Shandong Linglong Tyre (601966) Q1 2026 earnings summary

Executive summary

• Revenue for Q1 2026 reached ¥6.06 billion, up 6.33% year-over-year, but net profit attributable to shareholders dropped 95.04% to ¥16.89 million due to significant foreign exchange losses.

• Operating cash flow improved sharply, turning positive at ¥546 million from a negative ¥318 million in Q1 2025.

Financial highlights

• Total assets at quarter-end were ¥47.30 billion, nearly flat from year-end 2025.

• Shareholders’ equity decreased 1.15% to ¥22.83 billion.

• Basic and diluted EPS both fell to ¥0.01, down 95.65% year-over-year.

• Gross margin and operating profit were pressured by a ¥267 million pre-tax FX loss from RMB appreciation.

Outlook and guidance

• Ongoing RMB appreciation and FX volatility are expected to continue impacting profitability and introduce significant uncertainty.

• The company is actively managing FX risk through hedging and optimizing foreign currency asset-liability structure.