LX Technology Group (2436) H1 2026 earnings summary

Executive summary

• H1 2026 revenue fell 3.0% to RMB1,083.3m; gross profit rose 77.4% to RMB180.8m and profit for the period reached RMB20.6m versus RMB4.9m

• Computing-power infrastructure products and services generated RMB614.8m, more than 56.8% of revenue, versus RMB3.9m in H1 2025

• Adjusted profit increased to RMB46.4m from RMB18.6m as the mix shifted toward higher-margin offerings

Financial highlights

• Revenue declined 3.0% to RMB1,083.3m; cost of sales fell to RMB902.5m from RMB1,014.8m

• Gross profit rose 77.4% to RMB180.8m; gross margin expanded to 16.7% from 9.1%

• Profit for the period was RMB20.6m versus RMB4.9m; profit attributable to owners was RMB21.1m versus RMB5.7m

• Adjusted profit was RMB46.4m versus RMB18.6m; adjusted EBITDA rose to RMB217.2m from RMB194.1m

• Basic and diluted EPS were RMB0.07 and RMB0.06, respectively, versus RMB0.02 for both in H1 2025

Outlook and guidance

• Priorities include accelerating computing-power products and services, expanding customer reach and service capabilities, and improving operational efficiency and profitability

• AI adoption, generative AI, large language models and China’s “AI+” initiative are expected to support demand for scalable computing capacity and related services

• Device subscription, IT technical subscription and recycling remain in focus, with resources directed toward higher-value opportunities and margin improvement