HeNan Splendor Science & Technology Co Ltd

Huihuang Technology released its 2026 half-year report, showing first-half operating revenue of 372 million yuan, down 7.91 percent year-on-year, and net profit attributable to the parent of 118 million yuan, down 12.27 percent. Net cash flow from operating activities was 115 million yuan, surging 108.21 percent year-on-year, mainly due to increased sales collections and reduced tax payments. The profit decline was primarily driven by credit impairment losses of negative 20.173 million yuan, widening 149 percent year-on-year, stemming from changes in the aging structure of accounts receivable and an increase in the bad debt provision ratio for receivables aged 1 to 2 years. The accounts receivable balance stood at 1.336 billion yuan, with a carrying value of 990 million yuan. Among these, receivables aged 1 to 2 years rose from 581 million yuan at the beginning of the period to 654 million yuan, with the proportion of longer-aged receivables continuing to climb. A single major debtor, Zhengzhou Transportation Development Investment Group, accounted for 454 million yuan, against which a bad debt provision of nearly 97 million yuan was made. Revenue from the national railway business was 341 million yuan, down 12.20 percent year-on-year, yet still representing 91.63 percent of total revenue, with a gross margin of 59.58 percent, up 1.05 percentage points year-on-year. Revenue from urban rail transit was 14.2962 million yuan, up 131.13 percent year-on-year, while revenue from factories, mines, and local railways was 16.3779 million yuan, up 105.02 percent year-on-year, emerging as bright spots.