Everdisplay Optronics Shanghai (688538) Q1 2026 earnings summary

Executive summary

• Revenue for Q1 2026 reached RMB 1,222.95 million, up 1.25% year-over-year, while net loss attributable to shareholders narrowed to RMB -469.97 million from RMB -507.57 million in Q1 2025.

• Operating cash flow improved significantly, rising 64.85% year-over-year to RMB 267.89 million.

• R&D investment decreased 10.96% year-over-year, now representing 8.12% of revenue.

Financial highlights

• Gross margin remained negative as cost of sales exceeded revenue.

• Basic and diluted EPS improved to -0.03 from -0.04 year-over-year.

• Total assets at quarter-end were RMB 26,977.97 million, up 0.67% from year-end 2025.

• Shareholders’ equity decreased 5.83% to RMB 7,592.41 million compared to year-end 2025.

• Non-recurring gains totaled RMB 1,106.56 million, mainly from government subsidies and investment returns.

Outlook and guidance

• Management attributes improved cash flow to lean management and product mix optimization.