GIANT BIOGENE (2367) H1 2026 earnings summary

Executive summary

• Revenue for H1 2026 was RMB2,917.7 million, down 6.3% year-over-year, mainly due to sales restructuring and intensified competition.

• Net profit was RMB939.5 million, a 20.5% decrease year-over-year; adjusted net profit fell 21.5%.

• The company continued to invest in R&D, launching innovative products, expanding its patent portfolio, and building its brand.

• Direct sales accounted for 76.6% of revenue, with online DTC stores contributing the majority.

Financial highlights

• Gross profit was RMB2,318.4 million (down 8.8% YoY); gross margin declined from 81.7% to 79.5%.

• Net profit: RMB939.5 million (down 20.5% YoY).

• Basic EPS: RMB0.89 (down 21.9% YoY).

• Cash and cash equivalents: RMB4,852.5 million (down 23.1% from Dec 2025).

• Selling and distribution expenses rose 19.7% to RMB1,266.8 million.

Outlook and guidance

• Management expects a return to growth in H2 2026, focusing on R&D, industrialization of new materials, and expansion of core brands and global presence.

• Plans to deepen online self-operated platforms, strengthen offline networks, and expand internationally.