TCL Zhonghuan Renewable Energy Technology (002129) Q2 2026 earnings summary

Executive summary

• Revenue for H1 2026 reached ¥14.31 billion, up 6.84% year-over-year; net loss attributable to shareholders was ¥3.20 billion, a 24.47% improvement year-over-year.

• Cash flow from operations remained positive at ¥320.77 million, though down 38.69% year-over-year.

• The company continued to face industry-wide supply-demand imbalance and pricing pressure, but improved operational efficiency and product mix.

• Overseas sales accounted for 25% of total revenue, with significant growth in both wafer and module exports.

Financial highlights

• Operating income: ¥14.31 billion, up 6.84% year-over-year.

• Net loss attributable to shareholders: ¥3.20 billion, improved by 24.47% year-over-year.

• Basic and diluted EPS: -0.7925, improved from -1.0624 year-over-year.

• Gross margin for photovoltaic modules improved, while wafer gross margin declined.

• Cash and cash equivalents at period end: ¥9.88 billion.

Outlook and guidance

• Management expects a recovery in photovoltaic business in H2 2026, driven by new applications and market clearing on the supply side.

• Integration of newly acquired subsidiary and BC technology upgrades are expected to enhance competitiveness and profitability.