Grandblue Environment (600323) H1 2026 earnings summary

Executive summary

• Revenue for H1 2026 reached ¥7.74 billion, up 34.25% year-over-year, with net profit at ¥1.47 billion, up 40.56%.

• Main drivers: full consolidation of 粤丰环保, operational improvements, and increased waste processing volumes.

• EBITDA for H1 2026 was ¥3.32 billion, with an EBITDA margin of 42.92%.

• Main business revenue accounted for 96.53% of total, with significant contributions from the acquired subsidiary.

• The company advanced its “十五五” strategy, focusing on green innovation, management optimization, and business integration.

Financial highlights

• Operating income: ¥7.74 billion, up 34.25% year-over-year.

• Net profit: ¥1.47 billion, up 40.56% year-over-year.

• Net profit attributable to shareholders: ¥1.21 billion, up 24.76% year-over-year.

• Net profit after deducting non-recurring items grew 29.32% year-over-year.

• Operating cash flow: ¥1.63 billion, up 33.65% year-over-year.

• Total assets at June 30, 2026: ¥63.5 billion, up 2.07% from year-end 2025.

Outlook and guidance

• The company expects continued growth in waste processing and supply chain efficiency.

• Plans to acquire remaining minority interests in 粤丰环保, aiming for 100% consolidation to enhance synergies and profitability.

• 2026 interim dividend: ¥2.80 per 10 shares, with annual cash dividend per share to grow by at least 10% year-over-year.

• Anticipates further increases in scale, profitability, and shareholder returns upon completion of the transaction.