Zhou Hei Ya International (1458) H1 2026 earnings summary

Executive summary

• Revenue grew 19.5% year-over-year to RMB1,461.3 million for the six months ended June 30, 2026, driven by channel expansion and improved operational efficiency.

• Net profit attributable to owners fell 15.2% year-over-year to RMB91.5 million, with net margin declining from 8.8% to 6.3%.

• Gross profit increased 11.6% to RMB799.9 million, but gross margin dropped to 54.7% due to a higher proportion of lower-margin channel sales.

• Store network expanded to 2,972 locations, with omnichannel sales volume up 35.2% year-over-year.

Financial highlights

• Revenue: RMB1,461.3 million (+19.5% YoY); Gross profit: RMB799.9 million (+11.6% YoY).

• Profit before tax: RMB133.0 million (-9.0% YoY); Net profit: RMB91.5 million (-15.2% YoY).

• Gross margin: 54.7% (down from 58.6% YoY); Net margin: 6.3% (down from 8.8% YoY).

• Basic and diluted EPS: RMB0.05 (unchanged YoY).

• Total comprehensive income: RMB83.3 million (-20.1% YoY).

Outlook and guidance

• Focus for H2 2026: upgrade growth models, enhance channel coverage, strengthen brand/product competitiveness, and improve operational efficiency.

• Continued emphasis on cost reduction, supply chain flexibility, and per-store profitability.