Greenland Technologies (GTEC) Q1 2026 earnings summary

Executive summary

• Revenue for Q1 2026 rose 17.8% year-over-year to $25.54 million, driven by an 18.8% increase in transmission product sales volume to 46,027 units.

• Net income increased 26.0% year-over-year to $5.75 million, with gross margin improving to 34.3% from 30.7% in Q1 2025.

• HEVI electric industrial vehicle operations remain suspended due to tariff policy uncertainty, with plans to resume once the policy environment stabilizes.

Financial highlights

• Gross profit grew 31.5% year-over-year to $8.76 million, reflecting higher sales and a favorable product mix.

• Operating income increased 18.9% to $5.72 million; R&D expenses surged 855.4% to $0.78 million due to expanded R&D activities.

• Interest income rose 268.6% to $0.52 million, while interest expense was $0.03 million.

• Cash and cash equivalents at March 31, 2026 were $10.39 million, up 33.66% from December 31, 2025.

• Net cash used in operating activities was $1.19 million, mainly due to increased accounts receivable and notes receivable.

Outlook and guidance

• Management expects to maintain sufficient liquidity and positive cash flow from operations for the next 12 months.

• Plans to rely on government-supported loans and may issue debt or equity if additional cash is needed.

• HEVI operations will resume when tariff policy stabilizes; continued focus on core transmission business.