NARI Technology (600406) H1 2026 earnings summary

Executive summary

• Revenue for H1 2026 reached RMB 27.77 billion, up 14.54% year-over-year; net profit attributable to shareholders was RMB 3.07 billion, up 4.08% year-over-year.

• Cash flow from operating activities decreased 78.95% year-over-year to RMB 591 million due to increased procurement payments.

• The company maintained industry leadership in power automation, digital energy, low-carbon energy, and industrial internet, with strong domestic and international market expansion.

• Major R&D achievements included 27 provincial-level or higher awards and 197 authorized patents.

Financial highlights

• Operating income: RMB 27.77 billion (+14.54% YoY); net profit: RMB 3.07 billion (+4.08% YoY).

• Gross margin for main business: 25.27%, down 1.11 percentage points year-over-year.

• Basic and diluted EPS: RMB 0.38 (+4.35% YoY); ROE: 5.73%, down 0.14 percentage points.

• Net assets attributable to shareholders: RMB 52.07 billion (-1.09% from year-end 2025); total assets: RMB 93.53 billion (-5.13%).

• Non-recurring profit: RMB 147 million, mainly from government grants and financial product gains.

Outlook and guidance

• The company aims to consolidate its leading position in core businesses and accelerate expansion in new energy storage, digital power, and international markets.

• Focus on AI empowerment, digital transformation, and new product development to drive future growth.

• Plans to maintain stable dividend payout and continue strategic investments in R&D and capacity.