Opple Lighting (603515) Q2 2026 earnings summary

Executive summary

• Revenue for H1 2026 reached RMB 3.24 billion, up 0.67% year-over-year, while net profit attributable to shareholders fell 31.10% to RMB 254 million due to lower gross margin.

• Cash flow from operating activities improved significantly to RMB 278 million, mainly from reduced cash outflows for goods and increased cash inflows from sales.

• The company advanced AI-driven business operations, product innovation, and expanded its presence in smart lighting and overseas markets.

• Special interim dividend proposed: RMB 1 per 10 shares, totaling about RMB 73.9 million, representing 29.06% of H1 net profit.

Financial highlights

• Operating income: RMB 3.24 billion (+0.67% YoY); net profit: RMB 254 million (-31.10% YoY); operating cash flow: RMB 278 million (+776.03% YoY).

• Gross margin decline was the main driver of profit decrease.

• Basic and diluted EPS: RMB 0.34 (-30.61% YoY); ROE: 3.56% (-1.87pp YoY).

• Non-recurring profit: RMB 90 million, mainly from government subsidies and fair value gains.

Outlook and guidance

• The company will continue to focus on smart lighting, AI integration, and global expansion.

• Management highlights ongoing risks from market competition, real estate sector volatility, raw material price fluctuations, and exchange rates.