Dalian Huarui Heavy Industry Group Co Ltd

Dalian Heavy Industry released its 2026 interim report, with net profit attributable to the parent company of 371 million yuan, an increase of 58.5531 million yuan compared with the same period last year, up 18.76% year-on-year, achieving five consecutive years of growth. The company's total operating revenue was 8.021 billion yuan, an increase of 569 million yuan compared with the same period last year, up 7.63% year-on-year, also achieving five consecutive years of growth. Net cash inflow from operating activities was 723 million yuan, an increase of 682 million yuan compared with the same period last year, up 1,652.54% year-on-year. The company's latest asset-liability ratio was 71.11%, a decrease of 0.71 percentage points compared with the same period last year; the latest gross margin was 17.87%, an increase of 0.87 percentage points compared with the previous quarter; the latest return on equity was 4.62%, an increase of 0.49 percentage points compared with the same period last year. Diluted earnings per share were 0.19 yuan, an increase of 0.03 yuan compared with the same period last year, up 18.74% year-on-year.

The international arbitration debt restructuring between Dalian Heavy Industry's wholly-owned subsidiary Huarui International and Australia's DFA Company has been fully completed. On August 10, 2026, Huarui International received the final remaining payment of AUD 6,087,544.95 under DFA's restructuring plan, equivalent to approximately RMB 28.98 million. Preliminary estimates by the finance department indicate this will increase current total profit by approximately RMB 21.66 million. The company had previously made a full bad debt provision of approximately RMB 101 million for the remaining unrecovered amount. Upon receipt of this final payment, the provision will be fully written off, and the arbitration enforcement and debt restructuring distribution have been fully concluded.

Dalian Huarui Heavy Industry Group's wholly-owned subsidiary, Dalian Huarui Heavy Industry Foundry, has completed the industrial and commercial registration change for its capital increase, raising its registered capital from 1.45 billion yuan to 1.6 billion yuan. The company held a board meeting on February 12, 2026, and approved the use of 150 million yuan of its own funds to increase capital in the foundry, which remains a wholly-owned subsidiary after the increase. The foundry was established on April 23, 2008, with its registered address in the Wafangdian West Suburb Industrial Park in Liaoning Province, and its business scope includes the processing and manufacturing of cast steel, cast iron, and cast copper parts.

Dalian Heavy Industry has released its 2026 half-year performance forecast, estimating net profit attributable to shareholders of the listed company for the first half at 351 million to 385 million yuan, an increase of 12.47% to 23.36% compared with the same period last year. The company expects first-half operating revenue of around 8 billion yuan, up about 7.6% year-on-year. Gross profit growth in material handling equipment and new energy equipment drove the overall profit increase.