Himile Mechanical Science and Technology (Shandong) (002595) Q2 2026 earnings summary

Executive summary

• Revenue for H1 2026 reached ¥6.02 billion, up 14.27% year-over-year, driven by strong tire mold and large component sales.

• Net profit attributable to shareholders was ¥1.13 billion, down 5.28% year-over-year, mainly due to increased costs and exchange rate impacts.

• Gross margin declined across major segments, reflecting higher labor costs, project expansion, and currency fluctuations.

• The company completed a capital increase, raising total shares to 1.16 billion via a bonus issue.

Financial highlights

• Operating cash flow was ¥298 million, down 8% year-over-year.

• Total assets at period-end were ¥15.44 billion, up 4.55% from year-end 2025.

• Net assets attributable to shareholders rose 2.78% to ¥12.36 billion.

• Basic and diluted EPS were ¥0.9802, down 5.28% year-over-year.

• Non-recurring gains totaled ¥39.04 million, mainly from government grants and asset disposals.

Outlook and guidance

• Management expects steady demand in tire molds and large components, with wind and gas turbine sectors showing long-term growth.

• Domestic wind power market is expected to rebound in H2 2026, while global demand remains robust.

• High-end CNC machine tool demand is strong, but industry profit margins remain low.

• The company will continue to focus on R&D, digital transformation, and international expansion.