Zhejiang Weixing New Building Materials (002372) Q2 2026 earnings summary

Executive summary

• Revenue for H1 2026 was RMB 1.90 billion, down 8.71% year-over-year, reflecting weak market demand and industry headwinds.

• Net profit attributable to shareholders rose 43.90% year-over-year to RMB 390 million, mainly due to significant non-recurring investment gains.

• Excluding non-recurring items, net profit fell 19.65% year-over-year, highlighting underlying operational pressure.

• Gross margin improved to 41.83%, and overseas sales grew 19.22% year-over-year.

Financial highlights

• Operating cash flow was RMB 407 million, down 29.88% year-over-year.

• Total assets at period-end were RMB 6.18 billion, down 3.39% from year-end 2025.

• Net assets attributable to shareholders were RMB 4.72 billion, down 3.43% from year-end 2025.

• Basic and diluted EPS were both RMB 0.25, up 47.06% year-over-year.

• Investment income reached RMB 137 million, mainly from financial asset fair value changes and equity investments.

Outlook and guidance

• Management expects continued pressure from macroeconomic uncertainty, weak demand, and raw material price volatility in H2 2026.

• Strategic focus remains on high-quality growth, innovation, and risk control, with ongoing efforts to optimize business models and expand overseas.