Dongfang Electric Corporation (1072) H1 2026 earnings summary

Executive summary

• Operating revenue for H1 2026 reached RMB38,624 million, up 1.24% year-over-year; net profit attributable to shareholders rose 42.07% to RMB2,713 million.

• Earnings per share increased to RMB0.78 from RMB0.60 year-over-year; new orders totaled RMB69,880 million.

• No interim dividend was declared; the company remains a leading global energy equipment supplier with a diversified business model.

Financial highlights

• Gross margin for energy equipment/manufacturing improved by 0.31 percentage points year-over-year; manufacturing services gross margin rose by 5.42 points, while emerging business margin fell by 7.18 points.

• Domestic revenue grew 0.50% and overseas revenue increased 13.17% year-over-year.

• Net cash flow from operating activities was negative at RMB1,722 million, while investing and financing activities generated positive cash flows.

• Gearing ratio stood at 70.18%, down 0.21 percentage points from year-end 2025.

Outlook and guidance

• The company aims to maintain focus on core energy equipment manufacturing, implement a premium-quality strategy, and achieve all annual targets for the second half of 2026.

• Management expects continued prosperity in energy equipment demand, supported by China's energy transition and infrastructure growth.