Shenzhen Huakong Seg Co Ltd

Huakong Seg released its 2026 interim report, with total operating revenue of 96.06 million yuan and net profit attributable to the parent company of negative 40.33 million yuan, an increase of 48.45 million yuan compared with the same period last year, narrowing the loss. Net cash inflow from operating activities was 17.94 million yuan, the asset-liability ratio fell to 73.46%, and gross margin rose to 18.49%, achieving growth for two consecutive years. Diluted earnings per share were negative 0.04 yuan, the number of shareholders was 33,400, and the top ten shareholders held 46.83% of the total share capital.

Huakong Seg disclosed its earnings forecast, expecting a net loss attributable to the parent company of 30 million to 45 million yuan for the first half of 2026, compared with a loss of 88.7756 million yuan in the same period last year. The net loss after deducting non-recurring items is also expected to be 30 million to 45 million yuan, compared with a loss of 38.664 million yuan a year earlier. The company stated that the year-on-year narrowing of the net loss attributable to the parent was mainly due to the recognition of a 50 million yuan provision related to a dispute with the government of Xinxing District, Qitaihe City, Heilongjiang Province in the previous year, with no such special item this year. The year-on-year change in the net loss after deducting non-recurring items was due to the company proactively scaling back its trading and traditional construction businesses to resolve horizontal competition, leading to a significant decline in revenue.