Zhejiang Tengy Environmental Technology (1527) H1 2026 earnings summary

Executive summary

• Revenue for H1 2026 reached RMB546.25 million, up 142.97% year-over-year, driven by completion and recognition of several large-scale projects.

• Profit attributable to owners was RMB126.46 million, a 698.20% increase year-over-year, with gross profit at RMB203.84 million and gross margin at 37.32%.

• The Group secured new contracts worth RMB543.66 million and maintained a backlog of RMB3,454.68 million as of 30 June 2026.

• No interim dividend was declared for the period.

Financial highlights

• Revenue: RMB546.25 million (+142.97% YoY); gross profit: RMB203.84 million (+138.33% YoY); gross margin: 37.32%.

• Profit before tax: RMB158.15 million (+566.92% YoY); net profit: RMB126.46 million (+698.20% YoY).

• Earnings per share: RMB0.94 (basic and diluted) vs. RMB0.12 in H1 2025.

• Working capital at period end: RMB892.85 million.

• Gearing ratio: 12.28% (30 June 2026), up from 11.00% at end-2025.

Outlook and guidance

• Regulatory tightening and expansion of China’s Emissions Trading System are expected to drive sustained demand for advanced environmental protection equipment.

• The Group will focus on R&D for energy-efficient, automated, and digitally integrated dust collection systems and explore strategic acquisitions.

• Anticipates strong market opportunities from stricter ultra-low emissions standards in cement and steel industries through 2028.