Shenzhen Senior Technology Material (300568) Q2 2026 earnings summary

Executive summary

• Revenue for H1 2026 reached ¥2.65 billion, up 39.72% year-over-year, with net profit attributable to shareholders at ¥204 million, a 103.08% increase year-over-year.

• Gross margin improved by 4.4 percentage points to 29.24% year-over-year, driven by strong overseas and domestic demand for lithium-ion battery separators.

• Overseas sales accounted for 31.17% of total revenue, reflecting successful global expansion and customer diversification.

• The company completed an H-share listing in Hong Kong, raising capital to support global R&D, capacity expansion, and new business lines.

Financial highlights

• Operating income: ¥2.65 billion, up 39.72% year-over-year.

• Net profit attributable to shareholders: ¥204 million, up 103.08% year-over-year.

• Basic and diluted EPS: ¥0.15, up 87.5% year-over-year.

• Operating cash flow: ¥391 million, down 27.06% year-over-year due to increased investment and working capital.

• Total assets: ¥27.33 billion, up 10.55% from year-end 2025.

• Net assets: ¥10.89 billion, up 10.43% from year-end 2025.

• R&D investment: ¥151 million, up 19.10% year-over-year.

Outlook and guidance

• Focus on deepening core customer relationships and accelerating overseas market expansion.

• Ongoing capacity expansion in Malaysia and the US to meet global demand for high-performance separators.

• Strategic investment in solid-state battery technology and semiconductor materials to drive the next growth curve.

• Continued emphasis on product innovation, cost control, and global supply chain optimization.