividend plan targeting at least RMB0.37 per share annually from 2026 to 2028.

Financial highlights

• Revenue: RMB5,455.2 million (down 12.1% YoY).

• Gross profit: RMB2,596.8 million (down 10.3% YoY); gross margin: 47.6% (up 0.9 ppt YoY).

• Net profit: RMB592.3 million (down 26.4% YoY); EPS: RMB0.25 (vs. RMB0.34 in H1 2025).

• Distribution and selling expenses: RMB1,781.2 million (down 5.5% YoY).

• R&D costs: RMB25.8 million (up from RMB14.8 million YoY).

Outlook and guidance

• Focus on expanding product portfolio in high-growth categories such as plant-based beverages and ready-to-drink tea.

• Plans to enhance terminal network coverage, channel efficiency, and brand rejuvenation to engage younger consumers.

• Continued investment in digitalisation, product innovation, and smart manufacturing to support long-term competitiveness.