Zhejiang Dahua Technology Co. (002236) Q1 2026 earnings summary

Executive summary

• Revenue for Q1 2026 reached ¥6.90 billion, up 10.33% year-over-year, with net profit attributable to shareholders at ¥698 million, a 6.81% increase year-over-year.

• Net profit excluding non-recurring items rose 16.93% year-over-year, reflecting improved core profitability.

• The company experienced a negative operating cash flow of ¥805 million, a further decline compared to the previous year.

• Major management change: the chairman resigned as president, and a new president was appointed.

• Subsidiary Zhejiang Huare Technology submitted an IPO application to the Hong Kong Stock Exchange.

Financial highlights

• Operating income increased by 10.33% year-over-year to ¥6.90 billion.

• Net profit attributable to shareholders was ¥698 million, up 6.81% year-over-year.

• Basic and diluted EPS both at ¥0.21, up from ¥0.20 year-over-year.

• Total assets at quarter-end were ¥52.11 billion, down 0.85% from year-end 2025.

• Owner's equity attributable to shareholders increased 1.77% from year-end 2025.

Key financial ratios and metrics

• Weighted average ROE was 1.83%, slightly up from 1.80% year-over-year.

• Operating cash flow was negative at ¥805 million, a 19.92% deterioration year-over-year.

• Gross margin and other profitability ratios not explicitly stated.