Zoomlion Heavy Industry Science and Technology (000157) Q2 2026 earnings summary

Executive summary

• Revenue for H1 2026 reached ¥27.14 billion, up 9.17% year-over-year; net profit attributable to shareholders was ¥2.10 billion, down 23.97% year-over-year.

• Cash flow from operating activities increased 38.12% year-over-year to ¥2.42 billion.

• Overseas revenue accounted for 57.25% of total, with overseas sales up 12.45% year-over-year.

• Traditional segments (concrete, cranes) maintained strong market positions; emerging segments (earthmoving, mining, aerial work, agri-machinery) grew rapidly.

• Significant R&D investment (¥1.57 billion) and 179 new products launched, with a focus on high-end, intelligent, and green technologies.

Financial highlights

• Gross margin for engineering machinery was 27.13%, down 1.76 percentage points year-over-year.

• Net profit margin declined due to increased sales and R&D expenses, and higher impairment provisions.

• Basic EPS was ¥0.24, down from ¥0.32 year-over-year.

• Total assets at period-end were ¥144.52 billion, up 8.54% from year-end 2025.

• Net assets attributable to shareholders stood at ¥57.65 billion.

Outlook and guidance

• Management expects continued growth in overseas and emerging business segments.

• Focus remains on high-quality development, digital transformation, and global expansion.

• Risks from commodity price volatility, exchange rates, and global economic uncertainty are highlighted.