KINGSEMI (688037) Q1 2026 earnings summary

Executive summary

• Revenue for Q1 2026 reached RMB 330.59 million, up 20.08% year-over-year, driven by increased new orders and progress in sales delivery and acceptance.

• Net profit attributable to shareholders was RMB 3.51 million, down 24.7% year-over-year.

• Excluding non-recurring items, net profit remained negative at RMB -7.57 million.

Financial highlights

• Operating income: RMB 330.59 million, up 20.08% year-over-year.

• Net profit: RMB 3.51 million, down 24.7% year-over-year.

• Operating cash flow: RMB -343.50 million, a further decline from RMB -198.55 million last year.

• R&D investment: RMB 61.82 million, representing 18.7% of revenue.

• Total assets at quarter-end: RMB 6.42 billion, down 0.4% from year-end 2025.

Outlook and guidance

• Revenue growth attributed to increased new contracts and improved delivery and acceptance processes.

• Gross margin improved by 12.4 percentage points year-over-year.

• Cost and expenses increased due to business expansion and higher personnel costs.

• Government subsidies decreased, impacting other income.