GCL Technology (3800) H1 2026 earnings summary

Executive summary

• Revenue for H1 2026 was RMB5,777 million, up 0.7% year-over-year, with a gross loss of RMB434 million, improved from RMB700 million loss in H1 2025.

• Loss attributable to owners increased to RMB2,081 million from RMB1,776 million year-over-year, mainly due to impairment losses, higher administrative expenses, and net losses from other items.

• The company advanced its strategy to become a global multi-product new energy material platform, expanding into lithium battery materials, perovskites, and semiconductor silicon-based materials.

• Major industry headwinds included polysilicon price declines below cash costs and high inventory, but operational resilience was demonstrated through cost control and technological innovation.

Financial highlights

• Revenue: RMB5,777 million (+0.7% YoY); gross loss: RMB434 million (improved from RMB700 million YoY); gross profit margin: -7.5% (improved from -12.2% YoY).

• Loss per share: Basic RMB(6.37) cents, Diluted RMB(6.35) cents.

• Equity attributable to owners: RMB36,569 million (down 8.3% from year-end 2025).

• Total assets: RMB69,952 million (down 7.8% from year-end 2025).

• Net debt to equity: 10.5% (improved from 11.6% at year-end 2025); net debt decreased to RMB3,830 million.

Outlook and guidance

• The company expects the cathode material business to positively impact financial performance as capacity ramps up, with full capacity operation of the Leshan cathode material base expected by October 2026.

• Strategic focus remains on technological iteration, high-end materials, global supply chain expansion, and ESG leadership.