Shenzhen Kedali Industry (002850) Q1 2026 earnings summary

Executive summary

• Revenue for Q1 2026 reached ¥4.14 billion, up 37.09% year-over-year, with net profit attributable to shareholders at ¥461 million, a 19.06% increase year-over-year.

• Gross margin remained stable as cost increases tracked revenue growth; R&D expenses surged 58.15% year-over-year, reflecting investment in new projects and products.

• Cash flow from operating activities dropped 67.43% year-over-year, mainly due to increased balances of bank acceptance bills and supply chain notes.

Financial highlights

• Operating income: ¥4.14 billion, up 37.09% year-over-year.

• Net profit attributable to shareholders: ¥461 million, up 19.06% year-over-year.

• Basic EPS: ¥1.67, up 17.61% year-over-year.

• Total assets at quarter-end: ¥24.12 billion, up 4.74% from year-end 2025.

• Owner's equity: ¥13.88 billion, up 3.77% from year-end 2025.

Outlook and guidance

• Increased R&D and capital expenditures signal continued expansion and product innovation.

• Management expects ongoing sales growth driven by higher order volumes.